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You are in the Prices Paid - Buying & Leasing Experiences
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Lexus GS 350, Lexus GS 430, Lexus GS 460, Car Buying, Car Leasing, Sedan
Nov 10, 2008 (3:42 am)
Hi mi7. Lexus Financial Services' current buy rate lease money factor and residual value for a 36 month lease of a 2008 GS 350 with 15,000 miles per year are an extremely attractive .00020 and an extremely unattractive 40%, respectively for consumers who qualify for its Tier 1+ credit tier. If you were to lease with only 12,000 miles per year, this car's residual value would be 2% higher. As you can see, the horrible residual value that the dealer quoted you is unfortunately correct.
Prices Paid: Buying & Leasing Experiences Forum
#302 of 951 Re: Recent GS350 lease prices [usp357]
Nov 12, 2008 (9:23 pm)
I am interested in leasing a GS 350 AWD with NAV- 15K/36 mo only tax title etc down.Unfortunately I am not very versed in the lease lingo.Can someone tell me what is a reasonable lease. I have a great credit and I am willing to put down MSD.
Would appreciate your input.
#303 of 951 Re: Recent GS350 lease prices [rescuu]
Nov 14, 2008 (4:42 am)
Greetings rescuu. It is extremely important to understand how leasing works prior to entering into negotiations with dealers so that you can avoid being taken advantage of. The following informative articles that are available here at Edmunds.com will teach you everything that you need to know on the subject: 10 Steps to Leasing a New Car and Calculate Your Own Lease Payment.
Here's the crib notes version. The best way to get a good deal on a leased vehicle is to negotiate as low a selling price as possible on the car that you want and then have the dealer calculate your monthly payment using its buy rate lease money factor.
The selling prices of leased vehicles are negotiable, just as if you were paying cash for or financing them. Do some research to find out exactly how much you should pay for this car, the "Lexus GS Prices Paid and Buying Experiences" discussion is a good starting point. Then comparison shop with a few dealers in your area and go with the one that gives you the best price, provided you feel comfortable dealing with them.
Once you have arrived at a price that you are happy with, have the dealer calculate your car's monthly payment using its buy rate lease money factor. It is important to know what the buy rate is for the car that you want because dealers are often allowed to mark-up or pad money factors to add hidden, back-end profit to deals. Lexus Financial Services' current buy rate lease money factors for the GS 350 AWD are .00120 on the 2009 model and .00015 on the 2008 model for consumers who qualify for its top aka "Tier 1+" credit tier.
That's about it. As long as you focus on those two important numbers, the selling price and money factor, negotiating a lease isn't too difficult. Good luck and let us know if you have any other questions.
Prices Paid: Buying & Leasing Experiences Forum
#304 of 951 Is this a good lease deal on 08 GS350?
Nov 20, 2008 (8:59 pm)
I'm about to pull the trigger on a new 2008 RWD GS350 in Smoky Granite/Black equipped as follows:
18" summer tires
Illuminated door sills
Preferred accessory pkg (mats, wheel locks etc)
ML would have been nice but not a necessity - I need to keep the cost down as much as possible. I don't like rain-sensing wipers or the wood steering wheel, and don't need the rear window shade.
$41,866 Base Cap Cost
$700 Origination Fee
.0002 money factor
36 months 12K miles/yr
$623/mo + CA tax of $48.28
$1,025 OTD (first payment + DMV fees)
Does anyone think I can do better than this, or should I wait for a 2009? The car is brand new (only 14 miles) and is exactly what I wanted if I were to order it. The price I negotiated is $1,750 below invoice, and the interest rate is only .48%. This is really cheap money, the interest for the whole 3 yr term is only $455 - the payments are almost all principal. If I wait for a 2009 I doubt if I could do this for much less than invoice, and the money factor may be higher at that point.
By the way, the cost of the car was $384 higher, but I balked at the $700 origination fee, and so forced them to come down to where they are now to help cover it.
Any comments are appreciated - Car_man, Anyone?
#305 of 951 2009 GS 350 Lease Offer
Nov 22, 2008 (6:51 pm)
Hi all. given what I have read here, this offer on a 2009 GS 350 ML loaded looks like it is pretty high.
MSRP Price: $52,076
Sale price: $46,250. $300 over Invoice
Residual: 42% / Buy Out price: $21,871
Term: 12k miles, 36 months
Acq Fee: 700;
etag fees 40
govt fees: 467
no security (assm good credit)
dealer fee 699
tag transfer 100
Mpnthly Payment: $699 plus tax
Sales manager says "$699 + tax is my best deal I can do with $3500 down. Lexus just does not have any incentives cash to give us to go further down. I'm at Invoice now"
This guy pulling my leg here? Think he has some room?
#306 of 951 Is this thread dead?
Nov 23, 2008 (4:50 pm)
Not much activity here. If anyone has any thoughts on the offer I received in post 305 above would be appreciated. Thanks!!
#307 of 951 Re: 2009 GS 350 Lease Offer [gator5000e]
Nov 23, 2008 (9:56 pm)
I think you can do better. Try calling all the dealers around your area. I have never heard of the etag fee or a dealer fee...those are called profit. I also assume the govt fee are you dmv fees? I tried to create your lease payment. The only way I could get it to come to that number is that you also will be paying the 3500 down, the 2006 in fees plus the 699 first payment...then it works out to 699 plus tax. ...I have bought two lexus's 350 for my wife and my mother in law during the last year. In both cases I had to wait until the end of the month to get the deal I wanted....Dont go back to the dealer....do all the rest of your negotiation from home. I purchased those cars at about $1300 below dealers invoice...
Good luck and let us know how you did...I am helping my Dad get a car and he is considering this and the BMW....
The GS is a nice car but the residual value at 42% makes this an expensive car to lease. Compare this to the BMW 328i which has a 58% residual after 3 years...
#308 of 951 Re: 2009 GS 350 Lease Offer [cpa3]
Nov 24, 2008 (6:57 am)
Thanks you cpa3. The money factor I was quoted, .00065, looks extraordinarily high. Am I miscalculating it or does that seem very high to you? I will also find out what those other fees are - understanding they are profit.
If anyone has leased a GS 350 recently, any specifics on MF, prices paid, etc. to assist in my negotiation would be appreciated.
And thanks,again, cpa3.
#309 of 951 Re: 2009 GS 350 Lease Offer [gator5000e]
Nov 24, 2008 (10:02 am)
Assigning a 42% residual is what absolutely kills you on the monthly payments. Unless your plan is to buy the car at that time, this seems like a lease Carman would have you run away from.....fast. There is far too large an upfront payment, the monthly payments are ridiculously high (because of the completely non-competitive residual). The only good thing is an excellent starting price -- but that is simply eaten up by the residual. Lexus doesn't have incentives because I believe Lexus doesn't want to lease its cars itself. Why not see what another bank/leasing company would do if you gave them that purchase price?
#310 of 951 Re: 2009 GS 350 Lease Offer [gator5000e]
Nov 24, 2008 (7:51 pm)
Assuming your .00065 is correct that equates to a 1.56% interest rate, which is an excellent rate....To arrive at this you take the lease rate and multiply by 2400...Maybe now that they have started their December to Remember event you can do better...The GS 350 is a great car...Just too bad the residual is so poor...