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Toyota Tundra Lease Questions

235 messages,  Last post on Apr 01, 2013 at 10:27 AM

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What is this discussion about? Toyota Tundra, Car Leasing, Truck

Messages Page 17 of 24

#160 of 235 Assume Tundra Lease - deal or no deal? by cb1000rider

Mar 19, 2008 (1:10 pm)

2007 Toyota Tundra Crewmax Limited Pickup, 5.7L
 
Anyway - I've heard that for people (my wife) that like to turn over cars < 3 years, leases are an attractive option. There's a lease "assumption" that's available quasi-locally (private party) that I'm considering: 2007 Tundra, 5.7, 4wd, crew cab. Est purchase price $41k $5000 down (I pay the guy currently leasing it) Lease started in 7/2007. 12k/year mileage allowance (this is OK, as the wife could walk to work) Currently has 8500 miles. Lease cost: $339/mo for a total of 36 months (from 7/2007) I believe the residual is: 56% Deal / no deal? The payments are unusually low - he says he put $7500 down + some trade it, which is why he's asking for the $5k. General comments?

#161 of 235 Re: Assume Tundra Lease - deal or no deal? [cb1000rider] by jackel142

Mar 19, 2008 (1:19 pm)

Replying to: cb1000rider (Mar 19, 2008 1:10 pm)
Be careful putting 5k down on any lease. What happens if you total the truck the day after you take over the lease? - you lose the 5k!

#162 of 235 Re: Assume Tundra Lease - deal or no deal? [cb1000rider] by bmwk75s

Mar 19, 2008 (1:43 pm)

Replying to: cb1000rider (Mar 19, 2008 1:10 pm)
I wouldn't do it. You would end up paying $14,492 to drive a vehicle for 28 months which works out to $517.57 a month. You can work a better deal from the dealer and get a 2008 without any miles on it. They are offering SR-5's for $289 with $1999 down at my local dealer.

#163 of 235 Re: Assume Tundra Lease - deal or no deal? [cb1000rider] by rlary

Mar 19, 2008 (10:52 pm)

Replying to: cb1000rider (Mar 19, 2008 1:10 pm)
I will bet you $ to donuts that you can lease that 40k truck new with no money down for under 500 month. If you are inclined to put 5k down on it (which I wouldnt do) payment would be substantialy less.
Remember, you need to work a deal just like buying it. I have seen those 40k trucks going for as much as 10k off, with rebates (currently 2750 I think)
Lets say you can lease that 40k truck for say 33k. You pay any tax/fees.
I bet it would be close to 450. New, no miles and cash left in your pocket.
I'm just estimating of the top of my head but I have leased 5 toyota trucks over the last 20 years.
Their is also a web sight I stumbled across once that had leases from all over the country you could assume. Pretty much any make model you could want.
BMW, Lex, toy, american. I noticed some very sweet deals but didnt investigate any closer. Do a google or two and I bet you could find it.
And in regards to money down. Fine when you buy it, when its paid you have equity, you can perhaps get the downpayment back in a sale or trade. When you lease their is RARELY any equity to trade.
Good luck.

#164 of 235 Re: Assume Tundra Lease - deal or no deal? [cb1000rider] by ocautoseeker

Mar 22, 2008 (4:03 am)

Replying to: cb1000rider (Mar 19, 2008 1:10 pm)
Don't do it. Current TFS money factors on NEW Tundras equal less than 1% for Tier 1 + customers, and even for Tier 3, mf equates to roughly 4%. Cheap money all the way around!
 
Look for a brand new one. Pay only 1st mo, tax and dmv's up front, and keep that $5k in your pocket. If you find a truck you like, let me know the window price and I'll run the numbers for you.

#165 of 235 Re: Assume Tundra Lease - deal or no deal? [ocautoseeker] by jackel142

Mar 22, 2008 (8:34 am)

Replying to: ocautoseeker (Mar 22, 2008 4:03 am)
MSRP of 42k.
What should the lease payment be for 24-48 months? 12k per year total walk in cash of $1000.00

#166 of 235 Re: Assume Tundra Lease - deal or no deal? [jackel142] by ocautoseeker

Mar 23, 2008 (2:37 am)

Replying to: jackel142 (Mar 22, 2008 8:34 am)
Hard to say without the VIN as every Toyota carries a different residual value. It's not a straight 53%, 55% etc. like some manufacturers. MF's also vary quite a bit by region, but .00029 -.00059 is what we're seeing for Tier 1+ customers as an average across the nation for the month of March.
 
TFS doesn't do 24 mo leases for 12k annual miles, only for 15k (I know... weird!), But, in my best educated guess, given I don't have the exact residual, mf, and cap cost for a specific truck... with drive offs only, assuming a cap cost reduction/discount of ~$4000, & 7% local sales tax, you'd probably be somewhere bewteen $475-$530/mo on a Tundy that carries a $42k list. Vehicle probably has a residual near 52% for 36 mo and 42% for 48 mo assuming 12k annual miles.
 
Remember, with special subvented money factors, cash rebates do not apply. It's like choosing betwen the rebate and 0% financing on a purchase... you only get one or the other.
 
Again, without an exact truck, I can't give you an absolute.

#167 of 235 Re: Assume Tundra Lease - deal or no deal? [ocautoseeker] by jackel142

Mar 23, 2008 (3:48 pm)

Replying to: ocautoseeker (Mar 23, 2008 2:37 am)
Here is the vin - 5TBBV58158S495768.
 
08 Double Cab 4X4 Limited
 
It's located at Tri-County Toyota is Royersford PA. Local Sles tax is 6%
 
MSRP is $42590.00
 
What shouuld the lease payment be with tax & tags down, 12k per year?
 
Thanks!

#168 of 235 Re: Assume Tundra Lease - deal or no deal? [ocautoseeker] by cb1000rider

Mar 25, 2008 (2:44 pm)

Replying to: ocautoseeker (Mar 23, 2008 2:37 am)
4x2 CrewMax, limited
Found out the "assumption" wasn't a deal due to asking up front cost.
Also found other websites online that allowed me to compare lease assumptions.
 
Ballpark, I can get into a 33-34k truck + tax for a $399 lease - use that as the "gauge" for new truck leases.
 
Older lease assumptions may be worse, the Tundra was selling much better in 07.
 
Residual.. Well, I haven't figured out if I'd actually want to buy it. No cost for turning it over through Toyota Financial.
 
Anyone know if Toyota Financial will have the ability to negotiate a buyout on a lease - seems like there are going to be a good number of 07 Trucks that sold for higher prices than the discounted 08s and the residuals are going to be bad.

#169 of 235 Re: Assume Tundra Lease - deal or no deal? [cb1000rider] by sebring95

Mar 27, 2008 (11:25 am)

Replying to: cb1000rider (Mar 25, 2008 2:44 pm)
Anyone know if Toyota Financial will have the ability to negotiate a buyout on a lease - seems like there are going to be a good number of 07 Trucks that sold for higher prices than the discounted 08s and the residuals are going to be bad.
 
Actually, the residuals on the new Tundra were pretty low right from the start. In fact, when the CM first hit, the residual was very close to the residual on my ’05 DC. So either they knew from the start they were going to discount them…or they were just being conservative. The current leases are better deals simply because of the decrease in selling price.
 
I don’t recommend leasing to anyone. I’m a CPA and have done a ton of lease vs buy comparisons and it’s generally not a good financial decision. Now, if you just want to pay more for some possible convenience (or inconvenience depending on the circumstance) that’s another story.
 
That being said, I have assumed several leases over the years. Usually bailing out people that HAD to get out of their lease for whatever reason and I was able to find value in that. But for every good lease assumption out there on swapalease or leasetrader, there’s a ton of really bad ones. I did really well on my first two, but this last one (my ’05 Tundra) was just ok. The residual was higher than real-world wholesale value and Toyota would not negotiate at all. I also had to have a dealer handle the purchase because Toyota Financial will not sell the vehicle directly to you. Basically, the dealer bought the truck from Toyota and then sold it to me (with a small paperwork fee…..). So that was a pain as well, where prior leases I’ve just sent the check and they sent me a title.
 
I actually kept this truck because it wasn’t a terrible deal to buy and I really like the truck. In the past I’ve always bought out the lease and resold the truck and made a big chunk of my payments back. Prior to this I assumed an ’03 Silverado for 24 months and my net cost was around $1,800 after I bought/sold it. Not bad for a basically new vehicle. I had expected to have about $2,000 in the Tundra across 24 months, but the market went to pot so there wasn’t as much resale profit potential. Don’t play these games if you can’t afford it!

Messages Page 17 of 24

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