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Volvo XC90 Lease Questions

1650 messages,  Last post on Apr 13, 2013 at 11:29 AM

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What is this discussion about? Volvo XC90, Car Leasing, SUV

Messages Page 149 of 166

#1476 of 1650 Re: Volvo XC90 Sept 2009 Lease Incentives & Terms [zamo] by goucla

Sep 03, 2009 (10:56 pm)

Replying to: zamo (Sep 03, 2009 7:21 pm)
Sorry I missed your point about buying CPO. However, a used CPO car isn't the same as a brand new car so its hard to compare, but lets try to break down the differences between leasing new (2009) vs. buying CPO (2007) over 4 years:
 
First, you'll spend more on maintenance on a CPO (assume $500-$1000/year?) x 4 years = $2000-$4000. I spent $1500 on tires alone for the first 2 years of our current 2007 XC90 lease, and maintenance is sure to be higher in years 2-6 than 0-2.
 
Second, your payment ignores sales tax at $601. Including sales tax (9.25% here in California) and using Chase's 5.61% interest rate for California the payment would be $661. This is roughly $98 more per month than the $563/mo lease available on a brand new car (7 passenger AWD), x 48 mos = $4700
 
Third, to "equalize" the options lacking from the car you've identified, the 7-passenger rear seats were a $2500 option but lets say you can somehow find and install the rear seats for $1250, and install bluetooth for $400.
 
So, at the end of 4 years in 2013 you've paid off your 2007 CPO car and own it outright, but the difference in cost of ownership ranges from $8,350-$10,350. Will the "equity" in your 2007 model be worth more than $8,350-$10,350 in 2013 (as a 6-7 year old car)? The residual value for the above 2009 lease (AWD 7) in 2013 is $12,397, so $8,350-$10,350 for a 2007 model with higher miles doesnt seem that far off, plus as a CPO owner you take maintenance and RV risk.
  
If the lease RV is below-market at lease-end the lessee can buy the car and capture any upside. Conversely, if the the RV is above-market at lease-end the lessee doesn't suffer any losses, whereas an owner will suffer the loss. The future market value risk is borne by the bank and the CPO purchaser.
 
Do you look at this any differently? If so, I'd be curious to understand your analysis and how you conclude that buying CPO is better.
 
The Subaru deal sounds pretty good.

#1477 of 1650 Re: Volvo XC90 Sept 2009 Lease Incentives & Terms [goucla] by zamo

Sep 04, 2009 (8:35 am)

Replying to: goucla (Sep 03, 2009 10:56 pm)
For apple to apple comparisons, I do not include sales tax. I also metioned $0 down; not sure if the lease deal has the same term.
 
The cost of ownership really depends on what type of maintenance I choose. The local mainekee can perform the basic tire rotation and oil changes inexpensively.
 
Based on these examples were are at a point where a CPO buy and a new lease might cost the same after 48 months. The leased car goes away whereas the CPO is being kept. 2 more years with no car payments makes it a win-win situation.
 
Before, when the XC90 was a $429/month deal for 24 months, it was a NO-brainer. I do have a 2008 XC90 with all options but Navi. 24 month lease of course.

#1478 of 1650 Lease Buyout by fantom

Sep 04, 2009 (9:19 am)

My 2009 XC-90 two year lease is running out in several months. The residual on it is about $31K. I've heard stories about Volvo Financial knocking as much as $10K off the residual for a buyout.
 
Is this possible, a reality, anyone with any knowledge?
 
Would seem to make some sense given the deals on a new XC-90, and the very depressed value of used ones. If this is not fact, we're in the market again......

#1479 of 1650 Re: Lease Buyout [fantom] by volvomax

Sep 04, 2009 (11:16 am)

Replying to: fantom (Sep 04, 2009 9:19 am)
VFNA isn't knocking $10k off XC90's. Maybe last year,but not this year.
XC90 prices are going up at the auctions.
$31k is about right for an 09 if its a 6 cyl.

#1480 of 1650 Re: Lease Buyout [volvomax] by fantom

Sep 04, 2009 (12:02 pm)

Replying to: volvomax (Sep 04, 2009 11:16 am)
It's an '08 AWD, with about 18,000 miles.
 
Is VFNA knocking anything off?
 
Add a couple of grand to the residual, and we can purchase a new XC-60.

#1481 of 1650 Re: Lease Buyout [fantom] by goucla

Sep 04, 2009 (1:25 pm)

Replying to: fantom (Sep 04, 2009 9:19 am)
How'd you get an 09 two years ago?

#1482 of 1650 Re: Lease Buyout [fantom] by volvomax

Sep 04, 2009 (2:56 pm)

Replying to: fantom (Sep 04, 2009 12:02 pm)
For an 08 AWD, wholesale is $28,000
So, probably not much relief there.

#1483 of 1650 New Lease by mel10021

Sep 08, 2009 (1:42 pm)

Does anyone have #'s for a new XC90 ? I have a 2008 coming up in December.
 
Looking for V6, AWD, climate and 3rd row.
Lowest miles per year
 
Thanks

#1484 of 1650 Re: safe and sound [goucla] by Car_man HOST

Sep 24, 2009 (3:17 am)

Replying to: goucla (Sep 02, 2009 11:44 am)
Hi goucla. What you were told by the dealer is correct. Volvo is only providing $3,000 on leases of '09 XC90 3.2 models through independent banks in September.
 
Car_man
Host
Prices Paid: Buying & Leasing Experiences Forum

#1485 of 1650 Re: Help! - Need September XC90 Lease Numbers [goucla] by Car_man HOST

Sep 24, 2009 (3:20 am)

Replying to: goucla (Sep 02, 2009 1:18 pm)
Hey goucla. It does not appear as though Volvo is running a special lease program on the XC90 through Volvo Finance this month. If you really want to lease this car, you probably would be best off doing so through US Bank and taking advantage of the additional $3,000 cash incentive that Volvo is providing on leases of the '09 XC90 3.2 and $4,000 on leases of the '10 through independent banks. Unfortunately, I have not seen the US Bank lease program so I don't know what the specifics of it are.
 
Car_man
Host
Prices Paid: Buying & Leasing Experiences Forum

Messages Page 149 of 166

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