Ask the Car People.SM


Ford F-Series Lease Questions

208 messages,  Last post on May 20, 2013 at 4:44 PM

You are in the Ford F-Series Forum.

What is this discussion about? Ford F-150, Ford F-250, Ford F-350, Car Leasing, Truck

    

Messages Page 2 of 22

#2 of 208 Re: Ford F-Series Pickup: Lease Questions [Car_man] by volatile1

Sep 08, 2005 (6:37 pm)

Replying to: Car_man (Aug 31, 2005 3:57 am)
Car_man,
 
Is it worth it to lease a 2005 F-150 in general? I have not heard anything great about Ford motor credit and leasing or the trucks residual. I have to make a decision by october 1rst. They just extended the family plan. Any Idea what the residual and money factor would be on a 2005 f-150 Lariat 2WD should run on a 36 month lease? Does an outside lease company make sense?

#3 of 208 Re: Re: Ford F-Series Pickup: Lease Questions by Car_man HOST

Sep 13, 2005 (3:11 am)

Hi volatile1. Ford Credit's lease program on the F-Series traditionally had not been very impressive. The 2005 F-150 is no exception to this, its current lease program stinks. If I was in the market for this truck, I personally would probably finance it at Ford's Employee Price through Ford Credit at 4.9% for 5 years + a $1,000 bonus. If you were to lease a 2005 F-150 SuperCab Lariat 2WD through Ford Credit right now for 36 months with 15,000 miles per year, its base lease rate and residual value should be 7.25% and 46%, respectively. As you can see, Ford Credit publishes lease rates instead of money factors for the vehicles that it leases. You can convert its lease rates into approximate money factor equivalents by dividing them by 2400. You may be able to lease this truck for less through an independent bank that you would be able to through Ford Credit right now.
 
Car_man
Host
Smart Shopper / Prices Paid Forums

#4 of 208 2005 F150 Lease Q's : by hey765

Sep 19, 2005 (9:20 pm)

Hi,
 
I am looking at a lease agreement for a 2005 F150 XLT. While the selling price of $23,964 is very palatable, the residual is based on the base MSRP of $35,000! This is leaving a residual value of $20,650 after a 24 month lease. While I think the selling price is great it just doesn't make sense in the long run to to this! I do have some credit issues and Ford Credit was recommended as a way to get into a car/truck while rebuilding credit. The worst case scenario is getting a Tier 4 credit approval yielding a 14.25 money factor rate ( $483/month with tax). Edmunds has the exact truck selling for (TMV) $29,250 and a MSRP of 34,675. They also gave me the rates of residual was 59% of MSRP for 24 month and 52% of MSRP for 36 months; how does this sound?
 
I guess my question is how negotiable is that value that the residual is based on? This vehicle is one I would want to buy out at the end of the lease.
 
Thanx!

#5 of 208 Re: 2005 F150 Lease Q's by Car_man HOST

Sep 20, 2005 (3:29 am)

Hi hey765. Vehicles' residual values are always based upon a percentage of their full MSRPs. This is a standard industry practice. It would be difficult for banks to use a percentage of vehicles' selling prices a a standard because everyone pays a different price for their car or truck. They use vehicles' MSRPs because they are consistent. Even if vehicles' selling prices were used as the standard, banks would just adjust and make their residual value percentages higher. To be honest with you, the higher your truck's residual value is, the better off you are. This is because the more your truck is worth at lease end, the less you have to pay for depreciation in your lease payment and the lower it will be. Vehicles' residual values are set by banks, not dealers, and are generally not negotiable.
 
14% interest is a lot to pay on such an expensive truck. You may be better off going with a less expensive vehicle, perhaps even a used F-Series until you get your credit built back up and can finance a new truck at a lower interest rate.
 
Car_man
Host
Smart Shopper / Prices Paid Forums

#6 of 208 Re: 2005 F150 Lease Q's [Car_man] by hey765

Sep 20, 2005 (9:08 am)

Replying to: Car_man (Sep 20, 2005 3:29 am)
Thanks Car_man! Useful information. I have always bought, never leased. Do dealerships typically lease used vehicles? I was under the impression they don't and only smaller used car lots would do that? Part of what I'm trying to do is use Ford Credit as a way to improve my credit and being they are mainstream, they are better to have as a lender rather than what a used car lot would provide for a high credit risk person.
 
I agree, 14% is extremely high and if my credit were to be approved at that rate I most likely would not do the lease. It is the worst case scenario in light of recently discharged bankruptcy...
 
Thanks again,
Hey765

#7 of 208 Ford's leasing WearCare protection, pricing by hey765

Sep 26, 2005 (11:17 am)

Hi,
 
I did get a great rate for leasing the F150 ( 8.5%, Ford Tier 1). I am concerned with what happens when I turn it in. I kinda feel vulnerable to nit picking adding up to thousands of dollars at the dealer. Ford has a Wear Care program which they are pricing to me at $26.67/month on a 24 month lease. I was wondering what other people have paid, how they set that and if people have negotiated it down. I seem to remember seeing it on a website by ford or ford credit listing $15 - $20.month to get the $2500 worth of protection. Of course the dealership is saying if you have it, they pretty much wave the car through at the end of the lease, otherwise they nit pick. No pressure to buy that .
 
Anybody ever negotiate it or have more information on how they calulate it: flat fee for all cars and trucks or?
 
Thanks

#8 of 208 Re: Re: 2005 F150 Lease Q's by Car_man HOST

Oct 05, 2005 (2:50 am)

No problem Hey765. Some banks, including a number of manufacturers' captive finance companies lease used vehicles. The problem with leasing used vehicles is that they often end up costing more, or around the same, to lease as equivalent new models. This is because automakers provide support in the form of low interest rates, cash incentives, and inflated residual values on many new vehicle leases but they rarely do so on used vehicle leases. BMW is one of the few manufacturers that I can think of that has a fairly attractive used vehicle lease program.
 
Car_man
Host
Smart Shopper / Prices Paid Forums

#9 of 208 Re: Ford's leasing WearCare protection, pricing by Car_man HOST

Oct 05, 2005 (2:54 am)

I'm glad to hear that you ended up getting a decent interest rate, hey765. Don't worry too much about being nit picked about your truck's condition when you return it at the end of your lease. Most captive finance companies, like Ford Credit, are very reasonable when evaluating the condition of vehicles at the ends of leases. Of course, if your tires are really bald or your truck has some huge dents or scratches you will be charged for them, but the last thing that Ford wants to do is nickel and dime you to death, make you mad, and end up losing your future business.
 
Car_man
Host
Smart Shopper / Prices Paid Forums

#10 of 208 XLT lease by irg

Oct 18, 2005 (8:44 am)

Was wondering about the details of this lease I saw advertised. A F-150 XLT 4x4 (I think a supercab, not sure) for $199/month for 24 months. Couldn't tell if there was anything down or not. Anyone know of this deal? Seems good to me.
 
Also, can car seats be used in a supercab, or do they only work with a quad cab?

#11 of 208 Re: XLT lease by Car_man HOST

Oct 30, 2005 (8:36 am)

Hello irg. I have not seen the specific advertised lease that you mentioned in your post, but I can calculate exactly how much it would cost to lease any F-150 that you want, exactly as you want it equipped. Look up the full MSRP of the truck that you are interested in in the New Vehicle Pricing section of this site. Then stop by the following discussion to get an idea of how much you should pay for the truck that you want: /WebX?14.ef17d3a. Once you have an idea of the MSRP and selling price, let me know and I will estimate how much this truck should cost you to lease using Ford's actual lease program.
 
Car_man
Host
Smart Shopper / Prices Paid Forums

Messages Page 2 of 22

To POST a message, please Sign In.

Advertisement

Browse by Category

Browse by Vehicle
   View All Vehicles

Browse by Board
Browse by Topic
View All Topics

Edmunds Community

Advertisement