Last post on Apr 24, 2012 at 5:06 PM
You are in the Mazda Mazda5
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Mazda MAZDA5, Car Leasing
#21 of 60 Re: Anyone lease their M5? [bob118]
Mar 20, 2006 (5:14 pm)
If you pay 290 x 36 = $14,500 + 9 = $23,500.
Is that the car's price today? - 23,500 or less?...then you will know if you are paying too much.
#22 of 60 Re: Anyone lease their M5? [Car_man]
May 25, 2006 (10:08 pm)
OK, just came from Mazda dealer and brought home their lease info. What do you think?
12 k per year
lease end value 12,118
initial cap cost 17,900
bank fee 595
down payment 2000
mo. payment 270.00
This is thru mazda lease program. What say you, good deal or bad? Thanks, Casey
#23 of 60 Re: Anyone lease their M5? [pisulino]
May 26, 2006 (12:39 pm)
Although you put down a large deposit, the deposit does not affect the residual value of the car. The deposit is simply a 'Pre-payment' of your lease obligation. It lowers the monthly lease payment.
I have never leased but when I did look into it, the dealer said the only way to lower the residual was to 'buy more KM's for the car'. I guess this would theoretically increase the KM number at the end of the lease, thereby depreciating the car more.
For an extra $100 a month, you can probably finance the car and own it after the lease/finance term. That is what I did. I keep my cars for a long time.
#24 of 60 Re: Anyone lease their M5? [bobw3]
May 29, 2006 (11:04 am)
The same reason as when you are buying a house - you don't negotiate on what your willing to pay the bank on a month mortgage payment - you negotiate on the price of the house. Then you work out the payment plan based on that best price.
Also, watch the residual value - it should not change during the negotiation. This is set by Mazda, not the dealer. I don't know about Mazda's USA website, but the Mazda.ca shows you what the residual is. Lastly, if you have a trade-in, wait to the last minute to factor this into the deal. Get the best price - layout the monthly payments - then factor-in the trade-in. And know what your trade-in is worth before you go do the deal so you can be assured you are getting a fair value offered to you for it. The best thing you can do is educate yourself before going to write the deal. Know your numbers and ask questions if you are not sure where their figures are coming from. You are in control, not them. I did my whole deal via email before stepping into the dealer. Had my numbers down pat in my head and walked in with a paper laying out the deal I wanted and asked if they could do it. If the dealer won't work with you over email - find another that will! Good Luck
#25 of 60 Re: Anyone lease their M5? [partsguy1]
May 29, 2006 (11:25 am)
I wouldn't recommend putting any money down if you are leasing. Ask about this. Can you buy security deposits to lower the lease rate? If so, how much are the security deposits each and how many can you buy. This full deposit is then returned to you at the end of the lease. So you lower the monthly payment by lower the lease factor and get your money back at the end - win-win!
I did this on my Mazda 5 - bought 10 $400 each and got the rate lower 1.5%. Lowered my month payment by $27! Sure, if I would have put the $4000 down as a down-payment, it would have lowered the monthly payment a lot more (like $120 a month) but I would had to spend $4000 to save $4320 over the 36 months - netting my only a $320 savings! The other way I am saving $972 (27x36) at no cost to me! Keep in mind that these is based on Canadian dollars.
#26 of 60 Re: Anyone lease their M5? [paulb5]
Sep 14, 2006 (4:34 pm)
...just a few observations i have.
until the last payment is made, you own nothing. lease or purchase. the bank or financing company owns it.
every lease has a payoff - just like a purchase. If i wanted - i could buy my leased vehicle just like i could buy my purchased vehicle.
not all leases are alike
i have leased vehicles and though i dont 'own' them, i always have a car that is covered under a warranty. i also get the latest and greatest every couple of years. (this does not apply to the longer term leases obviously)
mazda isnt like honda/toyota in that they dont subsidize their leases to the point where the lease rates/money factors (think APR) are low. Honda would rather get a bunch of accords on the road for $200/mo to be able to say they sold more than ford/toyota and everyone else.
a mazda tends to depreciate more than other cars in their class (like a honda/toyota). though i love my protege5, a comperable civic will likely be worth more. this has an effect on the residual value. though i think this is a great car, with a residual of ~9k - or about 50% of the selling price - many people buying would have paid this much off in that period of time to compensate for the losses.
the last thing i liked about leasing was that as the car my wife would be driving, and not knowing the family situation in coming years, she was easily (and quite cheaply) able to move from a civic to an accord to another accord with very minimal money out of pocket (maybe 2k) and payments no more than 225/month. pretty darn good if you ask me.
leases are great for people who take care of their cars - like to get a new and/or different car every couple of years - people that generally drive <15k miles/yr - those that are shopping payment and may not have a decent downpayment. leases are not great for people like me who can put 25k miles/yr on a car - even though my pr5 doesnt at all look like it has over 111k miles on it.
#27 of 60 Don't put money down on a lease...
Sep 14, 2006 (5:30 pm)
I concur with paulb5. Other than a security deposit, it does not make any sense to put additional money down on a lease, unless you know at the beginning of the lease that you will be purchasing the vehicle at the end of the leasing term. Not many lessees I know of are that certain of the future. That's one of the benefits of a lease... an option to walk away when the term is up.
I think it's similar to renting an apartment. When signing a lease, would you give the leasing manager extra money on top of the security deposit, just to lower your rent? Probably not. If the rent is too high, I believe most people (myself included, as a renter, and a vehicle lessee) will try to find a different place to live.
Similarly, if you must lease and the payments are too high, try to find a different vehicle.
Putting money down on a lease is like throwing it away. Why pay any more than you have to, for something you don't own? For lower payments? To those of you who say yes, I have a bridge to sell you.
#29 of 60 What's up with all the fees?
Jan 13, 2007 (3:10 pm)
Just got back from Millenium Mazda in Durham, NC and here's what I got from them on an M5 sport lease:
Included in their lease structure was the following:
$379 DOC Fee
$595 Acq Fee
$379 DMV Misc Fee
$36 Title Fee
$26 License Fee
$28 Elec Filing Fee
They claimed the Acq Fee was from Mazda and they couldn't do anything about it, as well as saying the DOC Fee was a dealer fee.
Seems like a lot of bogus fees when you consider that's 8% of the total value of the car!! They did offer to throw in leather interior (a $1300 value), but I'm still not sold on paying for a bunch of fees that are 100% margin.
Anyone have any advice or experience anything similar?