Last post on Nov 14, 2013 at 11:30 AM
You are in the Prices Paid - Buying & Leasing Experiences
What is this discussion about?
Dissecting the Deal - How To Spot a Good Lease
10 Steps to Leasing a New Car
The "Residual Value" of Leasing
Calculate Your Own Lease Payment
#31 of 194 Re: My eyes cross and my ADHD mind goes blank [phineasboggs]
Jun 18, 2010 (12:25 pm)
I suggest that you educate yourself about leasing. Edmunds offers some outstanding easy-to-understand articles on leasing at...
I'm not sure how you "figure" $400 as a threshold value for a Crossover but the danger of not knowing how a lease is structured or how to compute payments can be very costly. It's not unusual that a vehicle can be leased for much less than their advertised specials.
Hope this helps.
#32 of 194 Re: My eyes cross and my ADHD mind goes blank [phineasboggs]
Jun 18, 2010 (3:23 pm)
If you drive a lot of miles per year you probably shouldn't lease. Over 15k per.
#33 of 194 Correction to Post #29
Jun 18, 2010 (10:26 pm)
I have no idea what I was thinking when I computed the taxable payment in Post #29. I should have excluded the $500 cap reduction. The taxable payment should be...
0.00200 x (24,600 + 18,000) + (24,600 18,000) / 36 = 268.53
Therefore, the total NJ sales tax liability amounts to...
0.07 x 36 x 268.53 = 676.70
The "lease payment" is based on the following data (we'll roll the tax into the lease)...
Sell Price (S)...
Acq. Fee (A)
Trade Equity (Q)...
NJ Sales Tax........................ 676.70
Cap reduction (D)
Adjusted Cap (C)
Money factor (F)
Residual Value (R)
Term (N months)....
NJ sales Tax Rate (t)
and is computed as follows...
Lease Payment = 0.00200 x (28,776.70 + 18,000) + (28,776.70 18,000) / 36
#34 of 194 If you drive a lot of miles per year you probably shouldn't lease. Over 15k
Jun 20, 2010 (5:55 pm)
I think this is true to an extent, however, I am well over my mileage allowance, but as long as I stick with Honda on another lease I don't have to worry about it. I will be turning it in in the next month or two and if I am incorrect about that I would sure like to know. They have told me all I have to do is bring it in and drive out in a new lease, no matter the mileage.
#35 of 194 Re: If you drive a lot of miles per year you probably shouldn't lease. Over 15k [wtalbot]
by kyfdx@Edmunds HOST
Jun 20, 2010 (6:26 pm)
Well... technically, it's true.... but, you'll still be paying for the over-mileage charges.. If they are turning your car back into Honda Finance, you'll either have to pay the charges, or they'll just roll them into your new lease payment (making it higher than it would be otherwise)...
If they are buying your car from Honda Finance, then that extra mileage will certainly make your car worth less to them, and that difference will be rolled into your new lease payment..
So, yeah.... you bring it in, and drive out with a new lease, no matter your mileage.... but, it will be reflected in your new lease payment.
No free lunch, I'm afraid...
Now, I don't necessarily agree that high-mileage drivers shouldn't lease... Properly constructed, a high-mileage lease can be the cheapest way to go, especially if you would trade every three years, anyway..
#36 of 194 Re: If you drive a lot of miles per year you probably shouldn't lease. Over 15k [wtalbot]
Jun 21, 2010 (8:56 am)
You can avoid any over mileage charges and damage by purchasing the car instead of turning it in.
#37 of 194 Re: If you drive a lot of miles per year you probably shouldn't lease. Over 15k [kyfdx]
Jun 22, 2010 (7:53 pm)
Oh wow, they mislead me I do believe. Amazing I am going on my 4th lease and did not fully understand this. Out of those leases I have never traded one lease in with the same auto maker for another. I haven't worried about mileage because I was under the impression that if I got another Honda it didn't matter.
I am pretty sure the dealer will buy it for resale, so now it is a matter of negotiating the trade in value? I don't believe Honda will let me sell the vehicle to a 3rd party either? I guess if they don't give me the payoff amount I can just go turn it in myself, pay the mileage and go lease another vehicle. A little incentive if they really want the car.
This changes things a bit.
#38 of 194 Kia lease factors?
Jun 26, 2010 (5:01 am)
Does anyone have an idea what the current residual and money factors are for a 2011 Sorento in NJ?
#39 of 194 Re: Kia lease factors? [dpb67]
Jun 26, 2010 (9:30 am)
You may want to try the Sorento message board...
I'm sure that one of the moderators or, a knowledgeable poster, will be happy to help you. This message board is reserved for questions concerning lease payment calculations for which you're not likely to get a timely response to your question.
#40 of 194 Re: Kia lease factors? [dpb67]
by kyfdx@Edmunds HOST
Jun 27, 2010 (7:11 am)
I created a new discussion for Sorento leasing for you (Kia leasing used to be non-existent, but it seems to have revived)..
You can find it HERE