Anyone work at a lexus dealer?

[GB-man]

Originally Posted by RolexZen

What did you end up doing, GB-man?

I closed on an rx350 with a dealer in NJ for 39 months 15k per year 525 per month with taxes and fees due at signing.

[1st amg]

Being that you live on both sides of the border, do you find that cars in general lease cheaper in the USA? It seems when I travel there, for fun I price cars and trucks on leases and it seems they are substantially cheaper to lease


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[swils8610]

Leasing and buying both have advantages and disadvantages. Many things are to be considered. Money factor, residual incentives etc. Neither is right or wrong.


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[jrs146]

Originally Posted by swils8610

Leasing and buying both have advantages and disadvantages. Many things are to be considered. Money factor, residual incentives etc. Neither is right or wrong.


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I would agree. There is a scenario that works best for both. It just really depends on the scenario.

I buy my vehicles through my company and use section 179 depreciation to accelerate the depreciation. To me it’s an advantage I don’t get with leasing. The only downside is I’m stuck with the vehicle for a while otherwise you may be left with depreciation recapture.


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[bdex75]

This is a situation where there is no absolute in my opinion. To say that leasing is “always” bad. Or is only good for the dealer is BS. Just like anything else it is easy to shop the payment on a lease. All else being equal (same trade in or no trade in, same credit, same vehicle and same leasing company) you can get the best deal. Just like price shopping a purchase or an interest rate on a or purchase at a bank.

A 36 month 15k mile a year residual factor from GM Financial on my new truck was the same no matter what dealer I go to. I buy at GM supplier rates minus any rebates no matter what dealer I go to. I do not recall if there was dealer cash or not, that is one place the dealers can differ. As is he money factor. One may try to hold rate more than another just like on a purchase.

Full disclosure my best friend owns a Chevy dealer so he gives away the farm to keep me in new trucks.

All that crap equals the lease payment. Not hard to understand.

Here is the bottom line on my new truck (2017 Silverado High Country)
Right at $47,000 was supplier minus all incentives (with Sales tax included on a purchase). Was $45,000 without tax.

Purchase at 3% for 60 months no money down was about $850/month.

A 36 month, 15,000 mile/year lease with no money down was$680month tax included.

$170 a month cheaper to lease.


Here is the kicker. Last 2 trucks (a LTZ Z71 and a High Country) I leased like above. Drove for 32 months and put 65-68k miles on them (way above the 45k allowed in 36months). Between the ACV of the truck (its actual cash value) and the available incentives for pull ahead at the time I was not upside down at all when we called to get a buyout on my lease.

I trade out of it. I don’t turn it back in to the leasing company, then you have to pay the excess mileage charges etc.


To CJ’s point you have to do this with the right vehicle. I have a co-worker that wants to do it with a Tahoe. It doesn’t work. Won’t work on a impala or a Malibu or a focus or an es350 and probably not on a rx350.


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[phm14]

I'm no financing expert, but I have been driving Toyota & Lexus for ~35 years. I think leasing works best on vehicles with higher depreciation/lower reliability, from a cost per mile standpoint. Seems to me it's hard to beat the scenario of buying a clean ~3 year old Toyota/Lexus right, and driving it 3 years or more. The longer you keep it after it's paid off, the lower your cost per mile gets, generally, resale factored, of course, vs leasing or buying new more frequently. If you want to drive the latest hot model, it's pay to play. ;)

[breitlings]

Originally Posted by GB-man

I am mid negotiation on an rx350 lease for my mother and am caught up on the cost to purchase extra miles above and beyond the 15k per year. On lexus financials own site it clearly states extra miles can be purchased ahead of time for .10 per mile but the dealer is telling me .20.

I am looking to bump it to 18000 per year so we are talking $900 difference.

See under excess mileage charge.

https://www.lexusfinancial.com/pub/w...ments/glossary

I called lexus financial and they guy basically had no answer for me other than he has "seen .15 or .20 before"

I guess this is more a rant than anything

I've been told that Toyota Lexus, will forgive all overmilage if you either 1) buy out the car at the end of lease 2) buy or lease another toyota lexus at the time of termination

Maybe that was one dealer but they seemed shady as fuck to me, so I bet it applies to every dealer.

[breitlings]

Originally Posted by 1st amg

Being that you live on both sides of the border, do you find that cars in general lease cheaper in the USA? It seems when I travel there, for fun I price cars and trucks on leases and it seems they are substantially cheaper to lease


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Interesting, I know people go to Canada to buy cars, they swear canada is cheaper and from the cars I've looked at they seem to be about 20-30% cheaper. There's quite a few discussions on how to get the manufacture statement etc.

[breitlings]

Originally Posted by Abdullah71601

That looks like a Toyota RAV4. You can get the fully loaded hybrid Limited RAV4 with leather, heated seats and all the Toyota safety technology for about $36K. And Toyota Finance is easier to deal with.

Rav 4 is the base to the NX . RX I think is a highlander base.

[GB-man]

Originally Posted by 1st amg

Being that you live on both sides of the border, do you find that cars in general lease cheaper in the USA? It seems when I travel there, for fun I price cars and trucks on leases and it seems they are substantially cheaper to lease


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I don’t actually own property in Canada just frequent TO for shopping and entertainment. Very fortunate to have a great metro so close to home. :

I always thought cars were both more expensive to buy as well as insure in Canada. Maybe I’m wrong there just my gut.

Originally Posted by swils8610

Leasing and buying both have advantages and disadvantages. Many things are to be considered. Money factor, residual incentives etc. Neither is right or wrong.


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Hey buddy I sent you a pm. Hope your weekend is going well

[GB-man]

Originally Posted by breitlings

I've been told that Toyota Lexus, will forgive all overmilage if you either 1) buy out the car at the end of lease 2) buy or lease another toyota lexus at the time of termination

Maybe that was one dealer but they seemed shady as fuck to me, so I bet it applies to every dealer.

You always have the option to buy out the car in any lease. Check your contract to find out exactly what it will cost. Occasionally leasing companies will negotiate buyout but generally whatever’s in the contract is the price.

Yes many times they will also forgive you for modest overages if you release or rebuy with them. That said, I find it compromises your negotiating position.

[brandrea]

Originally Posted by GB-man

I closed on an rx350 with a dealer in NJ for 39 months 15k per year 525 per month with taxes and fees due at signing.

Wow, that seems like an amazing price

I’m sure it would cost double up here or at least a lot more. Well done

[swils8610]

Originally Posted by breitlings

I've been told that Toyota Lexus, will forgive all overmilage if you either 1) buy out the car at the end of lease 2) buy or lease another toyota lexus at the time of termination



Maybe that was one dealer but they seemed shady as fuck to me, so I bet it applies to every dealer.

If you buy the lease out Toyota/Lexus doesn’t care how many miles are on it. They most definitely will not forgive over mileage if you lease or purchase another Toyota/Lexus at time of termination. The dealer may “roll it in” to your next lease payment. I’ve been running a Toyota/VW Dealership for over 12 years. And no we are NOT all shady as f••k as you suggest. It amuses me when people say dealers are shady. Some might be. Many are not. In the US the consumer can purchase from any dealership they choose. No one is forced into making a deal with any particular dealership. The consumer has all the power as they should. If you don’t like a dealership then don’t do biz with them. Simple. Same goes for the dealership. The dealership doesn’t have to sell a consumer a car. I have a handful of personals I won’t sell cars to.


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[GB-man]

Originally Posted by brandrea

Wow, that seems like an amazing price



I’m sure it would cost double up here or at least a lot more. Well done

Thanks Brian

She’s happy with it so my job is done.

[brandrea]

Very nice indeed, I love that interior, well done

[breitlings]

Originally Posted by keithl

I LOVE cars, they really can elicit emotionall and passionate feelings in people. In fact I am an auto broker and dealer. As a dealer, the 2 ways to make the most money are in order:
1. Leasing 2. Subprime Sales. They are both similar in structure. There is a reason call dealers would MUCH rather you lease than buy a car... I just happen to want to help people make good decisions when it comes to their cars.

My dad owns a few cars at a time and goes through them in 6-24 months. I've learned quite a bit from him.

1) my dad can do present value of a dollar, lease and loan calculations in his head, for hundreds of millions of dollars, so he can pretty much know exactly how much a car or house will cost within maybe 10 seconds.

2) Leases are different and loans are different for every car, it is nearly impossible at the upper end of the market to know which is better without knowing the deals they are offering.

2a) It is much cheaper to lease a maserati for example. Go and ask about a quattroporte, they aren't even close, they put the residual sky high, they just want to move the cars. My partner in my current company has a quattroporte lease for something like 600 dollars a month or something super low.

2b) my dad will choose what is cheapest based on the particular car. I would guess half of the cars are purchased in cash and half are leased.

3) some cars you just do not want to own, they may depreciate super fast or be terribly expensive to maintain, Range Rovers come to mind.

so I have a feeling you are right for the most of the market, pragmatically what I have seen is it breaks down at the high end of the market.