Sam Khoury

I got the following in an email from Rallye Lexus. I never priced out an ES300 so I don't know how good it is.

steviej

iTrader: (1)

Based on just what is in the add:
I would have to pay an extra $150/mo just on the extra mileage. (who dirves 10k miles per year?)
It appears the lease would be for a new 2002 not a 2003.
and finnaly, you can't buy the car at the end of the lease ("no purchase option")

Not a good deal.

steviej

lexusk8

I totally agree with you, Stevie. This lease deal does look enticing at first (zero down, and zero security deposit for qualified buyers), but when it comes to crunching the numbers and finances, then the situation becomes more uninviting. I don't buy into leasing automobiles in general; it's like renting an apt/condo/house, you're putting in money which you won't see again.

BTW, the $150/month you calculated for the extra mileage comes out to 10K extra miles for (I assume) a new ES. That's a total of 20K miles per year! I don't imagine the average Joe to drive that much for a car, new or used; maybe something like 15K miles per year is a suitable amount of mileage to figure in this case (that calculates to an extra $75/month with the lease payment).

Sorry for sounding like a crazed math major