DCThunder

Worked out a deal today to lease an L-Certified '14 ES 350 Ultra Luxury/Mark Levinson with 13.8K miles. Loaded with all the safety options (BSM, LDA, PCS, parking assist) and a power trunk.

Sale price $32.5K including acquisition and documentation fees ($950) with a 3 year residual at 15k miles/year of $20.6K. Money factor 0.002. I was hoping for an new year incentive program reducing the MF but it didn't happen.

The dealer will also buy me a new set of tires of my choice and will be installing a remote starter.

Lease payment including sales tax and $2200 down will be $400.

Thoughts?

Mike728

Congrats, but that sounds like a horrible deal. There have been threads where people are leasing new ES's in the low $400's, GS's in the high $400's with $0 down.

If you're happy with the deal, that's all that really matters, though. Any pic's?

DCThunder

From what I'm reading, residuals on a 2017 ES at 12K miles/year are running 58%. Assuming a sticker price of $49k and a sales price of $46k, even at a much better MF of .001 and no money down, payments will be in the upper $500's. And, again, that's at 12k miles/year; the L-Certified lease allows 15k miles/year.

Sales tax could be part of the difference, that represents $25 of my monthly payment. But I'd like to understand more about how people are leasing equivalent vehicles for the low $400's.

SW17LS

Not a great deal I agree.

You'd be able to lease a new one for not a whole lot more than that. And you can get new leases with 15k miles, even more. MF should be better than .001.

BigRon12

I was offered a lease deal on a 16 last year. it was the Ultra Lux package w/ML for 3 year 15k miles w/1500 down for 455 a month.

DCThunder

BigRon, That's a good deal. I can work that out to a purchase price of around $44k, 58% residual, MF of .001, and no sales tax included in your payments. Is that about right?

In Ohio, I'd have to include sales tax, which would bump the payment up to $475. The '14 I'm looking at is clean, has 16k on the odometer, will have new tires and an L-Certified warranty lasting throughout the lease period. So what is that extra $75/month going to get me? If they could get my MF down to the same level I'd be at $350 and that's the deal I'd really like to have. I'm probably going to walk away if they can't do that. I haven't signed anything yet.

Thanks for the input.

lesz

I've never leased a car, and I don't keep up with the market for leasing terms. Thus, I can't comment as well as others about the money factor, residual value, etc. that you are being offered, but I can offer some information about a couple of other aspects of the deal you are being offered.

A few weeks ago, I traded in my 2013 ES and bought a new 2017 ES. My 2013 was in virtually perfect condition, and it was a very nicely equipped low mileage Luxury package car. The dealer is currently offering my trade in as a CPO vehicle for about $27,500. I figure that they will likely end up selling it for around $26,000. The 2014 ES that you are considering, with the UL package and with it being a 2014 model, is likely worth about $4000 to $5000 more than my formerly owned 2013 Luxury package ES. Thus, I'd say that, if the dealer is offering that 2014 ES at $32,500, that price is a bit high.

I believe that the assumption that I quoted is a bit conservative. The 2017 UL ES that I bought had a MSRP of about $50,000, and I bought it for right around $44,000, which I thought was a nice discount for a 2017 at the beginning of the model year. Thus, I'd guess that your assumption of a $3000 discount on a 2017 is somewhat low.

SW17LS

I'd pay $75 a month more to drive a new car with all the 16+ enhancements every day of the week. If the car was identical to the used one, I would still spend $75 more just to get a new one.

BigRon12

No that with OTD pricing so sales tax was included.

I ended up buying a CPO 2014 ES 350 Ultra Lux Package w/ Ml and every option possible for 34k OTD, mine had 8800 miles on it.