zoombie99

I was playing around with lease calculators today inserting various numbers for a premium edition and a luxury model. The residual is a few points lower for the luxury edition. I am looking at a three year 15k lease. My conclusion is that there is about a $100.00 difference per month for the luxury model. Over 36 months it is $3,600 so you are practically paying 90 percent of the option costs. In other words, the difference between the MSRP may be around 4k, the residuals difference is less than 1k.

rominl

iTrader: (4)

just like a lot of options on luxury cars (like mark levinson, etc....) over the years they depreciate down to almost nothing

LEX900

Exactly why I went Premium when it was all said and done.

PLAYTYM

Now let's talk about if you lease or purchase. Good chances are if you wanted to you could sell within two years privately and the luxury options are going to be more sought after, which will make the car more marketable.

Just my $0.02.

rominl

iTrader: (4)

doubt that. most of the luxury cars i have owned, the "extra" options and such they are worth so little after 2-3 years, often less than 50% of original price

zoombie99

According to Lexus' logic, they are worth less than 90% of the orginal value after three years.

rominl

iTrader: (4)

i won't go into details, but looking at my older car with 2000 bucks mark levinson, at one time (after 3 years) i checked on the book between my car and a base car, yup, the option added about 200 bucks. that's why i didn't find it surprising when you posted it up.

that's what luxury segment is about anyway, you pay for all the extra. at least that's how i perceive it. want to make sense ans i doubt any luxury car with 50% depreciation over 3 years make sense (compare to economy brands)

spwolf

luxury cars are such bad investment choices... buying base Prius G3, Prius c or Corolla is much better investment :-).

Luxury cars are luxury - means not needed. Means more you spend, more you lose.

rominl

iTrader: (4)

agreed

jedimaster

There is a reason why lease is much cheaper with the premium which is basically a barebone 4GS. Most buyers sought for either Luxury or the Sport pkg. I would agree that ML stereo has little resale value down the road, but the MSRP for ML is only $1380. With Luxury, you get AVS with Sport+ mode witch is a big part of 4GS. You also get AFS, Blind Spot monitor, rain sensing wipers, upgraded leather trim, 18 way adjustable ventilated seats, rear seat AC control, rear door sunshade. Last but not lease, you get a much better wheels and tires. I'd say Luxury and Sport pkg are better deal, IMO.

PLAYTYM

+1...agreed!