Originally Posted by Rstr85

Hello everyone,

First time buyer here that's looking to lease the IS250 AWD model. After spending hours reading through the forums and trying to understand the leasing aspect of a car and how it can get very complex. I've decided that I will be leasing the IS250 AWD. I'm having a hard time deciding whether if this is a good deal and in need of some guidance please.

Here's what the dealer offered me so far. I haven't mention to them yet that I will be leasing because from reading the forums I was told not to mention I'm leasing yet until after negotiating.

So the new 2014 IS250's do have an extra $1,800 incentive, but we are down to our very last one.

2014 IS250-Awd
Includes Navigation, Premium Package, 18" wheels, Blind Spot Monitor
MSRP-$44,103
Invoice-$41,622
Sale Price $37,991
Sales Tax - 6%
The title, registration, inspection and temp tag fee's - $531
OTD Price - $40,800

For the 2015's, we have plenty here to chose from, some with less equipment which can save you even more money.

2015 IS250-Awd
Includes Premium package and back-up camera
MSRP - $40,970
Invoice - $38,843
Sale price-$37,343
Sales Tax - 6%
The title, registration, inspection and temp tag fee's - $531
OTD Price - $40,100


This car will be for my girlfriend. So we don't need any fancy options. She just wants an AWD for the winter.

The questions I have also is.
After negotiating the price within my budget. How do I go about leasing the car for the dealer to honor the price that we've discussed, what numbers should I be looking at, and also the calculations?

Thank you

Originally Posted by BUmatt

New to the forums but long time lurker1

Just bought a used 14' RWD 350 F sport w/12,xxx mi. for $40,750 OTD from Johnson Lexus, Durham, NC.

Originally Posted by bgaerttner

There's really not much, if any, advantage to hiding the fact that you want to lease unless there is an extra incentive available on one or the other (buying or leasing). The three factors that will result in a good lease deal are negotiate the lowest price, get the best lease money factor (credit score driven), and high residual value (set by whoever is providing the lease - probably Lexus Finance in this case).

If you feel that you have negotiated the best price on these vehicles, you need to request the dealer's best lease quote based on those prices. Keep in mind there is a lease activation fee of $700 for leasing a Lexus. Most folks seem to be getting the best deals on 24 or 27 month leases these days.

Get the quotes with all the details and come back here and we'll let you know if they sound reasonable.

Bill G

Originally Posted by Rstr85

Thank you Bill for the help!

Here's what I got from the dealer so far.

2014 IS250 AWD
MSRP-$44,103
Invoice-$41,622
Updated Sale Price-$37,103 ($7,000 off!!!)
Updated PA Tax-6%-2,226.18
PA Tags-$531
Total "out the door" $39,860.18

2015 IS250:
MF - .00105 up to 48 months

Residual Value
27 months
15k - 71%.
12k - 73%
10k - 74%
7,500 - 75%.

36 months
15k - 63%
12k - 65%
10k - 66%
7,500 - 67%.

For the December to Remember sales Event, there is a 1st payment rebate for the 2015's.

2014 IS250:
MF - .00170 up to 48 months (standard rates only for 2014's)

27 months
15k - 67%
12k - 69%
10k - 70%
7.5k - 71%

36 months
15k - 59%
12k - 61%
10k - 62%
7.5k - 63%


He said same sale price for lease. Not sure how much of a difference I should be seeing on the sale price when its finance vs lease. Please let me know.


I also notice for the December event

Advertised Event
2015IS250AWD
$349mo.36mos.
$2,299due at signing.
Complimentary First Month's Payment**Excludes official fees, taxes and dealer charges. No security deposit required. 10,000 mile/year limit.

Should I just go for this option? and try to bargain for no due at signing, would that be doable?
What's factored in "due at signing"?

I also forgot to mention I would like to lease it for 36 months.
Thank you again for your help, greatly appreciate it!

Originally Posted by bgaerttner

Have you gotten any lease quotes on these cars from the dealer?

With the figures you provided, for 36 month, 10k miles, zero due at signing, I get:

2014: $478 incl tax

2015: $420 incl tax

The 2015 comes out better because of the better money factor and residual.

If you have other Lexus dealers you can get involved in this process, you might be able to get some competition going and sweeten the deal a bit.

Originally Posted by Rstr85

Thanks Bill!

The prices I listed is also the lease quotes that he's using.

Questions about the 2015 December to Remember event. Did you divide 2299 due at signing by 36 months and factor that into the 349/month + tax? if so what are my chances of just getting a flat 350-400 / month deal incl tax for either 2014-2015 models. Does this price sounds reasonable? I've read some people post on the forums about their lease and some are paying 400+ tax incl. Haven't seen one less than 400/month + tax. with zero due at signing.

Thank you!

Originally Posted by bgaerttner

Forget that national advertised deal - those deals are usually not as good as you can get doing your own negotiations. I think if you wait til this Sat or Sun (last two days of month on holiday weekend), you would get this thing down below 400 incl tax, zero drive off.

You do realize that the 27 month term payment is about $10 less payment - and if you wanted to keep the vehicle a little longer, Lexus will do a 6 month extension at the same payment.

Originally Posted by Rstr85

I didn't know that. Thanks again for your help man, I really appreciate it! This car will be for my GF so it's our first Lexus purchase. I'm a WRX STI kind of guy hehe. I've always financed my cars so I don't know much about leasing until reading these forums. I will wait and see what kind of offers they're going to give me, I am in no rush but she will need a car by the end of December before her old lease is up which is a Honda Accord.

Do people usually wait until end of November / December? What's the reason behind this?

Originally Posted by Rstr85

I didn't know that. Thanks again for your help man, I really appreciate it! This car will be for my GF so it's our first Lexus purchase. I'm a WRX STI kind of guy hehe. I've always financed my cars so I don't know much about leasing until reading these forums. I will wait and see what kind of offers they're going to give me, I am in no rush but she will need a car by the end of December before her old lease is up which is a Honda Accord.

Do people usually wait until end of November / December? What's the reason behind this?

Originally Posted by bgaerttner

If you can hold off, you'll be in a really good negotiating position toward the end of December - sometimes a dealer is close to making a year end dealer bonus and is willing to make some really good deals to get there. Also, the money factor might go down a bit which would shave a few bucks off the lease payment. The residual should stay the same so you'll be ok there.

It's always a good idea to put as little money as possible up front to get into a lease but Lexus offers what they call multiple security deposits - each security deposit is to the nearest $25 of your payment - example 400 for a payment of 390. Each security deposit lowers the money factor by .00008 and they allow up to 9 security deposits. So you could essentially lower the money factor from .00105 to .00033 which would lower the payment 40 or 50 bucks. If PA allows it, it's a good investment because you could save 13-1400 in interest and you get the security deposits back at the end of the lease minus any excess mileage or damage.

Good luck with your shopping - keep us posted.

Bill

Originally Posted by Rstr85

Hi Bill!

Here's what I got so far.

2015 IS250 AWD with only premium package (LED lights and heated/ventilated front seats) and a back-up camera. It's only $960 worth of options and I think you'll appreciate the heated seats this time of year.

MSRP-$40,970
Invoice-$38,843
Sale price-$35,970 (includes the $350 rebate)
27 months, 10k
Includes PA use tax (9%)
$350 per month, with nothing but the 1st of 27 payments due at signing (26 remaining)

He didn't want to give me the 2014 with Nav for that price. So he offered to 2015 instead. The price isn't counting the $1000 college grad program either.
Should I take this offer or keep pushing? $300 / month and it's a deal, but if he doesn't give me it stick with the $350/month?