Hey guys. I saw the sticky had a little bit mentioned about lease swapping. I was wondering if anyone has more information about it? Its something I want to consider doing. Has anyone ever gone through it? Any tips or information will be much appreciated.

 

I know this is over a month old in replying but I did a Lease takeover and overall, it was pretty simple. Let me know what questions you have specifically and I will be happy to answer.

 

I have a question for some of you lease guru's.

I live in PA with tax of 6%. There is a vehicle in GA I am looking at and for leasing, I believe they charge tax based on the full price and not the leased amount. Can anyone tell me how that would impact me if I am buying it in GA and then registering it in PA where I live? This is all for a lease so I am wondering how it would impact my payments. Thank you in advance!

 

You pay sales tax depending on where you live and register the car, not where you buy it. So you would be taxed according to how you are taxes on a lease in PA.

 

Awesome! Thank you very much for the information and reply!

 

Anytime. Good luck!

 

Note that the tax to lease a car in Penna, rather than purchase it, is going to be higher. I believe the tax associated with leasing is 9%.

 

I haven't read through all of the posts yet and am not sure if it has been asked already. I understand that you save yourself risk by not putting money down, and the rational makes sense. However, if we set the down payment aside instead to pay the additional increase in monthly lease payments, aren't we being charged interest/MF on that higher monthly payment (the difference on the lease payment, due to no down payment)?

 

Yes, but if you have good credit, you should be paying a lot less interest than that money could be earning for you.

 

The way I've calculated it, my wife's 2006 ES 330 (purchased Oct 2005, new at MSRP(!), before we met ), has cost $307/month to own/operate/maintain the past 12 years. I didn't factor in insurance because I don't know what insurance rates are for a leased car but I imagine it would be higher. She is sentimental about her ES and it is still in excellent shape. She used to put 25K miles per year early on, but is consistently only logging 6K miles per year now. Although the car is in excellent shape at 125K miles and can probably go double that without issue, I am curious about leasing an NX for her (RX may be too big, and expensive). It would be nice to have an SUV/CUV in the family and the NX would be easy for her to drive and park, and allows her to sit higher (since she likes the driving position of my parents' 2007 RX). Anyways, it seems my wife would be a good candidate for a lease but I know she would only go for it if I can prove the lease payments would be close to what she historically paid for her ES on a monthly basis (which will keep getting cheaper the longer she keeps the ES). Since we've had the ES so long, it has been in one or two minor bumps. How do accidents affect a least and residual value at time of return or trade-in?

 

I'm using a desktop browser and not sure where the "thank" button went, but thanks for this, vfr700f2, good point!

 

Leasing a car will never be cheaper than keeping a car for 12 years. If she's happy doing that, and you don't care to have a new second car every few years, I would buy her a new NX and keep it for another 12 years. Or...buy a used one and keep it for 12 years if you're good with that.

Big reason I lease is I don't want a used car, and I know I will want a new car in 3-4 years. If thats not something she wants, then I wouldn't spend the money.

Insurance is the same for a leased car vs a purchased car unless you carry low coverage typically.

As for accidents, any damage thats beyond excess wear and tear you'll have to repair before you turn it in or they will charge you. generally anything bigger than a credit card.

 

Thanks, Steve. I never expected a lease to be cheaper in our situation (recognizing your prior examples that it is possible for a lease to be cheaper in a 5-6 year breakdown), but was hoping to get close to our historical cost as a tool of persuasion. However, you're also right about respecting my wife's true wants. Although she does like to sit higher and I'd like to get her into an NX with the latest safety features, ultimately she has no interest for a new or different car. She is more than content driving her ES forever. Since she only drives the car to work and back, and fills up gas every two weeks or so, the ES may literally be her last car, barring any accidents that force us to give up the car. The ES interior and leather has held up remarkably well with few wrinkles. Aside from regular maintenance and tires, the ES has only needed an alternator. The bird's eye maple still looks fresh by today's standards. I guess I should stop thinking that I know what is best for her and accept that she's happy with her car. Cheaper to accept the truth in this case. I probably want the NX more than she does...well, really I would prefer a Macan or F-Pace for her but she's a devout Lexus faithful.

 

I’m trying to find out if there is a current loyalty rebate for lexus lease especially for those affected by takata recall. LFS referred me to dealer and local dealer does not want to answer it.

 

I've never known Lexus to do loyalty or conquest rebates. They do lease cash which is a rebate that is available to everybody.

Airbag recall has nothing to do with rebates.