Hope all is well! We are considering a lease for the first time and we are interested a GX 460 Premium. The first dealership offered us the following as part of their "December to Remember / Sign and Drive event." Historically, we purchased cars and kept them for about 4-5 years. With the lease, I don't mind keeping the car longer to reduce monthly payments and I have no interest in keeping the car after the lease and apparently we are able to end the lease 6 months early if we move on to another Lexus (very likely).

~60K premium car and 10k miles/year.
~$2000 at signing consisting of first month, all fees (dealer, title/tag, lease), and service contract for 3 years, and wear/tear contract
$559 a month for the following 44 months inclusive of taxes (contingent on Lexus holding on to $4800 that will be released to me at the end which would be my money factor, without this it would be $599 a month)

Would greatly appreciate people's thoughts and guidance. Thanks!

 

What happens when you exceed 10k miles?
that would never work for me...

 

Why do you need a service contract and Wear and tear contract?? that doesn't sound right and just unneeded extra money out of your pocket! You have a 5/60 warranty on the Lexus anyway, you do not need that other crap!

 

Service would cover service for first 3 years and the wear and tear is up to $7500 including tires / body / interior damage that could happen. It was like $800 for both overall so I figured it wouldn't be too bad for a piece of mind...does the rest of the deal make any sense?

 

For reference, two weeks ago I leased a 17 GX luxury. The sticker was $68,925 with a dealer discount and lease cash from Lexus got $11500 off. Did a 36 month 10k lease with zero down and was $698 a month which includes taxes (PA) and tags. I declined the wear and tear and maintenance packages. I focused on negotiating the best price for the vehicle as the money factor and residual value are not negotiable.

 

I took wear/tear warranty on my C300 Mercedes lease but guess what never used it in 3 years just ended up paying extra for no reason besides u have factory warranty and vehicle insurance just in case. Gud luck. I won't take it for a Lexus vehicle a Bmw maybe but not Lexus.

 

When they say 0 down is it truly 0 down or did you still have to pay a lease fee / dealer fee...etc? Thanks

 

The out of pocket money I paid to drive the car off the lot was the first payment ($698). With that said, they did charge a $795 acquisition fee and a $300 doc fee but they are rolled into the gross capitalized cost of the vehicle along with the title and registration fees.

 

what's the residual value on the lease deal that they offer you?

 

Residual is $37,936

 

So, $559 x 44 + 2000 = $26596 total cost. 26596+ 37936 = 64532. 10,000 miles/yr or 900 miles/month so 44 months = 39,600 miles

The current market price for a used 2014 GX Premium with 39,600 miles is about $34k - $38k but you will get LESS than this if you trade it in or sell it yourself. I think this is Do-able; however, if you drive more than 900 miles per month then be on the look out...I will feel better if it is 12-15k miles per year

 

You are mixing up my lease with the OP. We don't know what his residual value is. My was for a 36/10k lease, 55% of the sticker price for a 17 luxury, he is looking at a 18 Premium. I don't know what the residual is for a 44/10 lease, but I think his residual will be lower than mine ($37936).

 

Oh crap...sorry.