NJRonbo

Getting ready to retire.

I stepped down from a luxury vehicle and got the 2018 Honda Accord Hybrid Touring. It's a nice car but there are buggy issues with it and really, I am feeling the dissatisfaction of stepping down from a luxury vehicle.

After a year of ownership, I am ready to trade it in for a 2019 Ultimate Luxury ES 350 or ES 350h Hybrid.

However, to get the payment down to a comfortable $400 a month range I would have to put down about $26k.

Of course, I am financing to own, so I am just paying into the ownership of a vehicle I plan to keep for many, many years.

Am I crazy even considering this to own what I would consider being my dream retirement vehicle?


PS: Does the 350 series have a Heads-Up display? Seems to disappear when I add the Mark Levinson Navigation/Audio package

CJS57

I did about the same thing but with my own financing. Love the car. Heads up is a $500 option, love that too!

NJRonbo

So I shouldn't feel bad about putting so much money down on this vehicle. Correct?

Did you go with the 350 or 350h?

And the HUD can be added to any option vehicle for $500 extra?

Thanks

mikesrx350

just had a thought

maybe think about leasing the car for 3 years, at around 550 month 0 down
negotiate a lease till its 0 down maybe inceptions only

keep your 26k getting 7-8 percent a year for 3 years

residuals are good keep payments low

if you buy it with 26 down, you will lose the present value of that money invested
plus the car will depreciate 22-25% from the 48 k purchase

so lease it pay 500 month for 3 years lets say 18k
then buy it at end for 400 month for 60 months with a purchase of 24-30k
with a low interest rate from lexus

just something to think about

NJRonbo

Appreciate the help.

Do you think I can get a $53k vehicle for 0 down and $500 a month lease?

Granted, I might get the price down a little, but a fully-loaded 300h is about $53k with Mark Levinson audio and HUD.

I mean, I absolutely suck at negotiations. I wouldn't even know how to get them down to that price.

But yeah, leasing it for 3 years and then with the option to buy afterward may be the better way to go.

.

mikesrx350

if you private message me i will make some calls for you tomorrow at prestige and englewood

if you would like that, i will do my best to see what deals are out threre, couple of things important

the credit score range
the colors your ok with
and the exact car you want with options and what options your flexible with

i have helped before and i go back and forth with endless questions because exact cars/ models etc are not in stock
also are you ok with 10k a year in mileage, if not let me know mileage

i just saw u want to trade the accord so it changes my response, its too complicated.
how i can assist pick a dealer your comfortable with go in, negotiate , let them put a number on your car,
make sure you clear no money down lease or just a small out of pocket,
once u have the deal private message me, leave the dealer unless the deal is so good u can't resist
then ill shop the deal for u and get a sense where we are at
hope this helps



so i

NJRonbo

Mike,

You work out a good deal for me there is an Amazon gift card in the deal for you. I am not going to have you work for nada.

I will be trading in my Honda Accord. The Blue Book value is about $25k.

However, if we are talking 0 down and $500 a month I am not sure how that comes into play. I would guess Lexus would pay off my remaining payments on the trade-in and I may make about $6k on what is leftover from what is actually due (my payoff is about $19,800 on the Honda).

What I want is this:

2019 Lexus ES Hybrid
Nebula Grey Pearl (preferred exterior)
Black semi-aniline leather with Linear Espresso wood trim (interior)
Ultra Luxury FWD
Extra Options: Mark Levinson Audio/Navigation, HUD Display ($500), Wireless Charger ($75) and (possibly) triple-beam LED (thought that will probably hike the price up substantially). The LED is the only thing that is not a "must"

Heated steering SHOULD be included. If not, add it.

I would rather have 12k mileage, but if 10k seals the deal so be it.

Thank You, Mike!

NJRonbo

Just made some edits to add/remove options. What is there above is now correct.

Without the added LED lights (which is not a must) the Lexus site lists it as $52,890

mikesrx350

ill make calls
ultra lux won't be 500/mo
u have high taste my friend

mikemu30

What interest rate are they quoting you?

SW17LS

I personally would not put $26k down on a vehicle. For me, my money earns more invested than it does tied up in a depreciating asset like a car.

BUT, there is no reason not to do that. You don't want to put a bunch of money down on a lease, but on a finance it just gives you a lot of equity in the car.

You should NOT lease and then buy it out. Almost always you're better off buying it from the get go. Leasing can be great if you're going to trade it after 3-4 years anyways.

95bat

I agree. I think the best case scenario is if that $26k would be sitting in a bank, doing nothing, then you might as well put it down on the car to save a little interest paid on the vehicle. It won't be much though. Plus, if you're retiring, I'm assuming you'll be on a fixed income and the lower payment might be more important.

Even though it's not the wisest move financially, I've always used vehicle equity and a moderate down payment on vehicles to keep the payment lower. I have a mental block about my car payment and insurance being over $1000 a month for some reason. Oddly enough, my Corvette was like $96 a month to insure and the Lexus is $139! Makes me want to drop State Farm...

jimv1983

I put $39,000 down on my 300h Ultra Luxury. I was able to get the Mark Levinson and the HUD I'm happy with both.

jimv1983

I put $39,000 down on my 300h Ultra Luxury. I was able to get the Mark Levinson and the HUD I'm happy with both.

NJRonbo

Then what is the best move here?

This is a $53k vehicle

I can lease for a hopeful $400-$450 month payment but I shudder to think what I would have to put down.