Let me first point out that this is not a lease. When I was putting this one together, the loss of Lexus incentives for a cash purchase (or 3rd party financing) and 51% RV did not make the lease a prudent decision by any means. Plus, Lexus also holds its resale value really well compared to Volvo, BMW, Mercedes, etc.
As a brand, yes. But the value retention of, say, an ES or RX350 isn’t very relevant here. How long do you plan to own this car and what’s your assumption for its value at that time?
Just ran this through Pentagon FCU’s Payment Saver. Using the sales price above, the payment would be $570/month for 24 months with $3k down (plus taxes tags fees). Not bad considering their residuals are usually conservative.
Plan to own the car around 2 years, trade-in values for vehicles of the age and around 20,000 miles per year seems to be around $44,000-$46,000, so around $624 depreciation cost per month. Not factoring in large repairs due to complete warranty coverage over the period of ownership.
Edit: these might be inflated because of the state of the used car market currently, so might be a bit more.
Definitely more depreciation compared to an ES or RX, but still a lot of car for under $60,000 and will be nowhere close to BMW 7 series depreciation. Would have leased, but a 20,000 mile Lexus lease made no sense after a 51% RV (Edmunds) plus all of the pre-purchase miles. (15,000+5,000 at $0.20 per mile as the dealer quoted me).
Congrats! I wonder if I would get an LS 500 or the new Genesis G80 V6, if they were both around the same price. Both are tweener luxo sedans in between an E-Class and S-Class in size.
Yes, it’s a balloon program with a final payment of $45985 after 24 months. Their residuals are usually conservative but you have some risk that actual value might be less. Also, the current rate for the 24 month balloon is 2.99%.