Looking at 2017 Lexus ES350. MSRP is $45964. I am a returning Lexus lease customer, and I did not have the benefit of Lease Hacker years ago. My salesperson is pushing me hard, but I want to get it right this time.
I prefer a 36 month lease. Sales is pushing 42 months at $609 per month. The calculator tells me this is over $100/month too high, depending on MF, which I have not been made privy to.
Any thoughts on negotiating this lease would be appreciated. I am not under the gun, as I have 4 months left, but dealership is pushing its March incentives and Lexus will waive last 4 months of existing payments.
I’m shopping for an RX as well. MF is currently .00110. I just need to decide on options and then start emailing dealers. I’m hoping for a discount of at least 12 to 15%, is that realistic? Whoops I just realized this is an ES, wrong thread for RX
First off, that’s a terrible deal. You need to find out the sales price, MF, RV and any incentives available. Also, are you positive Lexus Financial is waiving your final 4 payments or is the dealer rolling those into your new payment? Seems like the latter as I’ve never heard of Lexus doing such pull-aheads.
Wow, that payment is very high, seems to me he isn’t giving you much money off the sales price. According to truecar you should get AT LEAST 3,600 off, but since truecar charges the dealer you are put into contact with, that 3600 should become more like 4k. 4k is about a 9% discount, which isn’t that hard to negotiate down to. Ontop of the discount there is 1750 in lease cash provided by lexus. With that discount and lease cash, your payment should be about 463 w/o tax.
Just speculating - is your current payment about $609? Don’t call them - when they reach out to you tell them you are planning to lease a new one in the next four months. Tell them you plan to lease one this month if the price makes sense. Tell them you will be shopping out of town dealers to receive the most competitive price (and do that).
I have no idea if the below company is reputable or not, but to give you an idea they say you can lease an ES350 (likely base model) for $359/month. You could try grabbing a firm quote from a broker and then put the pressure on your local dealer. The dealer will flinch - screw them.
I agree that this does not seem like a very good deal at all. Don’t let the dealership bully you, I don’t know why they would care if you were doing 42 or 36 months other than trying to trick you with a lower payment.
One thing I will throw out there is make sure you look into the Multiple Security Deposit (MSD) program. I was able to get my MF down to 0.0001, which reduced my payments down more than $50/Month. If you have the cash, it’s totally worth it. I’ve dealt with both Toyota and Lexus dealerships on this, and they were both confused and told me that the program was for people with poor credit. But I continued to push, and made them do the research (aka their job), and they both came back able to make it work and amazed by how much of a difference it made.
Most of the advice around here is that if you don’t have the cash for the MSD, do not lease your super luxury car! Save the money first as interest rate savings you get from MSDs give you an effectively ~10%+ guaranteed return. There is a long thread somewhere in this forum about the math on this by @max_g
Thanks chris - I agree, but I didn’t want to presume dks’s position. I’m just a huge proponent for the MSD program and I’m not sure why it isn’t more widely known and used.
OK, well that discount is an insult. They have marked up the MF. Even with your numbers I can’t get a payment that high. I don’t know which state you are in though. With LA tax at 8.75% these are the numbers I get.
Hi dks - I know Ohio is a spacious state, but I would encourage you to look at nearby towns. When I lived in Indiana, I had a dealership deliver me a car two hours drive away from my home. It put some miles on the car, but it saved me the time and hassle and they were more than willing to do it to get my business. I’ve also driven the 2 hours myself to make a deal. If nothing else get a competitive bid you can show to your local dealership and have them match. Its going to be an uphill battle if you’re locked into one car option and one dealership.
Those numbers are horrible as others have explained. Unless you are dead set on a Lexus, I would check out the Infiniti Q50 AWD, much more bang for your buck and a very nice car. Others on here have gotten great deals on them. At a minimum, it can’t hurt to use as leverage with your salesperson.
