A friend got two brokers (one of whom I trust) to get numbers on this car. Apparently it’s ~$98,000 paid over the 36 month lease. MSRP is $167,000. That’s an INSANE amount of depreciation, no?! Is that actually acceptable for a car like this?
That’s normal on any of the AMG vehicles, Mercedes don’t want to lease them but are happy to at exorbitant rates. The reality is after probably ~2 years you’d break even and at the end of the lease you’d have a healthy amount of equity in the vehicle. Check out the Aston Martin Vantage, it leases better and has an AMG drivetrain and Mercedes infotainment system.
Hmm. To clarify, are you saying he would make a significant amount back by selling the car at the end of the lease instead of returning it?
Assuming it’s not involved in an accident, which is always a risk (whether buying/loaning/leasing), you would get some money back. If it leases that badly though the prevailing logic is to just finance it over a longer period, but leasing can have it’s perks even in these situations as it gives you more options to escape after 3 years. At $3k per month though you’d be crazy not to go for a Mclaren, Lambo, etc.
A close guarded secret in the world of G63 wagons.
If you can pay the monthly you can often have plenty of profit between your payoff and the market value, if you leased right.
What IS a good deal on a MacLarren nowadays btw?
Depends on the model, type/length of financing, time of year, etc but $3k per month can get you an awful lot. The best deals we’ve seen recently for high end is the AM Vantage ~$1700pm 36m/5k mileage (some had it with 7.5k mileage though)
DThis is just leasing 102.
And it doesn’t mean anyone did anything particularly smart. RV is set by the bank, market values are set by the market, they just happened to luck into MV > RV. It just means they overpaid depreciation during the course of the lease and are getting part of it back.
Without title in hand, depending on the state, they also lost out any opportunity to maximize MV thru private party sales and are limited to wholesale.
And if purchase APR < lease MF, then they overpaid financing as well.
It’s not all depreciation. It’s interest (and taxes) too.
MB standard MF is probably mid to high .002xx