I’ve always liked the Land cruiser. 2021 will be the last model year (for at least a few years). They hold their value incredibly well. I put on about 7500 miles a year. A lease would be well over 1000 a month.
Does it make sense to buy the SUV? Would cost me $90k with tax and financing fees over 5 years. It would have roughly 40k miles after 5 years, and my guess is that it would be worth $60k+. Essentially costing me $500 a month.
This is assuming that there are no major accidents.
Also assuming that the car will still hold its value in 5 years?
This generation of land cruiser was released in 2007. I can’t fathom spending that much money on a dinosaur. Have you considered a late model used one? That value proposition just isn’t there on a lease.
I’m in the same boat. Have had multiple LC’s over the years and have always kicked myself in the backside after getting rid of them. Right as the pandemic hit and dealers were all scared, I had a chance to pick up a '19 Demo with 4K miles for $66K…they just wanted it gone. I’m still pissed I let that slip away, but the timing wasn’t right. Now, even though I have some Toyota contacts, I would be lucky to get one much under $80K. Used ones are going for over $70K with 20-30K miles.
It’s about time for me to get something new and the leases on these just don’t make sense. If I go this route it will definitely be purchase. They do hold their value incredibly well and after 5 years of a really high car payment, there will be a ton of equity still there, unlike a RR. The bells and whistles aren’t there like some brands, but the reputation, ruggedness and reliability are second to none. I personally wouldn’t be surprised if these last few years don’t hold their value even more as anything new that comes out will either be turbo or supercharged and a lot of the loyalist won’t want that.
I bought an FJ cruiser in 2014- last model year. Got a 10% discount on it- no one wanted them. As soon as they were discontinued, they shot up in price. 4 years and 50k miles later and it sold for the same amount as I paid new. Unlikely yes, but that’s unheard of.
What @chrishs2000 said.
You need to look at all the inputs. It could simply be they are setting the residual too low. In that case you can always purchase it at the end of the lease with included downside protection (accident, doesn’t hold its value as expected…)
These are vehicles you buy. Yes, they’re outdated, not as flashy as competitors and ridiculously expensive. However, they’re simply bulletproof, phenomenal off road and that’s why they’re expensive but also hold their value. There’s a reason they’re used by many militaries and off road excursion companies across the globe.
What cars are currently selling for on the secondary market minus a few thousand for dealer mark up. I’ll punch some fake numbers into Vroom with a real VIN and see what comes out.
Bad idea. Used car market changes consistently, and if a new model comes out on the 70th anniversary like many people hope, then you’re car is going to be worth significantly less.
-LC market is speculator central. Throw out the logic with valuation on these. You`d be in this for the long game if you hope to come out on top with these. In the short term you’d come out even or a little less then what you paid for.
Actually this generation was released in 2009 and not 2007.
Since then, it has gone through 2 different midcycle refresh. One refresh was only minor cosmetics to exterior and the latest touched on both interior and exterior.
I personally think Lexus LX is a better value, they do depreciate faster than LC, so a used one would be even more affordable
