I am weighing all options at the moment and have some lease number that look good on paper. With my current situation, and with a new generation Wrangler on the way, leasing may be better for me at the moment.
Here are the lease terms:
2017 Unlimited Willys Wheeler W edition. They haven’t pulled my credit yet. Let me know if this sounds right. Isnt that residual very high?? I thought I liked a lease because I figured I would have the choice where I could buy it at lease end, or get a new generation JL Wrangler in 3 years. But 77% residual and $29,093 buyout seems high.
$383.97 down (first payment)
12k miles for 36 months
$383 per month
77% residual
Ally Bank 0.002396
That is a solid deal. The discount could be a bit better. Even after the freight ($1095) is added back in, our discount is $4300 off of MSRP. Push a bit more…
You can use one of several credit unions in Colorado to get a much lower payment than what Ally is offering there.
36/12k RV will be 73% and the MF will be around 0.00105-0.00130, depending on which CU you go with and if you qualify for their top credit tier.
The benefit of doing that is that your payments will be lower and your buyout will be much lower than Ally’s juiced up RV.
Anyone looking to lease a Wrangler should check with me if there is a credit union leasing in your area because that is one model that we are almost guaranteed to beat all other lenders on.
Which dealer is this through? I can check to see if they are active with any of our CUs.
I don’t believe in buying out a vehicle after the lease is done, so an artificially high RV doesn’t really concern me. I just want the MF/RV combo that nets me the lowest monthly payment. I don’t have a car/dealer picked out yet, but am just starting to see what’s out there as far are availability and pricing is concerned. My current lease ends on 8/15 so I am looking to get something in between 7/15 & 8/15.
There are many ways to get to the same payment. If you get there with a high rate and high RV (like an Ally lease) then the bank is almost always in a loss position at the end so you don’t have an equity position at the end of the lease to use as trade for when you go to lease again. More of your payment goes to the lender as interest.
If you use a different lender (a credit union in this example) then they have a lower rate because their cost of funds are much lower and their RV is a few point lower as well. Even if the same monthly payment was used by both lenders, the split between interest and depreciation is very different. In the case of the credit union lease, you’ll likely have much more equity at the end of that wrangler lease than with Ally. More of your monthly payment goes to depreciation.
Even if you don’t intend on buying it out at the end of the lease, you can use any positive equity to help you on your next lease. This happens if the RV is lower than actual market prices at termination which historically has always been the case with a handful of models (Wrangler especially).
Thanks for the info on the RV vs MP and what it means at lease end. The equity scenario however, wouldn’t that only matter if I was leasing another FCA product. I’m currently leasing an Audi and interested in a Wrangler. Who knows what I’ll want when that lease ends. So with that, would it matter if I have negative or positive equity in a lease turn-in if I’m not going to lease another Jeep?
When you are going to turn in your Wrangler after your next lease, just about any dealer would want that, Carmax included. It is one of the few models that has historically always been a gold nugget of the used car world.
Hello RVguy. I am considering leasing a rubicon unlimited and I am interested in your credit union lease option. Would you mind contacting me with some details?
Do you know any credit unions in MA that could work a deal on a wrangler? Any experience with DCU?
My head is all over the place with options.
I want to customize my jeep so I am having a hard time with choosing a sport because I will upgrade and start at a low base price or go to a rubicon because it has more stuff already.
