Ford Leasing and RV's

Hi guys,
This is my first post here, so I am hoping its not out of place.
Thanks in advance for any info or advice anyone can share with me about my topic.
I am currently leasing a 2015 Genesis and while I love the car, its RV is TERRIBLE, and I would never buy one because of it, so at lease end in 5 months I will be giving it back.
I have been looking at leasing a FORD… 2 models in particular interest me… and yes, they are quite different to one another.

  1. Ford Fusion Energi Platinum.
  2. Ford Explorer Platinum.
    My question is, what is it that I am missing that I feel like everyone else seems to know?!!
    Both of these rides look great to me, they ride great, and I cant see any major reliability problems. So why on earth does their value plummet so badly? I don’t want to be in the same position again as my Genesis where you are paying a bucket load in depreciation just to have a nice ride. I would do better to get a Loaner E300 Benz!
    Thanks for any help anyone can throw my way.

RV is terrible by what definition? A really low RV (below market value) is actually a great reason to buy a car at lease end.


RV is terrible by the definition that a 52,000 dollar car that I purchased for 42,000 had a KBB value just over 5 months later… of 27,000.
Its current value is around 23,000… the buyout price at lease end is 27,000… so even if I LOVED the car… its just not worth it. So, like I said… TERRIBLE… by definition of numbers.

Would you have wanted Hyundai to initially quote you an even lower RV value, thus making your depreciating costs and monthly payments higher than what you are paying now?

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I don’t understand your post. Are you saying you want to lease something and then buy it at the end of the lease?

My initial intention with my Genesis was to lease and buy to keep at lease end. But, its just not worth it. I would have to go to auction to buy it, because I wouldn’t pay 4k more than KBB value at lease end just to be sure of getting it prior to handback.
To me, it seems that Ford is in the same boat as far as massive value drops in no time at all.
This isn’t my first new car, far from it, but, not it just seems that certain makes have insane drops in value, I’m just trying to get a better handle on why.
Why is it that a 3 yr old fusion Energi Platinum is only worth approx 39% of its initial MSRP. It just seems like a crazy loss in value. I don’t care if a higher RV means it would cost me more to buy at lease end if that’s what I wanted to do, I would always wish a car wouldn’t depreciate as fast as this one did, or as much as it looks like a Ford will.
I think more and more I am looking to an E series loaner as a smarter way of leasing to save on depreciation costs to me.
As far as Hyundai quoting an even lower RV… if it was an honest one, yes I would rather that, because it would likely change what I lease. (ie, another manufacturer).

Why bother leasing a car if you just plan to buy it? In the long run it usually costs more to lease and then buy vs. just buy from the start

Although if I were buying a vehicle I probably wouldn’t buy a brand new one…I’d opt for a newer used one and save some money

I do it to see if I really like the vehicle and how it is to have it for more than a 30 min test drive. If I like it, I would buy, I have then had it since new and know its full history, (and to quote from someone in here, "I know who has farted in it too! lol).
I get a loan at 2% finance, and am tier 1, so the lease MF usually isnt too bad. It also means I am tying up less income than a straight out new price purchase, even if it means paying for the vehicle with a lower payment over a longer period of time.

Most dealers will let you do more than a 30 min test drive. Many let you take them overnight.

you know that even a two day test drive is not the same as 36,ooo mile one, if he feels it’s worth the price he pays, then be it imo. And the tying up the cash is another benefit. I suspect Seachange is justifying the lease to himself and will probably keep leasing for foreseeable future especially considering constant updates in technology, but who am I, a psychologist or something? :rofl:

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A little confused here, I thought my post was basically asking if anyone knew why Ford drop in value so fast like my Genesis did. But it seems now its become about “justifying a lease to myself”? I didn’t know I had to justify a lease to anyone. I think we have gotten a little off topic, the post isn’t “about” how long a test drive is, or the reason for a lease. It was just seeing if anyone was aware of why a Ford is dropping so quickly. (ie, are there reliability issues etc that I am unaware of).

Ford Energi models have poor residual partially due to Fed tax credit and partially due to the bath they took several years ago on lease turn-ins. They over-inflated residuals to have low price leases on electric vehicles and were left with a pile of lease turn-ins where the residual value was much higher than market value. [My Cmax Energi turn in 2 years ago had a residual value of 20.5k and sol at auction for 12.9k).

In regards to your overall question, a poor residual value vehicle is a perfect opportunity to buy someone else’s lease turn in at 3 years of age. With pre-paid maintenance on many models, the risk of getting a vehicle which has not been cared for is minimal and some premium models will still have warranty available to them when you purchase.

I would also add that your 52k car was not really a 52k car if you bought it for 42K. In reality it was a 42k car, that had a different number printed on a label to make the buyer feel that they got a great deal.

Ford’s RV is awful…my Edge lost 40% the first year…if I had to do it again (I love the car), I’d buy a year old, low mileage, one owner car.

Hey guys,
Thanks for the reply’s. That’s EXACTLY what I was looking for, something that completely explains where FORD are at and why there is such a massive drop in many of vehicle’s values.
Sorry about your Ford Edge’s value drop.
I do like the Fusion energy platinum, but like you advised, a 1 year old model is under 60% of MSRP with 5,000 miles on it. That’s basically a Demo car! ($25,775 with 5750 miles)… Definitely won’t be leasing one. I can see why FORD wouldn’t want to lease loaner versions of these.