Hi,
New to leasehackr and 1st post for me. Firstly, awesome community and insight.
Looking for some advice/thoughts on this lease. Considering buying the vehicle if that makes more sense terms of 60 month at 4.9% APR. Appreciate any and all feedback.
Year, Make, Model, and Trim: 2023 Honda Odyssey ELX
MSRP: $41,905
Selling Price: $40,905
Monthly Payment: $737
Drive-Off Amount: $737
Months:24
Annual Mileage:10000
MF: .00265
Residual: 73%
Region: NY
Thanks again
Leasing used to make sense on these until the last couple of years. I would finance this one, especially at that lease payment. It will hold its value.
Right…
Another option is
39 months
MF - .0025
Residual - 67%
Monthly - $591
Is NY taxed monthly on a lease? Iirc it is. If so, you would be saving x amount on sales tax with a lease versus financing.
So you’d basically be looking at an increase 1-1.36% with those money factors (translated to an APR) compared to your 4.99%. That isn’t horrible but you also have to factor in the acquisition fee (baseline of $595 I believe).
Have you leased previously, or at least know the gist of it? I.e. excessive wear/tear is chargeable, you are still responsible for maintenance, tire tread depth is to meet the minimum, etc. These question are elementary to many, but we have a very wide spectrum of people on here.
Definitely buy it. Finance it through the best lender you can find (bank or CU).
Yes - I have leased before lacking the knowledge of residual, MF etc. but with the basic understanding of wear and tear etc.
Leasing in this situation does not make sense - the money factor is higher than what you could pay at a CU or other bank like the one’s on my sheet, you could get a loan at 2.99 for 60 right now), and the residual is not majorly inflated so there is no benefit to leasing, nor are you getting any major incentives for leasing from the manufacturer.
Therefore, financing the car makes the most sense. You don’t gain anything from leasing except for not immediately paying sales tax on the selling price - but that’s irrelevant especially if you consider keeping the vehicle
NY is on total lease payment upfront - for example, 8.875% @ $1000 means an $88.75 upfront charge.
On my fourth Odyssey, I’ve found this site helpful in determining price:
https://www.odyclub.com/threads/2022-odyssey-prices-paid.363424/#post-2426134
I don’t see a spreadsheet for 2023’s so possibly not as relevant. I’m in a similar tax state as NY. For my 2020 EXL I paid $455/mn $0 das 7% tax included. I wouldn’t consider this vehicle for a lease at +$700\mn. Ended up buying mine out through fedchoice for 2.74%. Just doesn’t make sense to lease this right now.