I entered into a lease in November before I knew about this forum and I don’t know what MF Lexus used. I’m trying to figure that out from my lease docs and I’m not having any success. How Lexus did the lease doesn’t seem to fit well with the calculators.
Any suggestions on how to solve the MF would be appreciated. Thank you!
use the lease calculator. You have msrp selling price RV rebates and monthly payment
Contractual Lease Payment (P) = MF x (Net Cap + Res. Val) + (Net Cap - Res. Val) / Term
Solve for MF.
If you’re still having difficulties, PM me with the 1st page of your lease agreement and I’ll calculate it.
MF=(Total rent charge/number of months the lease is for)/(adjusted cap cost + residual value)
Thanks, all. I’m coming up with .00345 as the money factor. This isn’t all that great for 775+ credit, huh?
Cant really judge it like that.
That could’ve been the best MF that Lexus offered at that time.
Ok, thanks!
I’m still trying to figure out my Lexus Lease. I got the MF earlier (.00345), thanks to your collective help, but I can’t make the calculator match what I’m paying, which is $840.76, including taxes (capitalized). I paid $10k down as well, when the calculator thinks I paid $10.8k. Cap Cost reduction on the lease is $21,720.18 and this includes the trade in (7,888.85 in negative equity), acquisition fee ($795) and document fee ($85).
Thank you for any additional help!
Best,
A signed lease or a quote?
First post mentioned the lease is from November, so I assume it’s a signed lease.
OP, can you upload your contract (redacting personal information)?
Yes, it’s signed. I’m several months into it now. See the attached redacted lease. Thank you.
Lease-Agreement_2023-11-4-redacted.pdf (776.3 KB)
Youre confusing money down and money due at signing
The calculator thinks you put $10k down, and calculated $10.8k due at signing.
You need to adjust your calculator inputs to match the due at signing amount you want.
Not sure what you’re still trying to figure out. You are correct that the MF = 0.00345. Your taxes are not capitalized. The sales tax is levied monthly on the base payment and then, added to the base payment…
The tax = 780.29 x 7.75%
= 60.47
780.29 + 60.47 = 840.76. This is your contractual payment.
The base payment, P, is calculated as follows…
P = .00345 x (48423.67 + 30084.00) + (48423.67 - 30084.00) / 36
= 780.29
I’m trying to make the calculator match the deal I got, so I know better what to expect next time.
I paid them $10k, so if that’s the due at signing vs the down payment, what was my actual down payment? Would it be $10k less everything else under item 7 on the lease? So, $10k less the fees and 1st monthly payment?
Also, attached is the lease summary template I’ve tried to update with my info. I want to make this and the LH calculator match the deal I received.
Thanks again,
Lease-Summary-Draft.pdf (74.4 KB)
You have $6720.18 being applied as a cap cost reduction beyond the incentives, so that would be your down, as long as the calculator is properly set up to capitalize everything else
Here is what I get…
The problem is that the LH Calc shows upfront taxes of 1072 when they should be 1683. Not sure what to do to fix it which is exactly why I never ever use calculators other than those that I’ve created. In order to understand leasing, you must be able to do all the calculations manually to ensure that they are done accurately. Otherwise, you take your chances. A good start is to create an Excel spreadsheet.
Thanks, all. Here’s my revised calculator result. It’s pretty close to actual now.
LH Calculator - Revised Down & Upfront Taxes not Capitalized
Clearly, more study is needed from me and the summary I linked above is a ss (didn’t know if I could attach one here). I’m tired of taking my chances.
Best,