Massachusetts deal:
2021 Toyota Rav4 XLE AWD
$29900 Sale Price
3 years–10,000 miles
Rebates-$4000
Gap insurance-$850
Doc fee-$500
Down payment-$2500 plus 1st payment $275=$2775
$275 a month
$20,894 pay off end of lease
Is this a good deal??
It is practically impossible for us to tell you what a “good” monthly payment is for your specific lease as lease programs are highly dependent on region, personal qualifications, tax rates, etc.
We always recommend the following method before you ever contact a dealership. If you do all of the work up front, you’ll have a stress free dealer experience and set yourself for success.
- Read Leasing 101 (Blog | LEASEHACKR) to understand how to calculate a lease payment and the variables. Monthly payment is an output, not an input!!
- Pick a specific vehicle that you want to target
- Gather the current MF, RV and incentives from Edmunds forums for your zip code
- Research the LH marketplace and other deals that have been made recently on your vehicle - what was their pre-incentive discount? How did their lease terms differ?
- Plug your numbers into the LH calculator, and use a pre-incentive discount similar to what you have seen
- Create a target deal, this is what you’re trying to negotiate to. You can try different terms, selling price discount, etc. and see how your monthly payment is affected. It is also possible that different trims of your vehicle may have different MF and RV (i.e. this is very common with GM), so make sure that you look into that. Come up with a set of inputs that give you the output that you want - your desired monthly payment.
With a target price determined, you now have a deal to pursue and compare dealer offers against. More importantly, you have a solid foundation to work from.
Also, before you ever consider paying for gap through Toyota, price it out through your insurance
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@Bostoncarconcierge, Mike!!!
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I believe others have found cheaper GAP coverage through other insurance companies. You are free to shop for GAP coverage and I’d recommend it. I’d start with your current insurance company.
Most would argue and I agree, putting anything down on a lease is assuming unnecessary risk. If you total the vehicle you are out that money.
Without the msrp, money factor, tax info, etc., it is hard to say if it is a good deal.
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Thank you!
This is a great example of what should be the deepest Rav deal in MA 
All taxes and fees included aside from broker fee.
I would recommend using the funds you would have for a down payment, as MSDs to reduce your interest rate, and save even more money than what is pictured below.
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This is the biggest ripoff I’ve seen in a while
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Think they are making $300 profit on the GAP. But that is standard
The $500 base price is outrageous
Well, how much did you think the GAP was? +
How much does TFS charge or how much is comparable gap coverage through other sources?
It’s included for free with every other OEM.
That’s with other OEMs. Toyota is the only Manufacturer without GAP
$545 is the standard charge, but could go up to $995.
Nitpicking here, but Toyota is the only one that require GAP. No other manufacturer includes GAP, they just waive your liability for not having it. The end result is the same.
It’s not a requirement
Which is exactly why paying anything for it is a ripoff.
It’s like going to a restaurant and getting charged $550 for the air you breathed there.
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I get it. I meant that Toyota is the only that doesn’t waive it. Other leases don’t include GAP, they waive your liability for not having it.
Dealerships make off of the vehicle service contracts, GAP, maintenance, and reserve.
The 100% of new cars on Internet inquiries that the dealerships sell tend to sell below invoice, meaning All the @dealers can back me up on this.
Why do you think paying anything is a rip off? I mean they need to pay their people, and keep the light on.
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That’s kind of the product of different people getting different deals on the same car. It makes people want to squeeze every penny so they feel like they didn’t get taken for a ride.
Irie, exactly!!