Forgot to mention this part but my ultimate goal is to buy at the end of lease.
Ultimate goal @ the end of the term is to buy the car, so I’m looking forward to future.
It used to be hybrid has less incentives and higher MF than other trims, but double check with Edmunds.
If that is the case, then even if the dealer gives you the same % discount off two different trims, the monthly may not what you expect
Then buy the car now instead of wasting almost a grand on the acq fee
The money your state charges for new reg and title transfers is also wasted money
Why not just buy the car or finance it?
Rates are pretty low right now, and if you are going to write a check at the end of the lease, why not just avoid the MF?
Thats another option. I’ll look at the price for the lease vs buy option.
If im not mistaken they do add taxes and fees again to the residual at the end of lease term so if i do the buy option then I’ll save a few thousand.
you can slice the math many different ways, but for Lexus, the RV is inline with market expectations, it makes sense to just buy it.
Remember, when you lease, you are financing the depreciation AND RESIDUAL value, so the finance costs are always higher.
I am not sure what the regulations are in your state, but it is usually RV + Tax + Disposition Fees(?).
I don’t know about a few thousand, but if you plan on keeping it long term there doesn’t seem to be any reason to pay “rent charge”.
In CA the taxes are probably a wash
But as I mentioned there are other ways money is wasted thru leasing then buying.
In that case, how many miles do you have to do for the ROI on the hybrid to turn positive?
Use the LeaseHackr calculator. Here are a few tips: LH Calculator and how to use it
Your MF is 0.0002 (which I would check with Edmunds)
Your RV is 50% (which I would check with Edmunds)
Calculate your dealer discount and put that as your selling price and your incentives (rebates) and put those under taxed incentives and you will be good to go. To figure out your DAS, calculate out your inception fees with dealer and government fees.
However, my question is whether you are sure about buying the car out or not? If so, you might want to check current purchasing rebates vs. leasing rebates. I think the dealer discount will be either either way, but work out which one is better for you.
That’s not going to totally address calculating the break even time for the hybrid vs the ice version of the vehicle.
To do that, one would need to determine the cash flow for both vehicles, particularly the lease cost and fuel costs per months, and either graph and see where they intersect (the easy way) or set the equations equal and solve for time (the more math intensive way).
What you’ll likely find is that you have to own the vehicle for many many years before getting the hybrid pays off due to the gas savings. It’s a calculation worth making before tying up that much cash.
I thought he was referring to calculating the lease in the calculator using the lease sheet from the dealer.
But the ROI on hybrid is also very important. Just make sure you adjust for gas prices in your area before everything went nuts. That way you can really gather your true costs. I think Edmunds has one that has a trade in and a new car, but just adjust the trade in and MPG values to the MSRP and MPG of the non-hybrid.
Don’t want to just go off MSRP as hybrid and non hybrid versions tend to have very different incentive programs.
Whoops. OTD prices might be a bit better (MSRP less dealer discount and rebates plus taxes and fees). I don’t know how you could do it for leasing, but I am sure there is a way to compare.
Either take the delta in total lease cost between the two and see how many month’s of gas savings it takes to equal out that delta or graph the two cash flows and see which month they cross.
How is the MSRP so low for a ES300h? It starts at $42,8xx before destination
Funny question…I’m new to leasing and doing my homework…how do you check for incentives/discounts on Edmunds? Is it just looking at a car’s info on that website?
You need to post in the vehicle specific lease thread on the edmunds forum and ask. Easiest option is to google “edmunds lease 2020 lexus ES” (in this case).