Matt Evan Kardashian
So thereās a sex tape?
I love america for this reason
What rate are you assuming for the refinance? Youāre paying 9.6% on the lease!!! $64,000 in interest expense!!!
Mathematically impossible to come out ahead leasing over buyingā¦unless youāre assuming an astronomical refinance rate. The only exceptions I can think of are:
- If this were a car that wasnāt eligible for the accelerated/bonus depreciation, then it can be better off to lease with an intentionally low residual so you can write off the payments and then buy the car at a below market value. But given this car is eligible, no way leasing makes sense.
- you think the car will be worth less than the residualā¦it sounds like youāre certain of the opposite
Simple math. Finance (or refinance) $225k at 6% for 72 months. Payment is $3728 (just slightly less than your lease pmt). Loan balance after 48 months is $84,134 or $16,000 less than your lease residual. And you have total flexibility to trade out of the car if you find something betterā¦vs being stuck in a lease with a buyout penalty.
Double check your mathā¦or look at non-dealer refinancing options. If your best option is 9.6% 
on lease or finance, just buy the car with cash.
The residual is 69k after 48 months.
Therefore Iād owe 15k more on a loan than itās theoretically worth.
The math doesnāt ever favor a lease being cheaper than a finance. Itās almost always about $200/mo more when all things considered.
Iām banking on it being worth less than expected (MMRs) at 36/48 months and more than the residual and minimizing my losses. Itās 10k up front gamble.
Not true at all. How can you say this on LH? 
If the money factor was lower than the best finance rate you could obtain, the lease could be cheaper. In this case, youāre paying a .004 money factor or 9.6%.
Not sure I understand. How can it be worth less than expected and more than the residual? Isnāt the residual the expected future value? If youāre saying you think the residual is too high, then the guaranteed value is a valid consideration for leasing (still donāt think it overcomes the difference in interest expense). But I thought you were saying you thought the car would be worth more than the residual.
So it comes down to the question I asked before. What interest rate are you assuming for the finance/refinance? If youāre assuming 9.9%, then leasing may come out ahead. But Iām seeing rates of 5.39% and 5.99% for 72 months. This will be significantly cheaper than leasing at 9.6%. Your total interest paid after 48 months on a 6 year 6% loan will be $38121 compared to $56640 in interest expense on the 48 month lease (using the $69k residual). So youāre paying a whopping $18,500 for the residual guarantee.
Your money and your decision. I just want to make sure other readers are able to discern when it is better to lease vs finance.
1010101010
Do it. Just do it. Just marry me.
Get in line
Iām first to be the bride
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@mattevan based on these photos blacking out the chrome on yours would look great.
Great spec, can never go wrong with magno!
Hereās my first two - 2021 red was my dream spec and I mounted Nitto Ridge Grapplers. I think 95% of people who bought a 2021 G63 new sold it in late 2021/early 2022.
2022 black was not my build but it was available almost immediately, so I took it. It was 95% what I would have chosen. I would have skipped piano black and chosen another exterior color so I could get night package.
Whenever I get the next one Iām going to go back to red.
If you are German, than there is no āmay beā. Otherwise, itās Turkish descent you are talking about.
The latter!
Finally out of there and made the mistake of bringing my kids to help with itā¦ no help at all.
Final numbers
Msrp 197850
Sell 10 over, got wheel and tire 1980. + lost key coverage āfreeā
Taxes due up front $9570 baked into the lease. I know I pay interest on it.
Up front costs MSDs 39.5, first payment 4044, registration and title 2150. (45675 drive off, 4044 a month). Residual 69232.
Effective 4089 for 48/25k. + tire and wheel coverage. 5% tax.
Thanks for everyoneās help.
God bless 'Merica!
Bonus was after we agreed on deal, I asked if they could help take care of my x5. Got some quotes for 37-40k, payoff 45700. I planned to keep it and ride out the lease at 760 a month for 10 months, already over by 12k miles and expected to go over 20k over. Total cost would be $1300 a month effective for remaining term with mileage.
Last min got a Carmax online quote and asked they could take it on trade, they matched Carmax online quote at 46.6. MMR 43.3. 2 yr old, 37500 miles it had 1k equity which I used towards msd.
Congrats and welcome to the G fam!
For both of you new owners today, if you are interested in dash cam the fitcamx is the best. Super easy install took me 10 minutes.