NorCal 2025 Volvo XC90 lease

36/7.5k, no MSDs. Good deal or great deal?

What trim is this? Ultra?

Why not do 24/7.5k instead? Your deal is okay. Your dealer discount is a little over 9% off MSRP, but the RV at 36 months is affecting the overall deal.

Plug the numbers in the LeaseHackr calculator and post it here.

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Why not 24 months?

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I intend to buy out so the RV and MF don’t matter

Then focus on getting a bigger dealer discount then.

You sure you want to buy this vehicle??

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Why not? I have the 2021 model and it’s been a very profitable experience.

What’s a good target?

Just much better to lease and repeat given the lease rebates. I suspect this thing will depreciate quite quickly.

How does this compare vs Lexus RX at about $60K? With a handle like yours, you should know that past performance is not a guarantee of the future results.

I would shoot for 12% off MSRP, but don’t be surprised if the dealer balks.

@jm020 - I am sure OP is well aware of depreciation and such.

@LAK1ngs - Although Lexus cars/SUVs hold their value, they are pretty bland and boring to drive, IMO. However, I get your point.

I’ve never driven an XC90 but I have a sneaky suspicion that is not often procured for driving excitement either. From what I recall (not an SUV person), Motor Trend mentioned that the new RX hybrids are a bit sportier than predecessors. Yes, low bar to clear, lol. RZ450e, on the other hand, is quite fast and can be somewhat engaging.

The 2021 model depreciated exactly to the expected lease residual value.

For new models I wouldn’t be surprised if actual residuals end up higher than expected, given Trump’s impending elimination of the EV tax credit and imposition of tariffs.

A buddy of mine bought a CPO XC90 a couple of years ago (same body style as the 2024/2025 model). I don’t recall what trim he has but it is a a nice SUV. I’ve sat in his car and it has a smooth ride. However, I wouldn’t own one without an extended warranty.

Isn’t Lexus heavily subsiding leasing on these?
The only Lexus I would own (if I could and they still produced them) would be the GS. I am a sedan guy. :grin:

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I just have a very hard time seeing how the effective total cost of ownership would be lower versus the 24 month programs, and of course not even factoring in once warranty is up…

Yes, just about all EVs besides Porsche need help moving, RZ is no exception. Got one for my daughter in April for about $300/mo effective. $62K+ sticker. The 2025 RZ prices are being dropped, so stay tuned on big subsidies.

Had 2 GS350 F Sports myself before switching to the Germans. I think we have similar tastes in cars. Was very excited by the A6 E-Tron prototype but the real life result is a bit less attractive.

Well, OP stated they were going to buy out the lease, so it doesn’t matter whether they do a 24 or 36 month lease. On the other hand, if they were planning to keep the lease to term, the 24 month lease has a higher Residual Value (RV), which will translate to a lower monthly payment compared to a 36 month lease.

Once the 2025 model starts hitting dealer lots, I might go check it out at my nearest Audi dealer. I am sure there will be deals to be had on those in a year or so.

:grinning::grinning:

Sorry, to clarify what I meant: I don’t see how effective total cost of ownership would net out better on purchasing vs leasing, particularly how strong the 24 month lease is…

I have no idea what theTCO looks like. That’s for OP to figure out, if it matters to them. My only suggestion was to aim for the highest possible dealer discount.

If I intend to keep it for 5+ years does the attractiveness of the 24 month program matter?