I’m having a hard time understanding the manufacturer’s residual value calculation. I’m looking at a particular car that has a 52% residual value (obtained from Edmunds), but when I look at the same car with the same trim that is 3 years old, it’s selling for only 10k - 12k less than its original price three years ago, which doesn’t come anywhere near the 48% drop that is being estimated on the current model now. So, either the person leasing is getting burned on the front end or the person buying used is getting burned on the back end. Is there any way to negotiate the RV or is this set in stone, and I should be focusing my energy negotiating the sale price? I’m already at a .00001 MF, so not much room to negotiate there.
As far as I’m aware RV is set in stone by the manufacturer and is non-negotiable.
RV is what the bank says it is. It is non negotiable.ita also pointless to compare it to market selling prices. Better to compare it to wholesale prices.
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Interesting - because the bank is looking at what the car will likely sell for at auction?
You are correct.
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Lots of prior posts on this and OP question has been answered.
Mods: 
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The bank is looking at what they’ll get for it, so wholesale/auction prices. They don’t care what the dealer is going to list for sale as
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Thank you - that’s very helpful.