Why are leases so expensive right now?

Inflation, it’s not just car prices.

When i say put together a calculator, i mean populate the lh calculator with the current lease program information fornthat vehicle and an at msrp selling price to see what the monthly payment actually should be.

If you want to work out why the lease is so expensive, a good first step is making sure the deal is actually what you think it is. It very well may have thousands of dollars of extra add ons thats inflating the lease price.

Ah gotcha. Thank you. I’ll have to get more information from the dealer then. That reminds me though of when I was shopping around for my own lease last year how hard it was to get dealers to give me all the financial information. They don’t make it easy to get all the information, a lot of them I think it’s intentional so they can pull the wool over your eyes, but the lack of transparency can be so frustrating. Thanks so much for commenting though and helping me understand the variables :slight_smile:

There is no info you need from the dealer.

This is the kind of data you really want to have sorted out before ever talking numbers with a dealer.

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.

  1. Read Leasing 101 (EDITORIAL | LEASEHACKR) to understand how to calculate a lease payment and the variables. Monthly payment is an output, not an input!! While you’re at it, be sure to watch the LH video (How to Use Leasehackr - YouTube) to brush up on how to most efficiently use the resources here.
  2. Pick a specific vehicle that you want to target
  3. Gather the current MF, RV and incentives from the LH Calculator - Lease Program Query or Edmunds forums for your zip code
  4. 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?
  5. Plug your numbers into the LH calculator (CALCULATOR | LEASEHACKR), and use a pre-incentive discount similar to what you have seen
  6. 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.