the $100.00 lease

[dieselraver]

So I know you people think i'm off my rocker when I posted a cheap lease thread and asked if cars could be had for little down and $100 a month, i got all sorts of crazy answers, but I truly think a civic LX can be had for close to $100 a month with 15k/36months. I used edmunds to calculate the residuals, and the LX scores a 70% residual based on the depreciation numbers listed. what do you guys think?

Civic Sedan LX MSRP $19595
3 year residual $13902
so 13902/19595 = 70% residual
aggressive pricing $16,700 - 13902 = 2983.50
2983.50/36=82.87
(19595+13902) x .00067 = 22.44

$82.87 + 22.44 = 105.31 x nys tax = $114.65


questions? comments?

[firstorbit84]

is this a real deal that can be had somewhere?

[dieselraver]

is this a real deal that can be had somewhere?

depends on how good you are at negotiating.

i don't see why not. i negotiated a lease on my van and posted the pictures to prove it. i think with a bit of work it can be had for $100

[2.0TJett]

There's a reason why you could get it down it 100.00 a month. Because the good years of the Honda's are done and over with. Same with toyota got to big and just are junk now. My sister bought a 2010 Toyota Corolla and its was the biggest POS. After she drove my 2008 Wolfsburg 2.0T. She asked me if i wanted to trade cars . Last month i found a used 2012 VW Jetta SEL for her with 6,000 miles. She loves the car and "she stated id never buy another toyota again damn that things was built like crap" lol. If honda and toyota start making better cars , they wouldn't have to sell them dirt cheap.

[dieselraver]

There's a reason why you could get it down it 100.00 a month. Because the good years of the Honda's are done and over with. Same with toyota got to big and just are junk now. My sister bought a 2010 Toyota Corolla and its was the biggest POS. After she drove my 2008 Wolfsburg 2.0T. She asked me if i wanted to trade cars . Last month i found a used 2012 VW Jetta SEL for her with 6,000 miles. She loves the car and "she stated id never buy another toyota again damn that things was built like crap" lol. If honda and toyota start making better cars , they wouldn't have to sell them dirt cheap.

im not sure you understand how leasing works... a 70% residual means that the car will be worth quite a bit after 3 years of ownership. and while "enthusiasts" may scream honda/toyota has lost their way. the numbers are proof that they are doing something right.

[2.0TJett]

I owned many hondas and toyotas in the 95-99 because they were awesome! I test drove a 2009 Toyota camry and a 2008 honda Accord. Thought the accord was better. Laugh about how cheap the toyota was. Its just my own person experience. You shut the door on those cars they sound like they are ready to fall apart and no HP at all. I dont know how they sell cars anymore. I think they have made such a good rep because of the year from 90-00's. Everyone still thinks they are amazing just very far from it.

[spitfire1]

thats not how a lease works. you still pay interest, taxes and dest charges. kbb doesnt determine depreciation honda does. there is a lot of factors that go into the price of a lease. if you use depreciation as a major factor you would make money on some ferrari or lambo cause the price goes up after a few years.

[dieselraver]

thats not how a lease works. you still pay interest, taxes and dest charges. kbb doesnt determine depreciation honda does. there is a lot of factors that go into the price of a lease. if you use depreciation as a major factor you would make money on some ferrari or lambo cause the price goes up after a few years.

are you talking to me? because the lease residual is based upon depreciation... and edmunds.com is pretty well trusted as far as residual values go...

[aleksl]

are you talking to me? because the lease residual is based upon depreciation... and edmunds.com is pretty well trusted as far as residual values go...

Residuals are non negotiable and are set by the leasing company, in this case Honda finance. For example a 36 month residual is 49% for a Civic Coupe LX on honda.ca right now.

Didn't bother checking honda.com but I'm sure you should be able to go there and find the residual as well. It's not gonna be anywhere near 70% after 3 yrs. No leasing company would want that back as they wouldn't be able to make money off it.

[Dandbest]

there is no way in hell the residual is 70% for 10k per year, let alone for 15k. I'd do some more research if I were you.

[samc]

For what it's worth my brother just leased a civic lx for $149 a month and $2k down. I don't know the exact details so that $149 could +- a few but he was desperate for a commuter car. I doubt Honda or anyone will touch $100/month.

[spongebob_squarepants]

there is no way in hell the residual is 70% for 10k per year, let alone for 15k. I'd do some more research if I were you.

This. Your residual is wrong.

Not to mention your cap cost of nearly $3k off of sticker on an economy car is probably a pipe dream.

[Saintor]

Not realistic IMO. Good luck having a 3K$ discount on a Civic.

For example a 36 month residual is 49% for a Civic Coupe LX on honda.ca right now.

It would be surprisingly close to 48mo. For a 2012, 48months / 60000 miles ---> 8573$ / 18240$ ---> 47%

[dieselraver]

Not realistic IMO. Good luck having a 3K$ discount on a Civic.



It would be surprisingly close to 48mo. For a 2012, 48months / 60000 miles ---> 8573$ / 18240$ ---> 47%

the residuals are off but they were calculated off edmunds. they are the true residual. i'm going to assume the bank uses a cushion (~10%) to cover their end. the 3k discount has been "had" (does that even make sense?) truecar.com lists up to date purchases made by consumers.

[Jrod511]

I'm willing to guess that if you call a Honda dealer the actual residual number for that car after 3 years/15k per year is probably in the 52-57% range.

[caj1]

Considering the EX with 12K miles/year has a current residual of 61% thru Honda Finance, I think your numbers are bunk.

[BRealistic]

Isn't the residual based on wholesale value, not retail?

[Brendan@bwalkauto]

Isn't the residual based on wholesale value, not retail?

Residual is based on MSRP.

OP is also forgetting drive off fees (bank fee, doc fee, DMV fee, security deposit, any upfront sales tax, tire recycling fees, etc).

Also, that residual is nuts.

[BRealistic]

Residual is based on MSRP.

OP is also forgetting drive off fees (bank fee, doc fee, DMV fee, security deposit, any upfront sales tax, tire recycling fees, etc).

Also, that residual is nuts.

No... I mean the residual amount is what the car will be worth wholesale after the lease term (think actual amount and not a percentage of msrp).

[bbk]

I just negotiated a lease on a new car.

They're going to pay me $2500 up front and then $600 a month to drive the car for 3 years/36,000 miles.

[200HP4dr]

I just negotiated a lease on a new car.

They're going to pay me $2500 up front and then $600 a month to drive the car for 3 years/36,000 miles.

Has to be on a Crosstour.

[Brendan@bwalkauto]

No... I mean the residual amount is what the car will be worth wholesale after the lease term (think actual amount and not a percentage of msrp).

Ah, I see what you're saying. Yes, it's a financial prediction of what the wholesale value will be at the end of the term (and on a heavily subsidized lease, there might be a little inflation of that value).

[BRealistic]

Ah, I see what you're saying. Yes, it's a financial prediction of what the wholesale value will be at the end of the term (and on a heavily subsidized lease, there might be a little inflation of that value).

And that's why the 70% number makes zero sense- just the difference between new retail and one month old wholesale is close to 70%.

[VeeDubDriver]

The highest 15K mile/36 mo residual for a Civic is 58%. The current lease rate is .00053 for top tier.

[emkaytree]

im not sure you understand how leasing works... a 70% residual means that the car will be worth quite a bit after 3 years of ownership. and while "enthusiasts" may scream honda/toyota has lost their way. the numbers are proof that they are doing something right.

Ya man you totally got this sh*t. Pay next to nothing for a sh*tty car. Congratufu*kinlations

[dieselraver]

Ya man you totally got this sh*t. Pay next to nothing for a sh*tty car. Congratufu*kinlations

im sure i'd take a 2012 civic over a dying emmkaytree anyday.

i'll be at the dealership on saturday, my residual number was off by 10 basis points. even then, if I can negotiate the selling price of the car down to $15/16k the lease can be had for about $150 a month OTD. we're not in a rush to pick up the second car, honestly we will probably wait till november december when dealerships are really desperate to offload the 2012s. at that point we may just take whatever stock they have left.

[emmettlodge]

There's a reason why you could get it down it 100.00 a month. Because the good years of the Honda's are done and over with. Same with toyota got to big and just are junk now. My sister bought a 2010 Toyota Corolla and its was the biggest POS. After she drove my 2008 Wolfsburg 2.0T. She asked me if i wanted to trade cars . Last month i found a used 2012 VW Jetta SEL for her with 6,000 miles. She loves the car and "she stated id never buy another toyota again damn that things was built like crap" lol. If honda and toyota start making better cars , they wouldn't have to sell them dirt cheap.

Ya man you totally got this sh*t. Pay next to nothing for a sh*tty car. Congratufu*kinlations

Is this level of insecurity normal for VW owners?

[sebasEuRo]

im not sure you understand how leasing works... a 70% residual means that the car will be worth quite a bit after 3 years of ownership. and while "enthusiasts" may scream honda/toyota has lost their way. the numbers are proof that they are doing something right.

That is the first sign of an appliance That's all they are though, numbers on a sheet

[Saintor]

19595$ is the price including PDI. AFAIK, PDI is all depreciated in the term.

If we try to calculate according to some info above (58% after 3 years and 1.6% interest rate or 0.00067 money factor).

18800$ x 0.58 = 10904$ residual

Let's say you have a -5% discount (18800$x.95)-10904$+795$ over 36mo @ 1.6% = 221$

Add to this 15$ (10904*.016/12) for the interest on the residual.

That would be 236$/mo before tax.

Mystery, on their site, Honda wants 365$/mo for a lease on a Civic LX 2012! lol.

[mike02467]

I leased my 2011 si for 112/ mo $2000 due at signing...

[gti5dr06]

Is this level of insecurity normal for VW owners?

my car is special...but why is the resale so low

[joe97]

I leased my 2011 si for 112/ mo $2000 due at signing...

Need more details but assuming 36 months, add $56/month for the downpayment.

I have never been a big proponent of downpayment on leases.

[mike02467]

Need more details but assuming 36 months, add $56/month for the downpayment.

I have never been a big proponent of downpayment on leases.

30 months 30k miles and that's total including tax titles and fees.

[dieselraver]

19595$ is the price including PDI. AFAIK, PDI is all depreciated in the term.

If we try to calculate according to some info above (58% after 3 years and 1.6% interest rate or 0.00067 money factor).

18800$ x 0.58 = 10904$ residual

Let's say you have a -5% discount (18800$x.95)-10904$+795$ over 36mo @ 1.6% = 221$

Add to this 15$ (10904*.016/12) for the interest on the residual.

That would be 236$/mo before tax.

Mystery, on their site, Honda wants 365$/mo for a lease on a Civic LX 2012! lol.

FYI the dealership im buying the odyssey from has an advertised lease of a true 0 down/ no tax nothing due at signing. $219 a month. 12k/yr/36mo

[dieselraver]

I leased my 2011 si for 112/ mo $2000 due at signing...

in that case I can have it for $172/month with nothing out of pocket. but i'd do 15k/36mo