Topic: 3 year lease with LOW Km`s (possible?)

[wing]

I was wondering if anyone has heard of a 3 year lease with LOW km`s like 15k a year or less.  The typical lease is 4 years 20,000km.  I`d rather pay less as I don`t drive nearly that much.

Anyone ever see these deals?

[s60]

I have seen Jaguar offer low km leases, as low as 12,000km per year

[johngenx]

I recall MB advertising some stupidly low payment on a new ML.  It was a 12K cap and HUGE downpayment with a payment of $399 or something like that.  The residual was realistic, but only thanks to the giant down (about $20K).  Other than that the lowest caps I have seen are 18K or so...

[wing]

I wouldn't want a huge downpayment obviously.  Since I have 2 cars I don't put more than 15k on the cars a year.

I'd like to find a lease for a low payment

[BJB]

My mom's Cayenne is on a 3 year 20,000km lease, so if you want a porsche they'll let you do it.

I don't think the japanese companies offer a low km lease.  I was looking for a 20k km/year lease on the acura tsx and on the murano but both honda and nissan finance refused to offer less than 24k km/year.

The north american companies on the other hand probably will let you do what you want as they have no standards and they are always dying to give away their cars.

[sterling]

FWIW, Ford considers 25000/yr to be normal and 20000 to be the low km option. I've seen some leases through 3rd parties like Finacialinx with 12000km/yr. I'd persoanlly avoid those though.

The residual was realistic, but only thanks to the giant down (about $20K).

Residuals have nothing to do with downpayment. Only term, kms, and equipment affect residuals.

[wing]

Hyundai was 20k / year and it was extra for 24k / year.

[Driver]

BMW offers 12k,16k,20k low km options for new cars and 18k low km option for CPO

I tried the lease calculator from the site, selected the low km option and 12k, recalculate and got $470 with $3,000 down
http://www.bmw.ca/finservices/calculator_popup.aspx?lang=en&modelID=6&financetype=lease&term=39&prov=on&downpayment=3000

[tpl]

Reading the 2 point type on Porsche ads in the paper I have seen 10,000km/year leases on Boxsters.

[The Mighty Duck]

Sell the S2K and lease a Boxster? 

Methinks you'd be best to call around and see what they say.  But I have a feeling that the domestic companies would be more eager to give you a low-kilometre lease.  Maybe a nice base Charger? 

[Giant Dwarf]

I know of an Audi that you can get for less than 3 years and slightly less than 20,000 kms year.  Great lease rate too.    Maybe you'd like to replace your Impreza with it as a winter car?
 

[wing]

Hey Jeff.... maybe just maybe... but I believe your over $500 a month.  Correct me if I'm wrong.

[Giant Dwarf]

$475 (plus a few little taxes... but no maintenance fees, cheap insurance and good fuel economy!)

[sterling]

$475 (plus a few little taxes...

Wow, just like a car ad. 

[Giant Dwarf]

Ha ha... it IS my profession after all.   

[johngenx]

Residuals have nothing to do with downpayment. Only term, kms, and equipment affect residuals.

Actually, on special subvented leases, the finance company juggles all of them.  There is no direct relationship between the downpayment and the residual in terms of the math, but when you have a target "payment" and you're playing with all the variables, you can alter any of them to suit the payment you want to advertise.  Residuals are often altered to suit the payment.  Many subvented leases have had artifically high residuals in order to keep the payment low.  Nissan, GM and others have had their captive financing arms hit hard due to overstated residuals.

In the case of the subvented ML lease, instead of raising the residual, they required a large downpayment to keep the payment low.  This protected the financing company and exposed more risk to the consumer.

[sterling]

Right, like I said, downpayment does not affect residuals.

And yes, companies use varying downpayments to come up with specific advertised payments.

And no, they do not whip up special residuals to come up with advertised payments. Residuals are set on a much more regular basis than the curent ad campaign's schedule - usually quarterly. I've been involved with Ford leases for 16 years. I know something about subvented leases.

[johngenx]

I know a Mercedes dealer principle quite well and he noted that on many models, residuals were pretty stable, but as the ML sales tanked in 2001-2002, MB-Credit fiddled with the residuals almost constantly to try to come up with a lease that would work and not leave them high and dry at the end of the lease.  MB-Credit lost tons by overestimating residuals on the 98-99 models as most folks returned the cars and since values had dropped, the financing arm ate the difference.

Perhaps given Ford's giant dealer base and massive number of models, they take a more methodical approach?

[safristi]

Boy ..the more I hear about the fiiddles & faddles of leasing the less I like it......it's like the classic Sirens...singing beautifully on the ROCKS...then ya sign and it's yer rocks clamped and if ya don't play by the complicated rules...(return it better than NEW blah blah blah...etc)..don't comply then ROCKS OFF..........subvented,hypervented,subjugated,subjected,subnormal,submileage,subterfuge,subthing awful I'm smellin'........