Buying vs leasing (and possibly buying then): my numbers

[rmwrip]

Is a 2 year lease better than a 1 year or does it matter? For the pay off in 3 month deal. Does a 1 pay lease work with this plan?

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[USMA81]

I have never leased before, but did this time. Here are my numbers. $107,600 purchase price for highly optioned Macan 4. No trade-in. Add $7,962 in sales tax if I had purchased. Buy: $115,562.

I leased, 2 year, 5,000 miles/yr. Initial payment including the $7,500 reduction, $35,000. First month residual value, including taxes, $75,626 (which I paid off in the first month). Total paid in two payments, initial and first month, $110,626. Savings, $4,936. If I had waited, each month would have reduced savings by about $600.

In hindsight, I should have waited 3 months. It avoids any timing issues of receipt of the title (multiple ownership changes within 30 days), and it keeps the dealer relationship positive.

There is no doubt leasing is more of a hassle, but for me, the hourly rate on my added time was good. Say $500 savings per hour.

 

[SupremeHustle]

Leasing to buy seems to be the way to go if you have the time and patience. I have neither.

I bought it knowing I'd either hand it down or sell it in three years. I'm sure it's going to depreciate as much as any other EV, especially mine since it's an almost fully loaded 4S. Meanwhile I'll wait to be disappointed until that time. And even then whatever I'm replacing it with will probably cheer me up. I wonder what that will be... Time to start looking.

 

[50YearsSince]

I'm supposed to pick up my S next week and they're quoting a MF of .0043 and a Residual of 56% on a 39 month/10K miles. The MF's I've seen in the Rennlist thread, while Porschesque, have been lower. I thought rates had been coming down. My S does not have a lot of options (Retail $96K before credits) and I have a CR of over 800 but that doesn't seem to matter. What MF's and Residuals are people seeing?

 

[PanameraFrank]

I'm supposed to pick up my S next week and they're quoting a MF of .0043 and a Residual of 56% on a 39 month/10K miles. The MF's I've seen in the Rennlist thread, while Porschesque, have been lower. I thought rates had been coming down. My S does not have a lot of options (Retail $96K before credits) and I have a CR of over 800 but that doesn't seem to matter. What MF's and Residuals are people seeing?

.0043 includes a dealer markup. Should be around 0035 to 0039

Ask them if they're quoting you the PFS buy rate money factor or adding a dealer markup. If they say the former, ask them to put it in writing so you can confirm with PFS.

 

[nischalr]

I'm supposed to pick up my S next week and they're quoting a MF of .0043 and a Residual of 56% on a 39 month/10K miles. The MF's I've seen in the Rennlist thread, while Porschesque, have been lower. I thought rates had been coming down. My S does not have a lot of options (Retail $96K before credits) and I have a CR of over 800 but that doesn't seem to matter. What MF's and Residuals are people seeing?

Money Factor is .0035 for Porsche Financial, anything higher is dealer markup. I specified MSRP and no markup on money factor for my lease, and the dealer agreed to that pretty readily. This picture is for a 39 month lease and 10,000 miles. It is a database that has the official rates from Finance companies of the car manufacturers (leasehackr.com)

 

[Tacoman]

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[cottony]

Money Factor is .0035 for Porsche Financial, anything higher is dealer markup. I specified MSRP and no markup on money factor for my lease, and the dealer agreed to that pretty readily. This picture is for a 39 month lease and 10,000 miles. It is a database that has the official rates from Finance companies of the car manufacturers (leasehackr.com)

thanks a bunch for sharing this calculator! i plugged in my lease numbers and it looks like my dealer more or less used the PFS money factor without any dealer markup (calculated vs actual numbers are off by ~$65 only).

I've been talking so much shit about my dealership cause I left feeling like they were a bunch of scammers but looks like they didn't take advantage of me in this scenario. Having said that, I'll definitely pay more attention to money factors when considering future leases!

Quick question -- is it common practice for dealerships to add a markup? Or do most just go with the PFS money factor?

 

[SteveInKirkland]

I spoke with 4 dealers about lease options on the Macan. Every single dealer finance team quoted me (1) marked up MF; and (2) use of the $7500 credit towards the actual payment instead of as a credit towards the cost of the car (which inflates the total interest paid). It was the most scammy part of my car purchase and nearly caused me to buy something else. In the end, I just bought outright because I'm willing to keep the car until it literally falls apart. If that happens 1 day after warranty then it sucks to be me. If that happens 20 years from now, someone in my family will still be driving the car (unless I'm dead, and then I don't care).

 

[nischalr]

thanks a bunch for sharing this calculator! i plugged in my lease numbers and it looks like my dealer more or less used the PFS money factor without any dealer markup (calculated vs actual numbers are off by ~$65 only).

I've been talking so much shit about my dealership cause I left feeling like they were a bunch of scammers but looks like they didn't take advantage of me in this scenario. Having said that, I'll definitely pay more attention to money factors when considering future leases!

Quick question -- is it common practice for dealerships to add a markup? Or do most just go with the PFS money factor?

I think most go with PFS money factor, but I think it depends on the local market.

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