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Re: Where can I find residual value figures?
Posted by ChrisP [Email] (more from ChrisP) on Wed, 4 May 2011 04:28:40
In Reply to: Re: Where can I find residual value figures?, No Snaab, Tue, 3 May 2011 17:41:19
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As mentioned, residuals are set by manufacturers to set their promotional lease rates as well. Jacking up the residual can substantially lower the monthly payment; the gamble here is that the manufacturer winds up eating this negative equity, thus any losses on the car is transferred three or four years down the road.
Just because a car had a high residual does not automatically qualify that car as a great deal. If a car had a strong residual (Mini Cooper, VW TDI), the manufacturer makes up for that with a higher money factor.
Most importantly, check out higher line trims of the same car. Many times they lease BETTER than standard trim. For example, we leased a VW Beetle Convertible. A loaded Turbo car ($31K MSRP) leased for less than a GLS with leather ($28K MSRP). Another example, a friend just leased a Jeep Liberty (her 8th; please don't go there!) A tarted up Jet package - which had an MSRP of $3,000 for the package alone - was a better lease than the Sport.
posted by 68.37.73...
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