I am interested in leasing a G35 Coupe.

My Father was quoted about $800 down, $650/Month for 39 months, 12k miles per year.

The salesman said he didn't know what the money rate on the lease was.

My father has EXCELLENT credit, so my question is, can he get a lower money rate?

Also, Does increasing yearly milage make the monthly payments cheaper, or more expensive?

I would like payments around $500 - $550 per month. Do you guys think that is possible without putting much money down?

Thanks

 

more miles to drive, increases the monthly expense because it lowers the residual (afterwards) value.

bottom line, you negotiate the lowest price you can. they already have set price what it'd be worth in 39 months. the rest is subject to division and interest rate. the more you put down, the lower the payments.

 

You don't mention what the price of the car was, but even so that sounds a bit high, especially for only 12K miles/year. As a point of reference, I put no money down (just first month's payment and disposition fee), and my payment on a 42 month lease is $566. That's for a loaded Sedan (premium/nav/etc), price was $34.5K (down from sticker of $35.7K), with 15k miles/year.

The money rate they initially quoted me was either .0031 or .0032, I got them to come down to .0025 with no problem. While my credit is good, it's a step below "excellent". So definitely find out what the money rate is on that quote and get them to deal.

Jeff Kohn
H-Town, TX
2003.5 Automatic Sedan, Desert Platinum/Willow, Premium, Nav, Tint

 

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The salesman said he didn't know what the money rate on the lease was.

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The salesman is either lying, or he's a fool. Either way, get him to find out what the money factor is, and negotiate it down. Tell him you're not deciding anything until you know what the money factor is, and that you've got another leasing company lined up as an alternative (you don't have to use IFS for the lease).

Another way to lower your monthly payment is to extend the term of the lease, if you can. Shorter term leases cost more per month than longer term leases. So try a 42 month or 48 month lease. I think some go as long as 60 months.

It's gonna be tough to get the payments down to $500 per month without increasing your down payment though.

2003 G35C, 6MT, DG/G, Aero/Nav/Premium
2002 Corvette Z06, Electron Blue/Black

 

My fathers credit score is a 770.

He is going to talk to the lease guy tomorrow.

If they will not come down on the money rate, can I go through another lease company?

I was fooling around earlier with a company's lease calculator, and with a credit score of 770, a lease on a g35 coupe costing $34,700 would be something like $1,000 down and $475 per month.

Thats for 48 months, 15k miles per year. Money factor was .00192

 

It's possible. The key is two fold. Since you are trying to limit your down payment while holding your monthly payments in check the two keys are: 1.shopping around for the best possible interest rate 2.Yes limiting the annual miles.
But be careful, because as you know you pay for all those miles that you incur that is over the allowable limit. Since your father has A-1 credit that is a big plus towards getting the
lowest interest rate possible. 3.99% is not uncommon and possibly lower.

 

how is money cost/rate calculated for a lease

can a purchase interest rate be easily converted?

i always wondered about that

 

I got 0 down $480 a month for 48 months. 12,000 miles per year on my red coupe... pretty good

 

Take the money factor and multiply it by 2400, and that gives you the interest rate. The implied interest rate is usually higher on leases than on a traditional purchase. So while you can get 4.0% loans now, you will be hard pressed to find a lease with a 4.0% rate.

2003 G35C, 6MT, DG/G, Aero/Nav/Premium
2002 Corvette Z06, Electron Blue/Black

 

I leased a $34,015 6MT coupe for 48 months, 12,000 mi/yr, $450 down; the payments are $480/month. A 48 month lease was attractive because it matched the car's warranty period.

James
2003 G35C, 6MT, DG/W