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Archive for 2008

Car Leasing Secrets: Residual Values

The one of many car leasing secrets that you should come to understand is the importance of knowing lease-end residual values. These are used in calculating the monthly payments and are based on the difference of the residual value and the selling price of a leased car. To put it quite simply, the lease cost is much lower if the residual value is higher.

A residual value in all actuality is a percentage of the Manufacturers Suggested Retail Price (MSRP). These values reflect depreciation of vehicle values and are estimated based on all sorts of factors. These include the length of a lease, average mileage per year, the type of car and model, resale history, etc. It’s a value that represents a guesstimate based on all the data that is collected on a car lease. Know the residual value of your car and you should have no trouble making your own calculations. This is one of the car leasing secrets you can stand to use in any showroom the next time you go out shopping.

Best Car Lease Deal: The Jag XF Introduction

With some of the best car lease deal offers coming fast in 2008, you just might be one of the many who is looking into investing in a luxury vehicle like the Mercedes, the BMW, or, in this case, the Jag XF. The XF is now available to the public and just might be the best car lease deal of luxury cars since its predecessor. But the question is if the Jag XF can actually go head to head with the big boys in executive driving.

Various road tests have placed the Jaguar XF in very high statistics positions which could mean better sales of the car in 2008. The year marks the brands 80th year in Coventry where the Jaguar hails from, and is surprisingly not even built in that immediate area in recent years. However, its strong presence is still quite apparent around the UK area.

This is where it might get tough for the Jaguar as there is more favor for the Mercedes and BMW in the North American market. It’s no secret that Jaguars are not built for high volume sales and the company’s future is highly uncertain. The XF is quite an important addition to the company as it has been specifically designed to be a little more affordable and definitely something that will represent the life and excitement of Jaguar in modern times. Of course, this doesn’t mean that "more affordable" means "better than the rest" when it comes to choosing the best car lease deal. But it does mean that the Jag XF is cheaper than the BMW 525d and the Mercedes E280 CDI. As far as a best car lease deal goes, this is good new for both the company and a potentially huge market in the luxury cars bracket.

Car Leasing Secrets: An FAQ Summary

The best way to get a good car lease deal is to make sure that you know all the car leasing secrets that there are in the market. Of course, you might not become an instant expert when it comes to shopping around for a good car lease deal. But knowing a few of the facts will definitely help you get the best deal there is for you. Here are a few things that you should know:

What’s a car lease deal?
One of the first car leasing secrets to know is that there are two types of car lease deals. These are the closed-end and open-end lease deals. A closed-end lease is one where you can return a car at the end of a lease contract and then simply walk away, meaning that you don’t own the car at the end of the contract. This is actually the more popular choice for people who lease vehicles. Open-end lease is actually more for commercial business and can be a little more complicated. The market value of a car is determined with this kind of deal and then the residual vale of the car is pre-determined. This means that a person who goes for this deal will pay the difference which can be quite pricey.

How is a lease calculated?
You might be wondering if there is some kind of difficult formula that the dealers use when they calculate your monthlies. The car leasing secrets truth is that it’s as simple as your ABC’s. You just need to know all the figures that you need for a simple equation. First, get the depreciation value of a car by subtracting the residual value from the cap cost. You divide the difference by the number of months you plan to lease a car. Then for the monthly finance charge, add the residual value and the cap cost and then multiply that by the money factor that can be given to you by your dealer if you ask politely. The result is the monthly finance charge. Add the monthly depreciation and the monthly finance charge that that is your monthly car payment. This may vary across different vehicles.

What are the Advantages?
Two advantages to think about are lower monthly payments compared to a purchase. These payments can be up to 60% less than if you purchased a car on monthly terms. This means that you can drive a much nicer car if you lease it. Upfront costs are also lower, with some down payments starting at zero, depending on the car. Paying a larger down, however, does not always mean that this will lower your monthlies.

What are the Disadvantages?
The car leasing secrets that most dealers will not tell you about usually involve many different fees. This includes early termination fees if you want out of a contract before it ends; insurance costs that will require you to pay more than you are used to paying for insurance; car mileage fees since leases will only allow you a certain annual mileage limit; and so-called “wear and tear” fees that are used to fix up any damages done to the car during the lease. These fees can run up to a hefty price if you are not careful.

These are the basic car leasing secrets that you should know about before you get yourself into a lease contract. Understand them well and you should have no trouble with a lease at all. Depending on your preferences, you can get the best car lease deal with a little knowledge and negotiation.

Car Leasing Guide: The Thing About Fees

When leasing a car, what a car leasing guide will not show you is how you are supposed to understand how much a car is actually worth. The problem with most people who enter a lease is that they are more concerned with the monthly payments, and this is the reason that many people end up experiencing really bad deals. Now here is a car leasing guide referring to how you should treat a lease.

A car lease is basically something that you are not paying full value for. You are actually spending for the projected loss of value. In other words, you are paying for the depreciated value of the car. The car will be in your use for a typical 2 to 3 years. Let’s say a $30,000 will lose half its value in 3 years. Now, whatever remains is what is known as the residual value. This leaves you with a smaller monthly payment because you are paying back half of a car’s value.

Now for the fees; let’s look at mileage. First is the lease acquisition fee which is almost always about $600. This is charged by the automaker or finance company that is underwriting your lease. These are not always stated in the contracts and therefore are a perfect opportunity for dealers to charge even more than that. Then there is the security fee which is one month’s lease payment, but this one is refunded eventually. Turning in the car at the end of a lease term will also mean that you experience even more fees. There is the lease disposal fee which is almost over $400. Then there is the charge per mile of all mileage you may have used in excess of the limit. Then there is what is known as "wear and tear" fees that will cover the small mechanical and cosmetic fixes that are needed. This car leasing guide doesn’t show all the fees that are involved, so make sure that you question your dealer intensely to understand what you are getting yourself into.

Car Lease Specials: Audi R8

With the New Year comes all things new and great. This is particularly true when referring to the new serving from the people over at Audi, who just recently displayed one of many car lease specials headed in your direction. We are talking about the new Audi R8 V12 TDI. Spotted at the recent Detroit Motor Show, this has got to be one of the most extreme machines ever built by any manufacturer. It’s the worlds first Super Car that runs on diesel and do not be fooled; it’s rumored to be a lot faster than many petrol powered cars in its class.

The twin-turbo, 6 liter V12 monster belts out 439 horsepower and this is only one of the most thrilling developments. It can hit 0 to 62 miles per hour in 4.2 seconds, much faster than its gas powered sibling and this is the surprise because, remember, it does run on diesel. In fact, the diesel feature is what ultimately stole the show.

There are numerous benefits of this car running on diesel, the first being that there is a definite change in emission, a dramatic decrease to be more specific. The R8 sports a common-rail fuel injection, and a catalytic converter that injects AdBlue into the exhaust which decreases the emission of nitrous oxide. This is definitely a car from out of the future as it goes on to meet various emission rules that haven’t even been put into place in Europe and the Americas.

Looks are not something to be scoffed at either. This future of car lease specials looks even more aggressive than ever before, even more than the production version. Expect a deeper front bumper, side skirts with carefully placed notches or holes for cooling, a rooftop glass panel that gives you a panoramic view of everything above, and an NACA duct that literally feeds air to the engine. Inside, the R8 has a 3-armed steering wheel that houses the start-stop button and Drive Select switch that Audi is known for; now this switch is particularly important as it allows drivers to choose between 3 modes. These are Dynamic, Sport or Race modes which are used for the engine, transmission and magnetic dampers.

Unfortunately, the Audi R8 V12 TDI is not out in the market just yet and there have been no official announcements of when it will be available to the public. There are rumors that the car lease specials on this baby will most probably see the market in 2009. But before that, one can sit and dream about the marvel of a machine that it is. And did we mention that it runs on diesel?

Check out this video on the Audi R9 V12 TDI.

Best Car Lease Deal: SUV or Sedan?

It seems that most companies these days will give a best car lease deal at almost exactly the same price, regardless of whether or not you get an SUV or a mid-sized sedan. What you need to figure out is how you will use the vehicle for in the first place, keeping in mind the size of your family (if you have one), the kind of storage you anticipate for road travel, and just how often you will use this best car lease deal.

Well, you aren’t alone and this is actually a common dilemma. The simple fact is that men like cars and women love SUVs. Now, since fuel is a huge issue these days, you may actually want to rule out investing in an SUV first. Then look at all the sedan entries that are available to you. Got a huge family? Here is another solution: get a minivan. It will solve your storage problem and its sliding doors will help people get in and out of the vehicle quicker than a sedan. A minivan can hold just about the same as any mini-SUV but if you are really looking for some outdoor action, the latter may be your initial choice. Just make sure it doesn’t guzzle too much gas or else you won’t be using it as often as you’d like. As for the sedan, if you are single or just have a couple of kids, this may be the best car lease deal for you. Put simply, check your situation, weigh all your options, and your next best car lease deal decision should be a cinch.

What Our customers are saying

The lease rate I got by calling the dealer was $67 higher than the rate I got from Car Leasing Secrets. It’s all about the local competition. So happy with my Benz!
 
Cristoph Wiese
Athens, GA
This is probably the easiest way to get quotes and compare them. I got one from each dealer in my city. One of them was surprisingly low. The quotes are free. No worries there.
Kristen Fletcher
Albany, NY
What a great way to shop around! I wanted a Corolla. There’s only one Toyota dealership in my city but I got a quote for a Honda Civic and decided to go with that one because I got such a good offer.
Mark Dolan
Missoula, MT