What do you mean by this?

 

Exactly the way it reads. Lease & Purchase "selling" prices are different.

As an example, many of us had seen these "amazing" discounts on SVRs of $89,900 for a $132K SVR and thought, "Great price let me due the maths on that to see what the residual comes to so that I can calculate my potential monthly payments before I even call the dealership. We then do all the math (like below) thinking that we can get into an SVR for $749/month. ... wrong
$132,000 MSRP
$ 89,900 "Selling" Price
$ 64,6809 Residual @ 49% of MSRP over a 39 mo duration (Current JLR rate)
.00002 money factor (also current JLR rate for 39 mo)

$2,000 Dealer Fees
$ 795 Lease Acquisition fee
$ 305 other miscellaneous fees, etc

... the end result of running it through online lease calculator tells me it should be ...
$879/month

... so you call the dealership and tell them that you want to lease, rather than PURCHASE/BUY the SVR they have advertised for $89,900.

They will quickly tell you that your monthly payment would be...drum roll please... $1,335/month.

as the LEASE selling price is $13K higher raising the LEASE selling price to $102K and then calculating the JLR lease buy rate off that higher figure. You can see this in the fine print on the websites that show something similar to ...
"The estimated selling price that appears after calculating dealer offers is for informational purposes, only. You may not qualify for the offers, incentives, discounts, or financing. Offers, incentives, discounts, or financing are subject to expiration and other restrictions. See dealer for qualifications and complete details."

or more directly...
"ALL PRICES ONLINE ARE FOR PURCHASE ONLY AND INCLUDE ALL APPLICABLE REBATES. LEASE SALE PRICE MAY VARY. CUSTOM WHEELS AND ACCESSORIES THAT APPEAR IN PHOTOS ARE AVAILABLE FOR AN ADDITIONAL PRICE ABOVE THE INTERNET PRICE".

So... the LEASE selling price may be $102K when the PURCHASE selling price is $89,900. The underlying logic is that JLR is providing "incentive" monies to the dealerships. If they sell you a vehicle, they can use those incentive $'s to help reduce the selling price for a PURCHASE.

However, if they are technically "selling" the car to a leasing company, the "incentive" you are getting is the "near-zero" money interest rate money factors (.00002 this month for 39 months on an R coupe). That means that the financing company needs that "incentive" money in order to be able to provide you the super-low "incentive" lease rates.

In other words, you can't have your cake and eat it too. These "incentives" are consumed on one side or the other. So, if you are considering leasing, be aware that the "selling price" is hardly ever the "purchase" price. In many/most cases for the $100K cars that difference can be anywhere from $9K to $15K. In a few small instances some have been able to get both the super low selling price AND the super low leasing figures. Those buyers have been the following:

• One guy had spent about a million dollars with the dealership in the prior 5 years. Needless to say, none of us fall into that category
• One guy had to put $20K down on his SVR lease. Few of use would want to do that on a lease for obvious reasons
• One guy's friend's or friend-of-friends parents OWNED the dealership & they gave him every possible discount

Needless to say, in all the case above the dealerships probably "broke even" or may have even lost money in doing those deals. Companies are in a business to make a profit and it is in our best interest to ensure that they continue to do that so that they are around when we need them to service the vehicles we bought. If you are an investor, like I am, in Jaguar (TTM on the NYSE) then you want them to sell a lot of cars but you also want them to do it profitably so that the stock value continues to rise.

to wrap up the answer to your question. I am happy paying less than $800/month for 39 months to drive my new F-Type R that has a $111,058 MSRP. While I did not get the .00002 lease money factor, I did get very close to that. While I did not get the "lowest" sales price on the internet, I also got close enough to it that when combining the lease sales price with the near-buy rate lease MF I am satisfied.

 

https://jalopnik.com/you-can-get-up-...ype-1820416953
Pretty much what you already were describing as for pricing.

 

Good link. Here is the part that separates the wheat from the chaff in a much more concise way that my verbose attempt above. LOL

"One of the conditions of this particular offer is that it can’t be combined with promotional financing. As a result, the only shoppers eligible will be those paying cash or with the help of outside financing"

 

Did you forget about me?!?

 

LOL - OK... and one super cool member of this forum who was also cool on the BMW forums...

 

Hi folks, new ftype 17 r owner. Hornburg LA has a few 17 r’s left that they are leasing for 5k drive off @699 or 850 per month walk off. 39m, mf .00002, lease msrp 89k. Beat the hell out of the best competing offer in wa or ore by a few hundred.

 

Yeah that's about what I thought. They're simply manipulating the money factor and/or residual to make up for the low price.

 

Congrats on your new ride.
Are you saying they are leasing Rs for a "selling" price of $89K because the MSRP on an R is more likely $108K to $118K?
What was the MSRP on your car & your final "Adjusted" &/or "Selling" price? This would be the actual contract price AFTER all discounts and incentives.

You stated the $699 & $850 figures but that is for a 7,500/year? IF so, that sounds like a similar deal to what I was able to negotiate with Crown in St. Petersburg for with 10K/year. I was able to drive it home whereas the left-coast dealers would have required the additional shipping costs.

If anyone is interested in my contacts please message me and I will hook you up.

 

i am semi serious looking at an SVR. $3500 out of pocket $880 + tax on a 129k msrp is what i've gotten initially.

not something that i'm interested in based on the spec (black/black, black wheels), but if anybody wants my dealers contact info, i'll be happy to pass along.

 

Is that one a coupe or convertible? If it is a new one rather than a demo (aka less than 5K miles) that is not a bad number. Was that a 39 or 33 month lease and was it 7,500 miles/year?

 

39 and 10k miles. new coupe. not a demo or a punched car.

 

Great deal in that case as even after adding taxes you are probably still under $1K/month which would make it only a couple hundred more a month than an R is pretty darned sweet!

 

96x for PA. 9% lease tax .

Im still going to sit tight with my car for a few more months. After looking at the available SVR inventory there is only 2 cars that peak my interest and the dealers aren’t discounting heavily enough on those cars to make it worth while for me.

I will likely buy my car out at the end of the lease or look at an 18R next May/June. I also started looking at other non-Ftype replacements and nothing out there really compares. The top competitor for me is probably a 911.2 911S but a lease is literally double or it would be 50k more than my jag to buy a CPO one.

 

I am also working with Crown on a lease. Can you PM me with more details on your deal ?

 

Better yet, I am also in North Carolina. Call me. PM sent with cell

 

Everyone seems into leasing here, but fwiw, on Friday, I bought a '17 Coupe R, new, with delivery miles, for $83,625. The sale price of the car itself was $82,500 and I split the cost of a set of winter tires/mounting balancing and a wheel powder coating (may not get, will use towards a fixed wing, possibly) with the dealer. On the hard side $28,000 off the sticker. You just have to find the right dealer for the deal and the right car for you. I got lucky with dealer stock, for sure. Interest rates from some local credit unions and even Chase/BoA are all in the mid 3s...not great, but in line with BMWs offering on M cars at the moment, which I canceled an order for to get this car, incidentally. You can offset the rate easily enough.

 

I have never considered a lease but they sound better than I thought. I do keep my cars for 10 to 12 years. But here are my numbers to compare:

MSRP $109,958
Price $ 78,000
MD Tax $ 4,791
Fees (Tags, Title, Freight, Process, etc) $ 2,167 (probably got screwed on these fees?)
So $ 84,958 OTD
72 months @ 2.49% CU $65K $973/mo $70.057 (of this number $5,044 is interest)
I put out $19,958 because I just wanted to borrow 65K.

In summary it appears I will have paid $90,015 and own the car in 6 years.

 

Not sure what those 'fees' are. Total price = Car + Doc + Tax. That's it. Ever. If you choose to purchase GAP, extended warranties, dent protection, wheel/tire etc, that's done with the finance manager. I generally pay for any of those I want those up front, but to each his own. At any rate, it seems like you got a great deal so I wouldn't worry about it.

 

I leased mine and although my "sales" price was $85K, I will also have paid about the same $90K as you should I decide to write a check for it at the end of the lease in 39 months. $2K in fees (Docs, Acquisition, Non-Tax fees, etc) is pretty common for deeply discounted "sales" prices (I paid similar for my lease). Other dealerships roll their profit into the higher "sales prices" and than are able to charge as little as $395 in "fees". What matters is that the buyer is happy with their individual deal.

Part of the reason my final total cost are similar is due to the state taxes being less than 1/2 of what yours were and the fact that I am paying less than 1% on my lease interest rate / money factor for the 39 months I will lease it and I have the ability to write a check for the balance. Remove any one of those components and final costs would naturally increase.

In truth is that "total" costs should actually include FULL insurance coverage @ 300/500K coverage limits, tires, fuel, etc. NC insurance is extremely low if you have no moving violations. Others in more expensive states (like NY & NJ) can pay twice as much as the $900/year I will be spending on coverage for mine