Just put in the call

 

Hey bro, not a bad deal on a 16--- there is about 11% from invoice to msrp on the car. And they are giving you the .00200 buyrate via PFS. All the other factors are fixed (residual, term, miles, all are under your control) and they can't pack them for more profit. The most important factor of course is price, then money factor. You have the MF at buyrate so you are good but PFS is rather pricey when it comes to that. Where are you buying it at (PM me).

 

PM sent. Just got a new offer. Please PM me back. CAN I GET YO #?

 

I just purchased a 2015 911 turbo s coupe in south Florida last week, the sticker was $194 K, my salesman took 15% off the car, i put down $5 K, which included first payment, and i leased the car for 30 months, 7500 mile, and he included 2 years maintenance free for: $2850 a month all in...so you may want to negotiate some more.. hope this helps

 

OP is in California with a much higher sales/use tax than you have in Florida so it's not comparable.

 

That's a great deal. Congrats! Can you PM me and let me know which dealer you purchased from? Thanks.

 

Am I missing something? That money factor is a 4.8% APR, I got 3.2% and 3.9% on my two cars doing a 60 month loan with only a 712 credit score in the fall and summer of 2014. I have since paid off the 3.9% car but Ferarri offered me 1.9% in July 2015 on a used 2012 458 Spyder after my credit score had increased to 812. Not being argumentative since I know you are the pro in this game. I thought interest rates were lower on shorter term loans but obviously payments are higher.

 

I have my loan at 2.5%. My other car is at 1.74%. 4.8% is terrible.

 

Not missing anything. Porsche has a high MF and makes rate on their leases. On a loan, with good credit, you can always get a better finance rate then the Porsche's Lease rate. I leased my last 991 from PFS for 24 months. They, at times, create artificially high residuals to move cars. I believe the 24 month lease was at 77% in 2013 which yielded a low payment but still have a high finance rate of 4.8% all things considered.

 

But isn't a high residual risky? You could end up underwater? I bought my car when it was only 9 months old for 18% below the msrp and there were probably mitigating circumstances but those can occur in a lease. Anyway, now with the road damage repair, there is no way my car would fetch 77% of 192k and it's now 25 months old. That could have happened to the original owner or anyone leasing for that matter. Ferrari offered me $115k in trade, I told him that was not worth considering. I was thinking they would do $125k which I probably wouldn't have taken anyway.

 

No you aren't missing a thing... Leasing vs Retail has been discussed ad naseum in these forums and others. Leasing non subvented rates are always high. MBFS is .00190 top tier and PFS has been at .00200 since the mid 2000's. They attract a certain buying segment who like to swap cars a lot and also look for tax breaks. Not every state is an up front state where one has to pay the full taxes on the gross cap of the car. CA is one of them so the OP only has to pay taxes on each lease payment vs 8% of the 175k or so. There are also tax benefits via leasing (don't ask me as I'm not an accountant and buy mine but a lot of people lease and write off a chunk of the payment).

Generally speaking, the shorter term the lower lease money factor but on these cars the standard rate applies and they are higher. If you went in and leased a Camry or a 3 series you would get a factory subvented rate (depending on region and program) almost always. PFS has never offered this up on Turbos and they have a very strong lease penetration with their stores. Their strategies are to hold their clients in their leases thru term or pull them thru again and again creating long term lease clients while making good interest returns via higher residuals. Often, if the regions have over allocations they will offer to pay 12 months of a lessee's payments if he/she releases with PFS with an applicable model. I do remember a program that offered current 911 PFS Lessees a pull thru where PFS would make up to 30k in payments with a maximum of 12 payments if that buyer did release another 911 with PFS. That's a 2500 per month cap which is pretty strong.

 

WRS Vic is correct. As for being risky I had no intention of keeping the car. The risk is on PFS or whomever they sell the paper to. In fact I knew more than likely 18 months in I would dump the car via a pull ahead program which is what I did when I bought the Turbo. As Vic said the buy vs Lease thing has been talked about at length. It was my first and only lease, not sure I would do it again.

Plus I just got engaged, bought a house and adopted a dog. I plan on keeping the Turbo for a while.

 

Thanks, that sounds a bit like heroin dealers offering free product for beginners. The idea seems to me, if I understand what you are saying is to get the lessee stuck to the lessor unless at some point they can come up with a big chunk of change to escape. Indentured servitude comes to mind here but I digress and of course I could be completely wrong in my interpretation of this.

 

So are you saying they will take it at the residual no matter the Carfax issues? My car is fine, it's worth whatever the market is for one in above average shape but the Carfax would say otherwise on the road damage but that stuff was all fixed to spec. That is kind of what I was getting at with my post, I won't lease but I am still interested in understanding it better. My daughter is at the end of a lease and it was their first one, a Jeep and they don't seem to have good options.

 

Without getting into a debate with the forum a lease offer a more car for less money. You are essentially just paying the rent charge. You can get stuck in a cycle of continuing to lease due to the ease of lower payments and little cash outlay yet always driving a new car. My personal choice this time around was to be done with a car payment on this toy. Others have businesses they write off against as the OP suggested. I was audited in 08 and took a year and a half to resolve for a "mishap" and it was not very fun.