I have a 07 coupe on a 3 year lease with a residual value of 81k. Lease ends in a little over a year. I really like the car and have spent money on mods, so would like to keep it, but given current values it seems like alot to pay for an 07 with low miles (20K miles) at lease end. My question is are residuals negotiable? Will porsche financial offer me a better deal to keep the car vs hand it back?

 

Yes you can negotiate, yes they will offer a better deal, but you'll have to wait until you are 60-90 days from lease termination. In a year the market for Turbo's is going to get interesting as Porsche is only going to make a few for 2010 and my money says we wont see the new PDK for a while. Either way, 75-80K for a low mileage 07 Turbo is retail right now. You'll need to find a private sale to do much better, or be willing to drive a high mileage car. I do think values are going to continue to slide in the near term. Spring is always good to the sports car market.

 

That's weird, PFS told me they wouldn't negotiate on the residual on my 05 c2 this past Dec.

 

if you like it and obviously know the car just buy it. The price is in line with what they are going for now,if you can negotiate a better price even better. I guess that's the flip side of leasing when you are stuck with a high residual.

 

The price is negotiable, pfs has/had a program to retain cars and customers, avoiding auction, where they offered the dealers/owners the cars at market value instead of RV. They called it 'market value pricing' or MVP. I wouldn't push it until close to the end.
81k is not too much for that car btw, esp since you know it and like it. If you leased it thru your biz/practice, paid it in pre-tax dollars, then choose to buy it you're getting a great car at a bargain as it only really cost you the RV, with the practice picking up the upfront cost, a 'perk'.

 

exactly right!

 

Thanks all for the advice. I did lease it through the practice, so it is a "perk", on of the few since the "man" takes so much! I will negotiate with pfs in a year. Thanks again!