Lease info

[andrew1cohen]

Hi:

I understand there are benefits to leasing EVs as you get the federal rebate upfront. I'm not decided if I'm going to take out a loan or lease it, but I want to be prepared and I've never leased before. I do plan on selling my M4 convertable -- If I lease, does it make sense to put that much down (the M4 is worth ~45k)?

Question: Does anyone have the relevant info for a Porsche Lease for a GTS. I'm in the Marin area of California.

Question: Also, any thoughts on the Porsche Taycan maintenance program and on the Tire and Wheel program?

Thanks!

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[kort]

I wouldn't consider any sort of maintenance plan for the taycan because there is little that needs maintaining.

 

[Folsom458]

With a lease, the money you pay up front for a down payment, reduces your monthly payment. If you are comfortable with the monthly payment, don't put any additional down as you will not get it back at the end of the lease.

This is a good primer: New car leasing 101: A plain English explanation (clark.com)

 

[Mr.Smith]

Taycan lease sucks Low residual, high money factor
36/12k is 52% RV, .0024 MF (5.76%)

If you can purchase and get the $7500 tax rebate, thats the best scenario

Large down payment only saves on how much interest you pay, which is very high on the Taycan
better to put less down on a lease

 

[andrew1cohen]

52%? That's ridiculous, they are selling 2-year-old ones at over the new MSRP!!

The dealer has said something like: If you lease it, you get the tax rebate all at once. Does anyone know how that works? Also, in California, leasing reduces taxes paid to 1-RV, which can help as California does not give any tax credit when trading in a used car.

The best plan is to buy with a large down payment or just buy. I'll probably keep my M4 Convert and sell it on the private market as I assume Porsche will offer me a pittance.

 

[Mr.Smith]

52%? That's ridiculous, they are selling 2-year-old ones at over the new MSRP!!

The dealer has said something like: If you lease it, you get the tax rebate all at once. Does anyone know how that works? Also, in California, leasing reduces taxes paid to 1-RV, which can help as California does not give any tax credit when trading in a used car.

The best plan is to buy with a large down payment or just buy. I'll probably keep my M4 Convert and sell it on the private market as I assume Porsche will offer me a pittance.

The leasing company gets the $7500 tax credit and uses it as cap reduction so deduct $7500 from the MSRP right when you lease the car.
In California you get $750 off if you buy or lease. This is from California. You can also qualify potentially qualify for utility incentives.

This $7500 cap reduction is taxed, so is the $750 from California.

Porsche doesn't want the lease on their books. This is why I went for the E-Tron GT instead. A Turbo is 44% RV, the Audi equivalent RS E-Tron GT can be 59% RV

Don't forget the dealership will also mark up your MF so it only get worse.

Lease you pay sales tax based on your monthly payments so if your term is 36months you only pay sales tax on 36months worth of payments

 

[Tooney]

I had never leased before. Here are some things I found helpful.
1. Have the dealer give you a complete blank copy of the Porsche Financial Services Motor Vehicle Lease Agreement. It shows the financial disclosures/numbers and all the lease terms and conditions. About 9 pages long. Read it.
2. There is a federal law that mandates disclosures for consumer lease agreements. The first two pages of most lease agreements contain the required disclosure info. Download the "Guide to reading a leasing contract" using pdf download link found on this page https://leasehackr.com/blog/2019/8/23/leasehacking-101-guide-to-reading-a-lease-contract
The pdf document goes over what to look for on the lease disclosure pages.
3. See the "Leasing 101" articles on leasehackr site https://leasehackr.com/ .
4. I found this article from a CPA journal helpful for a finance perspective: https://www.journalofaccountancy.com/issues/1999/apr/burgess.html
5. Learn what a money factor is and how to calculate it. (See item 4).
6. If you search this forum you will find many posts about the pros and cons of leasing Taycans. Some posters lease, some borrow, and some pay cash. Opinions, circumstances, and priorities of people posting vary.
Good luck.

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