Car Leasing 101: Do You Have to Put Money Down? PLUS end of lease options 

Very fair, reasonable, and balanced explanation of leasing, Jeff! It gets a bad rap, and it's definitely not for everybody. But for someone in the right set of circumstances, it's a great option!

Thanks Jeff, this is the video in my research on leasing that mentions credit score importance.

Hey now! You really hit em with the hein on that one. Thanks for the info. I’m gonna buy my leased 2018 Acura MDX . Thanks Jeff

Very interesting, informative, and helpful. Thanks for sharing

Thank you for posting this!

Excellent advice! So helpful! Thank you! 👍

This was a very informative video. Im thinking about leasing and it was straight to the point & answered many questions. Thank You!!

You are very entertaining...and of course helpful...Good video...!!!

Hey Jeff thanks for sharing this video on leasing. I love to lease vehicles and it works out really well for me to do it. Right now I am on my 4th lease. All the vehicles I have leased have been Rav4. My first lease was a black 2012 LE Rav4. Just something plain to start out with that I could afford at the time and had no plans on getting something brand new at the time and thought I was going to get something used but it worked out really nice so I could lease which I did not know anything about at the time or how it worked. Then my second lease was a little bit of an up grade to a silver 2015 XLE. My third lease I upgraded to an all black 2018 Adventure model that had the black rims on it. Now currently I am on my 4th lease and back in August got the 2020 RAv4 XSE Hybrid in the Silver and black color. On my 4th lease back in August I was given an extra $1000 on my vehicle I was trading in and they gave me an extra $500 for being a loyal customer. So each lease I have done I have been able to upgrade a bit on the models which has been really nice to do. For me leasing works really well cause I hardly put much for miles on in three years. All of my leases have been 3 year/36,000 miles except my current lease which they now have a 3 year / 30,000 mile. Most of my driving is mainly in town so I hardly put much for miles on. After my first three leases were up I only had around 20,000 miles I put on which is crazy. Also each time I have leased a new vehicle I have had the opinion of getting out of my lease three months early if I wanted to as a loyal customer and have taken advantage of doing that each time. I like the idea of in 3 years when your lease is up you can get into another new vehicle if you want which I like to do because of the new styles/changes they might have now. What I don't really like so much is having to put that money down up front each time you lease and you don't get it back. Also I wish they would give you some kind of incentive for being way under your total amount of miles you can put on like I have been where I have around 20,000 miles. It's hard to believe how much better my XSE model is I have now compared to the 2018 adventure model I had. SO in three years when my current lease is up it will be really interesting to see what improvements they will have made by then.

I enjoy your videos!

Great info😊

Dont see a point in putting $ down unless you are financing. Great video as always 👊

Great video

Nice job on the leasing break down! Hi Jeff, on my 3rd lease with Toyota, ‘15 Camry XSE, ‘18 Camry XSE and now ‘21 Venza XLE, all 3 in Ruby Flare Pearl. First 2 no money down, but this Hybrid and all its virtues ups the anti, so I had saved my shekels and dropped 4K down. I’m certain this will be a keeper and with the 10yr, 150K mile warranty on the battery I feel this will be a high mileage stud in our stable. Japan manufacturing on top of that gives me a good feeling overall. Now if they could get some of those Harrier accessories over here in the USA all will be good. No fog lights, mud flaps, visors etc. Canada has em! What’s up with that?🤔

The 1st viewer for the 2nd time..go on you are the best 👌

Thanks

Loved all the dad jokes.

@Toyotajeff in Raleigh, can there be instances where one can be given a discount off the residual at the lease or offers like vehicle being eligible for low APR?

You just gain another subscriber.

One thing that was not mentioned in this video. Sales tax is not paid on the ENTIRE car price. You only pay tax on the DEPRECIATED amount of the car while you are leasing it, in monthly payments added to the lease payment.

The down payment you put down for the car you are renting for 3 years goes straight into someone’s pockets🤫. Also, when you return the car make sure you returned it without any blemishes. No rips on the seats, no dents, no scratches or scuffed rims, no damages on the bumpers etc… take care of all the damages, other wise the dealership is going to bend you over the same desk the bend you over the day you signed that rental loan and stick it to you one more time.

Thank You for the videos and watch and subscribe to your channel

Jeff, I love your videos but you skipped over the most important part, which is how you get the lease payment amount. You showed numbers, touched a bit on interest rate (MF) but didn't explain residuals and how the payment is determined and other options such as MSDs to lower your payment. Keep up the good work and keep the informative and entertaining videos coming.

How did you get your numbers for the 4Runner? I’m trying to calculate a lease for a rav4 xle awd and the hybrid version for 3 years, 12-15k

lol love it thank you

I like your videos

I've been leasing for decades. I think my first lease was way back in 1993. Learned over the last year, negotiate OTD price BEFORE talking about lease rates and down payments. My current 2022 Hyundai Kona lease is under $400/month, but my partner's 2023 Camry XLE AWD lease is over $500/month!!! Now in 2024, dealers have no reason to sell for above MSRP, or even AT MSRP, yet I am finding many dealers still doing so (and most of them Toyota dealers). Of course, I want to lease a hybrid Corolla Cross, and they are not too many in stock so far.

I have always had used cars but recently starting leasing. I love it so much! I would be paying down my used car and then bam it would need a repair or brakes or timing chain or whatever! Now I know what my payment is going to be. I put gas in it and go! My wife has the 2020 Rav 4 Hybrid and I have a 2020 Tundra CM. I have always been a GM person until it got too expensive to maintain them. We switched to Toyota and I'm never looking back! Any inside news on the 2022 Tundra? ;)

Thank you for the very informative video! What do you think about leasing a full electric vehicle? The reason I ask is because electric vehicle's batteries degrade over time and would not last longer than regular cars do. What do you think? I have a 2020 4runner TRD offroad premium that I love but I need something for work and back.

Great job Jeff !! When you say zero down, did you mean tax/registration/1st payment? or completely zero down?

I would never put money down on a lease. I would just put the money I was going to put down in a savings account and put it towards my monthly payment. That way, if something happens to the vehicle, you still have money in your account.

Great content.....new subscriber here 👍👍

Jeff, please explain the amount due at signing that most dealers seem to require when you lease. Thanks.

What if someone have a lower credit score, but have a cosigner and would like to lease. Would they still get approved?

$29 minus out of the payments so from 1000 is 290 is $29 from 319 from 290 to 261 is $29 but if you look at zero from $2058

Very good information I’m just waiting till something happens with my car but when you releasing, do you really have to have a lot of money to lease because you’re cars are more expensive or less are your insurance gonna be higher?

The PROBLEM is, if you have a "fair" credit score (640), are you going to get a lease with "0" down?

Can I negotiate the residual value of my truck lease? Thanks

Hi Jeff. I always see “due at signing”. Is this different than or in addition to a down payment?

With bad credit and no co-signer, it’s a requirement from the bank to have a chance at getting approved

Is the 4runer a new model?

4:02 when you say $24842 with a $4000 discount, is that dealer invoice pricing? If you don’t have any trade in, cash down payment, or dealer/O incentives…it’s very hard to get them to discount MSRP that much, right?

Jeff Please use mic in all of your videos

Question, do you always go with the cheapest car sarah lease payments are low or do you just get what you want are your pain payments gonna be higher on an expensive vehicle which I think you demonstrated ?

Down payment on a lease is idiotic. If you put $5k down and the next day your car is totaled, you don't get your down payment back since your technically renting (paying depreciation).

Can you use multiple security deposits?

I wanna lease but I’m still financing another vehicle.

so if you go over the mileage limit but trade in the vehicle for another lease or buy it with a loan you don't have to pay the penalty for going over the mileage???? is this true on every lease????

You are doing exactly what I want to do with a venza

How about if you decide to sell your leased car?

Is that including the car insurance or no

6:21 when people ask me how much I make a year.

can anyone comment on the advantages and disadvantages of a 2yr vs 3yr lease?

You are awesome! Too bad you are far away :(

How about equity in the lease

Why no toys for tots update? What did my donation do?

Why did u delete the new camry video

So I am under $20k miles on my lease that is ending in 5 months. I want a new car. But if I go back to the dealership they may low ball me and not give my equity.

What about taxes and fess with leasing

Jeff i really want a key

Its so funny that the dealer wants me to trade my vehicle with the lease. Wrong! That would be money down. Sheesh

I'm currently leasing through Nissan my credit shot but their still willing to put me in a new car because I have excellent payment history with their company

If I have a trade in with 10k in equity and plan on getting a lease, will that 10k affect the vehicle price later on if I decide to keep the vehicle?

It's insane how people say it's a great idea to keep leasing. It's a guaranteed expense. You Always eventually want Out of car payments and take the money instead to invest in your retirement.

Thank you for the video but leasing is not a good think.

Wait, I'm confused on end of lease options. You can trade it in and the mileage doesnt matter?? Im getting ready to drive my kid's clunker cuz im close to 36k and my Rav's lease isn't up until October 😳 please explain👍🏻Im looking into leasing the new XSE Highlander ❤ Thanks for all you do Jeff!

The doing $4,000 off a 2021 Camry

You didn’t say if you get mileage money back if you don’t use all miles you leased the car for only amount you would pay if you were over.

If you lease an electric vehicle, you get a $7500 tax credit. That's enticing 🧐

You never put money down on a lease...............

Work in corporate finance. Went to a dealership just for very very leisurely looking one day last week. Had like, a 3/10 chance of walking out with a car because I am not eager at all right now. Was more for fun and to see what these salesmen try. Don't worry, I was there only roughly 15 minutes. Zero waste of my time to mess with them and pretend I'm interested (only I knew that). Anyway. Visit a Chevy dealer just to look around at a cheap Equinox (solely commuting 5 miles to work and back). They wanted $9k down, $299x36mo with Tier 1 credit (822 FICO). The moment I mentioned cap cost, RV%, money factor, etc. they changed their tone. Offered $6k 229/m I looked the GM straight in the face and said kiss my ass. And immediately left. They tried chasing me down. Kept walking. INSANE how these dealers will rip people off. *UPDATE* 2022 Kia Forte GT manual - paid MSRP ;) that's how you do it. Zero markups or hidden fees

A fool and their money are soon parted. Continually leasing vehicles is a great way to waste tons of money.

First

You don't say anything about signing start the lease.

My dad always said leasing a car is like making a deal with the devil !! He always bought his cars with cash. Never had a payment in his life. He's 78.. .. Sorry Jeff !

reduce the bloat bud! This is too much talking.

Dave Ramsey never recommended leasing a vehicle.

Don’t lease

FYI ..... You never put money down for at least vehicle towards the value of the car

Question, do you always go with the cheapest car sarah lease payments are low or do you just get what you want are your pain payments gonna be higher on an expensive vehicle which I think you demonstrated ?