Need Help with a Lease.. please help

My dad is looking to get a a new 996 cab. fully loaded, MSRP is somewhere around--$92,000. He wants to lease it and it would be under the company, the figures go like this with $11,000 down at around $1000 a month... I personaly think thats pretty high but I guess thats the going rate? Any replies are appreciated, thanks.

Depends on a few things: residual, money factor (multiply by 2400 to find the interest rate), and specific purchase price. Assuming the residual is 60%, the interest rate is 5.4%, and he actually purchases the car for $87k (which in this soft market he should easily be able to do), he'll need a down payment of $9k to get to a payment of $1012 per month on a 36 month lease. Make it a 48 month lease with the same residual, and he'll only need $2k down with the same payment. This all assumes SoCal tax rate. Find out the specific residual on all available lease terms, plus the money factor (they try not to quote, but tell them you need to know or no deal), then e-mail me & I'll do the math for you.

Appreciate all your help, I'll find out the money factor tomorrow. It is a 4 year lease and i'm in New York, not sure if that changes anything. I will see if he'll go for 10grand down with a monthly payment of 1000.

That sounds like tool much (unless the residuals on Porsche are really low right now). Assuming an actual purchase price of $87k, with a 4 year lease and a 60% residual, at a 5.5% interest rate (.002 money factor), he should be paying $1,066 with ZERO DOWN! This comes directly from a lease calculator. Higher residuals would equal even lower payments. This is all with an 8.25% tax rate. Dealers never like you to know what you're buying. Never. That's why they use terms like money factor instead of interest rate. It removes your ability to calculate a deal. Look at sites like leasetrader.com and note the wild disparity amongst what people are paying for the same cars. Some dealers will quote you a price on a car, but when you look at the deal through the lense of a calculator, you find that the deal does not reflect the price...

it's too much, but regardless, why put cash down on any lease?

Leasecompare is showing a residual value after 4 years of around 45%, not 60%. It's about 50% after 3 years. Anyone know what others banks or Porsche Finance is using? Cash down on a lease makes sense if your return on funds is less than the money factor. If leasing costs around 5.5% and your personal rate of return is 1.5%, then you're ahead to do a single payment lease.

</font><blockquote><font size="1" face="Verdana,Tahoma,Helvetica">quote:</font><hr /><font size="2" face="Verdana,Tahoma,Helvetica">Originally posted by cJm: <strong>Leasecompare is showing a residual value after 4 years of around 45%, not 60%. It's about 50% after 3 years. Anyone know what others banks or Porsche Finance is using? Cash down on a lease makes sense if your return on funds is less than the money factor. If leasing costs around 5.5% and your personal rate of return is 1.5%, then you're ahead to do a single payment lease.</strong></font><hr /></blockquote><font size="2" face="Verdana,Tahoma,Helvetica">the only problem with this is if your car gets totalled you do not have any bargaining power with the insurance company in terms of negotiating your settlement, whereas if you put zero down you are covered by GAP insurance, and can walk away

How much is Gap insurance?

</font><blockquote><font size="1" face="Verdana,Tahoma,Helvetica">quote:</font><hr /><font size="2" face="Verdana,Tahoma,Helvetica">Originally posted by cJm: <strong>How much is Gap insurance?</strong></font><hr /></blockquote><font size="2" face="Verdana,Tahoma,Helvetica">it has always been included in any of the cars I have leased, I think it is standard in all manufacturer lease programs