View Single Post
      10-24-2019, 03:27 AM   #69
Second Lieutenant

Drives: 2020 BMW M340i xDrive
Join Date: Aug 2016
Location: Northern Virginia, USA

iTrader: (0)

Garage List
Originally Posted by ///M TOWN View Post
Originally Posted by Jbonly21 View Post
I am surprised nobody mentioned that KIA and Hyundai doesn't hold its values at all even worst then Bmw. If you bought that G70, after two years it's worth nothing.
If you lease it,

Nobody really cares but KIA.
If you lease it and the residual is 50% then you care because your payments are higher. Thats the residual for a 36 month 10K lease on a 2019 G70 3.3 AWD for October 2019, the 2020 models just came out the residual is a little higher (around 52 or 53%), but that has a huge impact on the price you pay per month.

The 2020 m340i's residual for a 36month 10k mile lease is 61%

MSRP might be cheaper but at least for leasing isn't the only important number.

For a quick hypothetical comparison, a $60k msrp m340i with a 10% discount (very common) no incentives at a 61% residual and I made up the interest rate as 0.001 MF plus 7 msds would lease for $569/month before tax, $0 down except msds which you get back at the end of the lease.

A $51k G70 with an 8.5% discount (about average I think?), no incentives at a 52% residual, same interest rate but no msds (genesis doesnt offer it I dont think), would lease for $650/month before tax, $0 down.

These are just hypotheticals but you can see how a car's value after 3 years can influence the lease price substantially.

I have a nearly fully loaded m340i (missing the tire and cooling package), and I pay $580/month with $0 down (not counting msds which I get back).

This also demonstrates how msrp doesn't mean anything when it comes to leasing, and even buying the car if dealers are willing to come down a lot off msrp vs. another brand that doesn't have as much wiggle room. It allows Genesis to attract value buyers with a lower msrp I guess but if you do your homework you could have a BMW for less!