Leasing a luxury SUV can be an enticing option for individuals seeking the comfort, performance, and style offered by a high-end vehicle and the reliability of the Toyota brand. Understanding your lifestyle and how much it is to lease a Lexus SUV will help you decide which option is the best for you. In this article, we will guide you through the essential aspects you need to know about leasing a Lexus SUV in California so you can drive away confident in your decision.
Lexus, known for crafting luxurious and reliable vehicles, offers a range of SUV models that cater to a variety of preferences and needs. From the versatile mid-size Lexus RX to the spacious Lexus GX, each SUV offers its own set of features, technology, and performance capabilities. But before choosing, it’s important to understand if leasing a Lexus SUV fits your lifestyle requirements.
Our comprehensive guide will ensure that you are equipped with the necessary knowledge to select the Lexus SUV lease that aligns with your budget and preferences.
Pros and cons of leasing a Lexus SUV
Leasing a Lexus SUV can be an excellent option, but it isn’t for everyone. A Cartelligent advisor can help you determine if this is the best option for you. To get in contact with an advisor, fill out this form to get started.
Pros:
1. Lower monthly payments: One of the main advantages of leasing a Lexus SUV is the lower monthly payments compared to buying. When leasing, you pay for the depreciation of the vehicle during the lease term, rather than the full cost. This means your monthly payments are typically lower compared to purchasing.
2. Access to the latest models: If you prefer to drive a newer vehicle every few years, leasing can be a better option. Leasing means you have the freedom to drive a new make or model with the latest technology and features every 2-3 years.
3. Flexible lease terms: Leasing offers flexibility in terms of lease duration and mileage limits. You can choose a lease term that suits your needs and adjust the mileage limit based on your driving habits.
Cons:
1. No ownership: Unlike buying a vehicle, leasing does not provide any ownership. At the end of the lease term, there is the option to purchase the vehicle at a predetermined residual value if you decide to keep it.
2. Mileage Restrictions: If you are a high-mileage driver, leasing a Lexus SUV may not be the best option for you. Most Lexus leases are between 10,000 – 15,000 miles a year. Higher mileage leases may be available and it’s best to consult a Cartelligent advisor to determine if it makes sense for your specific situation.
Overall, leasing a Lexus SUV is a great option for savvy drivers who value flexibility and the latest technology. Leasing isn’t as great an option for those who plan to keep a vehicle for a long time. Before choosing to lease or purchase, consider these pros and cons to understand which option aligns with your priorities and financial situation.
If you are still unsure which option is right for you, get in touch with Cartelligent, a California car-buying and leasing service. 55% of Cartelligent clients in 2021 chose to lease a Lexus instead of purchase, showing their expertise in the leasing vs. purchasing debate. As new vehicle experts, Cartelligent advisors can discuss the pros and cons in more detail with you.
Factors that affect leasing prices for a Lexus SUV
Understanding the contributing factors to the overall leasing price will help you estimate the expected cost.
1. Vehicle Model and Trim Level: Typically higher-end trims or models with additional features will have higher monthly payments.
2. Lease Duration: Generally, longer lease terms result in lower monthly payments, but you’ll be locked into the lease for a more extended period. Most Cartelligent clients choose a 3-year lease term. As incentives change monthly, it’s always good to check with a Cartelligent new car advisor on what current promotions are running you could take advantage of.
3. Mileage Allowance: This specifies the maximum number of miles you can drive during the lease term without incurring additional fees. Higher mileage allowances usually come with higher monthly payments.
4. Residual Value: The residual value, determined by the lessor, is the estimated value of the vehicle at the end of the lease term. A higher residual value can result in lower monthly payments, as you are only paying for the depreciation.
5. Money Factor: The money factor, similar to an interest rate, affects the finance charge for leasing. A lower money factor will result in lower monthly payments.
6. Incentives and Promotions: Lexus often offers lease incentives and promotions, such as rebates, or leasing incentives. These can help lower the overall lease cost.
By understanding how each factor influences the leasing price, you can better gauge how much your Lexus SUV lease price will be. For those who prefer to leave the lease negotiation to an expert, there are car-buying and leasing services available.
Car buying services know a good deal in the automotive industry. They often secure a better lease rate for their clients than an individual can achieve on their own. One such service for those looking to lease a new Lexus SUV in California is Cartelligent.
Different leasing options available for a Lexus SUV
Lexus offers various leasing options to cater to different preferences and budgets. When considering which leasing option to choose for a Lexus SUV, it’s important to consider your lifestyle, preferences, and financial situation. Each option offers its own advantages and considerations, so it’s important to select the one that best suits your needs.
1. Standard Lease: This option allows you to lease a Lexus SUV for a predetermined term, typically ranging from 24 to 48 months. You make monthly payments based on the depreciation of the vehicle during the lease term.
2. One-Pay Lease: The one-pay lease option involves paying the total lease cost upfront, eliminating monthly payments. This option can be beneficial if you have the financial means to pay the full amount upfront and want to avoid monthly payments. Learn more about one-pay leases here.
3. Multiple Security Deposit Lease: By placing up to nine additional security deposits on top of the standard security deposit, your monthly payments can be reduced. At the end of the lease, all deposits are fully refundable as long as all the lease terms and conditions are met.
4. Low Mileage Lease: Low mileage leases are a great option if you won’t be using your leased Lexus SUV for long driving distances. By choosing a low mileage at 7500, 10000, or 12000 miles per year, your monthly lease payments could be reduced.
If you’re enjoying your Lexus SUV, you may want to consider extending the lease or buying out your lease at the end of its term. Just be aware buying out your lease may not always be the best option for you. To understand if buying out a lease makes sense for you, read Should You Buy Your Leased Vehicle at Lease End.
Additional costs to consider when leasing a Lexus SUV
When leasing a Lexus SUV, it’s important to consider additional costs beyond the monthly payments. Being aware of these costs will help you budget effectively and avoid surprises during the lease term. Here are some additional costs to consider:
1. Capitalized Cost Reduction: While it is not always required for a lease, it can help lower the monthly payments. If you choose to make a down payment, consider the impact on your budget and whether it aligns with your financial goals.
2. Sales Tax: The sales tax rate varies depending on your location. It’s important to remember this when calculating the overall cost of leasing a Lexus SUV.
3. Insurance Premiums: Leasing a Lexus SUV will require you to have comprehensive insurance coverage. Contact your insurance provider to understand the potential increase in premiums and factor it into your budget.
4. Excess Mileage Fees: If you exceed the mileage allowance specified in your lease agreement, you will incur excess mileage fees. These fees can be significant, so it’s important to estimate your mileage needs accurately and account for any additional charges.
5. Excess Wear and Tear Charges: Lease agreements often have guidelines for acceptable wear and tear. If the vehicle shows excessive wear and tear beyond what is considered normal, you may be charged for repairs or replacements at the end of the lease term.
As a precaution, Cartelligent recommends Safe Lease to all their client who lease a Lexus SUV. Safe Lease covers minor damage repair at the end of the lease which would otherwise result in penalty fees like excess wear and tear charges.
6. Early Termination Fees: If you decide to terminate your lease early, you may be subject to early termination fees. These fees can be substantial, so it’s important to consider your lease term carefully and avoid terminating the lease prematurely.
7. Disposition Fees: If you’re not planning to lease again from the same brand, you will usually have a disposition fee when you return a leased vehicle. This fee is to help cover the cost of readying the car for resale. The exact amount depends on how long you are leasing the vehicle for and will be specified in your contract. If you choose to lease a different car from the same brand, the disposition fee may be waived.
Considering these additional costs will allow you to budget effectively and make informed decisions when leasing a Lexus SUV.
Conclusion: Is leasing a Lexus SUV right for you?
Leasing a luxury SUV is a great option for those seeking the comfort, performance, and style of a high-end vehicle brand like Lexus without the hefty upfront cost. Since you are paying for the depreciation of the vehicle during the lease term, leasing is a savvy choice for most car shoppers.
Leasing a Lexus SUV in California may not be the right choice for those who are high-mileage drivers, prefer the security of owning a vehicle, or want full control over customization. Lexus does have limited customization but not every configuration is guaranteed by the brand.
Deciding to lease or purchase a new Lexus SUV in California can be a daunting choice. Luckily Cartelligent, a new car leasing and buying service, has the expertise to help you decide which option is right for you based on your unique requirements. As experts in automotive leasing, they can guide clients to the best options for their situation. On top of saving clients time, Cartelligent advisors often secure amazing deals on Lexus SUVs in a stress-free experience. To see if leasing a Lexus SUV in California is the right choice for you, get in contact with Cartelligent today or by calling (888) 427-4270.