Quote:
Originally Posted by Eric5273
Not true. The residual value is the same percentage of MSRP regardless of options. So if residual is 60% and an option added is $1k MSRP, then that option adds $600 to residual and $400 (plus interest) to your payments.
The reason more stripped cars are usually better lease deals is because the mark up on options (difference between MSRP and invoice) is not that much for most options, so adding more options does not increase the discount you can bargain on the vehicle by any noticeable amount. So you end up paying a higher percentage of the car's MSRP, and therefore your lease rate is proportionally higher.
And if you buy, when you end up selling many options will not add anything to the car's value when it's used.
So for these reasons, you are always better off getting a higher model with fewer options, than a cheaper model with more options.
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Ok this is not what I was told many years ago. Thanks for correcting me. I haven't leased in many years so I am not current.