How is residual value calculated on a lease

ca1surf
0

Asked by ca1surf Mar 29, 2013 at 11:36 AM about the 2012 Porsche 911 Carrera S Cabriolet

Question type: General

When I'm in the finance office deciding on a lease verses purchase how do they calculate the residual value of a cars worth in 3 years

1 Answer

tenspeed
68,535

Residual value in car leasing, refers to the estimated value of a leased vehicle at the end of the scheduled lease period. The longer the lease, the lower the residual value, as compared to the original MSRP sticker price. Residual values play a key part in the calculation of lease monthly payments since leases are based on the difference between residual value and negotiated selling price. The higher the residual, the lower the lease cost for a given selling price. You can negotiate the value to lower your monthly payment within reason.

1 out of 1 people think this is helpful.
Best Answer

Your Answer

Add photo

Related Questions

  • care questions & need advice on 911S 06 3 answers

    Hi, I really need help on some advice and care issue. I am car care noob who got 06 911 S last year(2009) april. It was a certified used car lease and had 28,000 miles. 36 month lease. WHAT I WANT...

    2006 Porsche 911 Carrera S

    -

    Maintenance & Repair

  • lease payments 2 answers

    How do I figure out the lease payments

    2014 Porsche Boxster S

    -

    General

  • can you lease a used car? 1 answer

    2010 Porsche Panamera 4S

    -

    General

  • To buy or not to Buy Porsche Cayenne 18 answers

    Hello, Looking for some hard fact answers! Should I buy a used Porsche Cayenne? I love the way look and drive, but am I just going to be wasting my cash. I can't afford new but wiling to spend 18 gr...

    Porsche Cayenne

    -

    General

  • Lease deals? 1 answer

    Dome recommend leases

    2014 Hyundai Equus Ultimate

    -

    General

Search Porsche 911 Questions

Porsche 911 Experts

#1 Michael Kane
Michael Kane
Reputation 450
#2 Andy Dickens
Andy Dickens
Reputation 250
#3 Tom Demyan
Tom Demyan
Reputation 230
View All

Related Models For Sale

Used Porsche Cayman"
10 Great Deals out of 738 listings starting at $18,950
Used Porsche Boxster"
45 Great Deals out of 1,647 listings starting at $3,985
Used Chevrolet Corvette"
270 Great Deals out of 11,157 listings starting at $3,000
Used BMW M3"
28 Great Deals out of 996 listings starting at $4,000
Used Porsche Cayenne"
92 Great Deals out of 3,338 listings starting at $7,984
Used Porsche Panamera"
33 Great Deals out of 1,820 listings starting at $39,999
Used Mercedes-Benz SL-Class"
92 Great Deals out of 2,819 listings starting at $4,488
Used Ford Mustang"
665 Great Deals out of 31,670 listings starting at $1,950
Used BMW 3 Series"
958 Great Deals out of 36,045 listings starting at $1,200
Used Nissan GT-R"
8 Great Deals out of 547 listings starting at $54,988
Used Audi R8"
8 Great Deals out of 333 listings starting at $69,750
Used Mercedes-Benz S-Class"
126 Great Deals out of 7,791 listings starting at $2,200
Used Mercedes-Benz E-Class"
450 Great Deals out of 22,278 listings starting at $1,800
Used BMW 6 Series"
89 Great Deals out of 2,730 listings starting at $8,988
Used Mercedes-Benz C-Class"
624 Great Deals out of 24,343 listings starting at $2,450

Used Cars For Sale

2014 Porsche 911 Carrera S Cabriolet For Sale
32 listings starting at $93,900
2013 Porsche 911 Carrera S Cabriolet For Sale
74 listings starting at $62,942
2012 Porsche 911 Carrera S Cabriolet For Sale
4 Great Deals out of 33 listings starting at $72,999
2011 Porsche 911 Carrera S Cabriolet For Sale
14 listings starting at $59,800