General educational information only. Vehicle programs, laws, lender terms and dealership practices vary. Confirm the details of your actual transaction.
The vehicle price still matters
A lease begins with an agreed vehicle value, often called gross capitalized cost. Negotiating the vehicle price can affect the adjusted capitalized cost and payment.
Know the variables
Two payments are not comparable unless the underlying terms are comparable.
- Lease term
- Mileage allowance
- Cash due at signing
- Selling price and incentives
- Residual value
- Money factor or rent charge
- Acquisition and disposition fees
Avoid judging only the monthly payment
A payment can be reduced by adding cash at signing, choosing fewer miles or extending the term. Compare total cash outlay and end-of-lease obligations, not just the advertised payment.
Ask what is fixed and what can change
Residuals and program rates are often set by the lender, while selling price, dealer products and some transaction choices may be negotiable. Programs vary, so confirm the actual written proposal.