How can a more expensive vehicle’s lease payments sometimes be lower than a less expensive one?
The primary reason for this is because of the differences in vehicles when it comes to projected future values. The books that are used to determine these future values (residual guide books) show that some vehicles are projected to be worth as low as 25% of their original cost in 3 years while others are projected to be worth as much as 60% of their original value! Because of this huge variance, it is possible for a vehicle that cost $20,000 new and has a 60% projected value to have a lower lease payment than a vehicle that cost $17,000 new and has a 25% projected value. Some of the reasons for the huge differences in projected value are reliability, amount of factory rebate, popular demand and a host of other factors. When one is looking for a low monthly lease payment, it is essential to know which vehicles have the highest projected future value. Your Educators Auto & Lease representative can educate and advise you on the vehicles that have the best projected future values.
