Leasing a 2009 Camry LE

Got this flyer from a Toyota dealer advertising a 36 month lease where they pay the first 12 months and you only pay for 24 months. The fine
print indicated that the maximum paid for the first 12 months would be $2400. Okay, so this is basically a $2400 money back offer without any indication of the deposit amount or the monthly payment.
Long story short....I go in and request that they fill in the blanks and this is what they offered;
1. I pay $2600 deposit plus trade in my 1997 Camry (157,000 miles) which they value at $1000....Equivalent to a $3600 deposit. 2. They pay for the first six months and I pay $226 for the next 30 months....Equivalent to $189 for 36 months.
The Blue Book trade-in value for a 1997 Camry like mine is $1,025 so my question is whether $3600 deposit plus $189 a month for 36 months is a ballpark lease amount for this Camry or is this a raw deal?
Thanks!
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www.edmunds.com shows the dealer trade-in value at about $2300, but it's a generic valuve without all the other info you put in (dents, mileage, options etc).
Yeah, I know Toyotas don't hold their values very well ;) but at $1000 I think you're getting a raw deal.
In this economy they should be able to do better than that.

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Actually, that's the only part of the deal I'm comfortable with.
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Do the math 189x36 + 3600 = 10,804 Now add the buy out and if that adds up to less than the list price that's what the deal is worth to you. How much less or more is what makes the deal.
Basically to judge this deal you have not given enough facts. i.e. buyout and interest rate. Remember you still have to add taxes to the lease and buyout and there are in all likelihood a few hidden charges as well.
Mikewestvale
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Assume I'll be leasing another car at the end of the lease.
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oparr wrote:

You could sell the 1997 Camry around here for at least $5000. But it still may be a good deal.
Since you tend to keep your vehicles for a long time, leasing usually doesn't make sense on vehicles that have high resale value like a Camry. If you were doing this on a Ford, GM, or Chrysler vehicle which have extremely poor resale value, then a lease might make sense.
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Sell a '97 Camry for $5k? Where is "here"?
I've got a '96 Camry, 163k miles, good-fair condition, looking to sell, but Edmunds says it's worth maybe $2,000 tops. Resigned to pretty much getting $1k for it from the dealer, or just keep driving it till 180k miles or so.
Thanks,
Michael
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snipped-for-privacy@gmail.com wrote:

The Kelly Blue Book retail value for a 1997 Camry LE in excellent condition in my area is $4940 (with 157K miles and no extra equipment). People routinely way overpay for used Hondas and Toyotas in northern California, so getting $5000 would not be too difficult. If not for the sales tax and registration costs, you could make a living buying new Camrys from the dealer and reselling them used for more than a buyer could buy one for new.
Even turning it in to a dealer the KBB trade in value, which is artificially low, is $2,050.
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KBB returns $1025 for mine in fair condition and in ***my neck of the woods***. We're talking 4Cyl BTW. Also, it's been in two accidents, several dents and dings, front end needs overhauling....Yeah, I'll take $1000.

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Sure, especially with accidents the offered price will drop fairly quickly. But if you like to drive a new car every 2-3 years (most lease terms), then it may still be a good deal.
I recall viewing news that insurance/collision may be another consideration. Read the fine print and see how anything beyond "normal wear and tear" can cost you -- because the dealer won't get much with much wear and tear.

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Bodily injury or death minimum limits are $100,000 per person and $300,000 per accident. My daughter drives a 1999 Corolla which was leased back then. I bought it after the lease expired. Our insurance policy had to be upgraded to meet this requirement and I never downgraded it after the lease.

I may just buy at the end of the lease. Looking at the Corolla's lease agreement and the purchase invoice, I ended up paying $7260 plus $696. $7260 was the purchase option amount in the lease agreement. Looking back, the only sour notes I can recall was the haggling before the lease and the haggling before purchasing. The salesman and I nearly came to blows during the latter deliberation. I threatened never to buy another Toyota and report their establishment.
It took 3 hours of haggling (me vs two salesmen and their finance guys) on Monday night over the Camry so "here we go again".
On Mar 10, 8:08pm, snipped-for-privacy@hotmail.com wrote:

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snipped-for-privacy@hotmail.com wrote:

Okay, I was assuming excellent condition.
You can now buy a Camry CE for under $17,000. Figure $19,000 once you've paid sales tax and registration.
You'd pay for the car in 88 payments of about the same amount of the lease, a little more than seven years. I used the rate of my HELOC (2.75%) but you might be able to get a better deal through Toyota Motor Credit.
It doesn't sound like a bad deal for the lease in terms of the monthly payment, but that's a lot of money down.
We're looking at a Camry before the sales tax and DMV fees go up in a month. But we'll keep the '96 as a third car for when the teenage unit is driving.
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AS others have probably mentioned, you need to factor in end-of-lease costs. Even if you plan to lease again in 3 yrs, you could have additional costs just to end the current lease, or have no 'equity' for trade. Also, if you've driven 157,000 in a 97, that would be about 13,000 miles/yr. How many miles are included in the lease. If it's the standard 12K, and you have to pay 20 cents per mile over that, you're looking at another e-o-l cost...
Most experts will suggest that a lease isn't a good deal in most situations. Even if you decide to trade in again in 3 years, if you work a good deal now on the new car and take care of it over the 3 yrs, a Camry will probably be worth more than the payoff in 3 yrs.

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