I went to a dealer to get some pricing on a new cts since my car cts goes back in march 09. I figured 6 more payments, gmac will eat 2 and employee pricing should cover the early return, and I am running a little over milleage. First off they wanted about a 1,000 per month because the residual went up to over 11%. Sure you want to lease !!! I called a friend of mine who finances autos and he stated no more Auto Leasing unless you want a pontiac G6. I offered my Friend a JOB because alot of GM dealers will be closing because of this. He told me 4 (FOUR) customers walked out today alone!! Executives at GM are SMUCKS!! and I received a letter in the mail from NISSAN/INFINITE offering to assume my lease and lease me 1 of there's. Go ahead GM let the Foreign car companys take more out of you pocket..I Don't Care I'll be Driving a G37.
Yikes! 1000 a month is pretty pricey. LOL cars are a losing situation. Ya know, the other day I went to carmax and sat through a "presentaion" on how they only mark cars up 1000-2000 and sell volume. So they get me excited because i wanted to trade my cts for a cts-v. WELL! They offered to buy my cts for $8500!!!!!!!!!!!!!! I have an 04' cts with upgrades, 59000 miles and they offered me 8500? LOL they were speechless when I asked "so when you get this car you're only gonna sell it for 10, 000 tops? wow lol
Still leasing in the USA? Here in Canada GM only sells, no lease anymore! Almost same thing with ford and chrysler.. interest rate of leasing with ford and chrylser is now at 12.9% and for sale is between 0% and 3.00%.
The problem is much greater than you can see on the surface. The available market in Credit equities has complete dried up. With the Credit Crisis beginning with Sub Prime home loans, this was the beginning of major financial difficulties which are just beginning. If your Credit Score isn't platinum, it is possible you won't be able to borrow any money within the next 6 months. Cerebus, the managing partner of GMAC, LOST BILLIONS OF DOLLARS LAST QUARTER because of leases of SUV's and other cars that were returned valued at much less than the market for re-sale. They first canceled the Lease programs in Canada, then it trickled here.
The days of leasing a car you can't afford to buy is over! The foreign makes can do it, because they traditionally hold on to more residual value (however as time progresses, it's anyone's guess). This is the major reason, the Auto industry in general is showing so much signs of weakness! With job losses in sectors such as: Real Estate, Construction, and Financial Services, there will be plenty of repos, and lease cancellations that won't be re-taken out. Are you beginning to see the picture? This is why any manufacturer coming out with costly new models, is almost seen as committing financial suicide. The major consumer the Middle Class has been dealt a major blow, borrowing is extremely tight.