Lease Residual
 

Does anyone know what the lease residual is for the S63 sedan or the coupe? I thought the lease residual was a fixed % set by MB. I have been quoted 47% for sedan or 41% for the coupe.

it depends on the mileage allowance and term of lease, I was quoted a residual of 46% yesterday on an '18 S560 36 months/ 12K per year lease, lower mileage allowances have higher residuals

10,000 miles with a 42 month lease.

based on this, what would you say is the sweet spot for a 560 lease? 24 months?

It makes no sense for me to lease with these numbers. I am almost paying for the car with interest included. I think either the dealer is pulling one over me or pushing me to purchase or both.

Lease is for 42 months and paying over $180k with 41% residual. S63 coupe It's horrible. At the end of the lease there is nothing to show for. At least in a purchase the car is almost paid for and there is equity built up in the car.

Maybe you should consider MSD's?

This is why I bought. The lease rates made no sense to me and I happened to have the cash. It wasn't my plan to buy a new car, I just "went for it". No regrets. I LOVE THIS CAR NOW. https://cimg4.ibsrv.net/gimg/www.mbw...11b9917389.jpg

It's all about depreciation. They are not in the business to make sure you have a favorable lease payment. The bean counters know that these cars drop like a hot rock after a year or two, they are hedging against this.

Of course there is depreciation and they are not in a business to make our payment smaller. For me given the options purchasing would make more sense from a financial standpoint. These cars are worth roughly 50% on trade-in after 3 years. Leasing at these rates would be throwing money away with nothing to show for it. At least with purchasing you have 50% of MSRP as equity.

MB wants to push the S450's, hence they are dirt cheap to lease. With these numbers it makes zero sense to buy the car. Unfortunately the AMG is on the other end of the spectrum, partially because MB knows that the typical AMG demographic is willing to shell out more money to play.

I agree with you 100%. Dealers are not willing to discount the AMGs and they make you feel they are doing you a favor by selling the car.

MB and BMW are the kings of cheap leases so I think you are mistaken here.

If you check out Porsche, Range Rover, Jaguar, Audi you'll find less desirable rates. BMW and MB have their own financing companies and do not need to rely on banks which is a significant benefit. Again, AMG excluded, but AMG is still lower than Porsche

Residual has dropped by 4% since the MY18 launch :( so your 46% at 12k is correct. My sweet spot is always at 30 month/7500miles. This gives you the best residual and with a lease pull ahead you can switch at 24 months anyways...
There is a 4% higher residual and another 2% for miles so you would be at 52%. If you go over on the miles, you can always negotiate that on the next lease (forgiveness, not roll-in into next lease). Depends on the number of miles though.
MF is .00109 minus your negotiating skills ;)

i found edmunds to be THE bible on lease rates - MF, incentives, residuals - they'll answer your questions with permutations - more or less miles, etc. - it's in the edmunds forums.
with BMW, they opine about 7% off sticker is "about right" - or thereabouts.
for Benz, they didn't have clarity.
either way, the theme is that different dealerships (at times) may try to hose you on the MF. i haven't heard of games with the residual - i thought it was set by the company.
good luck!

Edmunds is a very good starting point. The MF listed is the published, retail rate though...