Si lease?

Hi, new to the forum. I’m interested in leasing a Si. I currently have a 2015 Hyundai Sonata with 50k on it ,fully paid off. Would it be wise to use it as a trade on a lease? Honda has a promo on the si for $209 with 2,999 due at signing. If I use my trade of around 10k it would leave my payments around $10 a month. I might get the car lower than what the website says at $25,220. I haven’t spoke to the dealer yet. I can also purchase the car after the 36 month lease. I never leased before, only financed. I appreciate any info.

Pitt said:

Hi, new to the forum. I’m interested in leasing a Si. I currently have a 2015 Hyundai Sonata with 50k on it ,fully paid off. Would it be wise to use it as a trade on a lease? Honda has a promo on the si for $209 with 2,999 due at signing. If I use my trade of around 10k it would leave my payments around $10 a month. I might get the car lower than what the website says at $25,220. I haven’t spoke to the dealer yet. I can also purchase the car after the 36 month lease. I never leased before, only financed. I appreciate any info.

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Hi Pitt, welcome.
I lease my cars. I just recently leased my Si, upgrading from my EX-T. You are correct, you can use your trade in money to lower your payments. While there are pros and cons to both leasing and buying, I personally love that the car will be under warranty the entire time I have it.

In addition, Honda gives some great perks to their lease customers. Everyone gets free gap insurance (which saves you money on your insurance, be sure to let your company know), plus a number of incentives when your lease ends.

The catch on the Honda promotion price is that it doesn’t include state taxes and fees. In Ohio that adds about $40 to the monthly payment, unless you pay them out of your trade.

One odd thing about a lease: you absolutely can negotiate a lower price for the car, but that factor alone may not effect your payment as much as you expect. Honda’s promotion is based on a certain residual value and a certain purchase price. A lower price might mean they also lower the residual, so your payment doesn’t move.
In all, it’s still a really good deal. I’m getting my Si for slightly less than what I paid for my EX-T.

As a strategy, I usually start with the advertised deal, then try to wheedle the payment and/or down payment to a lower figure. You may find your dealer throws you a sweetner to make the sale. For example, I had one try to talk me into a white one by offering to make the second month’s payment ( the first is included in the down payment). The one I bought from gave me free all season floor mats.

I find that some dealers are not at all interested in honoring the Honda promotion price. One dealer I went to opened with $100 more a month. If they don’t, walk away. I found the car I wanted in a neighboring city and worked out the deal via email and phone beforehand. It was easier because I didn’t have to also negotiate the trade in, but you can still sort out most of the details before even stepping foot into the shop.

Good hunting! You will love the Si.

Hey whats up Pitt! Welcome! Leasing is a perfect option to do even if you're looking to keep the car. I myself just leased a 19' Civic Si Coupe best decision I made upgrading from a 07' Civic Si. In leasing you have a better chance of getting a invoice price rather than MSRP. For example MSRP for the Si is around $25,300. I managed to get it down to $22k with free oil changes for 3 years. Dont just settle for one Si that your local dealer might have, explore & see what salesman gives you a better deal. I'm sure with your Sonota that's paid off you'll land a great deal! IMO you're gunna land a great monthly payment but try throwing as much money monthly so at the end of the of that lease you're 98% done paying the car off & bam Civic Si is all yours. Good luck & enjoy your new Si!!!

Browncoat3000 said:

Hi Pitt, welcome.
I lease my cars. I just recently leased my Si, upgrading from my EX-T. You are correct, you can use your trade in money to lower your payments. While there are pros and cons to both leasing and buying, I personally love that the car will be under warranty the entire time I have it.

In addition, Honda gives some great perks to their lease customers. Everyone gets free gap insurance (which saves you money on your insurance, be sure to let your company know), plus a number of incentives when your lease ends.

The catch on the Honda promotion price is that it doesn’t include state taxes and fees. In Ohio that adds about $40 to the monthly payment, unless you pay them out of your trade.

One odd thing about a lease: you absolutely can negotiate a lower price for the car, but that factor alone may not effect your payment as much as you expect. Honda’s promotion is based on a certain residual value and a certain purchase price. A lower price might mean they also lower the residual, so your payment doesn’t move.
In all, it’s still a really good deal. I’m getting my Si for slightly less than what I paid for my EX-T.

As a strategy, I usually start with the advertised deal, then try to wheedle the payment and/or down payment to a lower figure. You may find your dealer throws you a sweetner to make the sale. For example, I had one try to talk me into a white one by offering to make the second month’s payment ( the first is included in the down payment). The one I bought from gave me free all season floor mats.

I find that some dealers are not at all interested in honoring the Honda promotion price. One dealer I went to opened with $100 more a month. If they don’t, walk away. I found the car I wanted in a neighboring city and worked out the deal via email and phone beforehand. It was easier because I didn’t have to also negotiate the trade in, but you can still sort out most of the details before even stepping foot into the shop.

Good hunting! You will love the Si.

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Great info except for one mistatement - residual prices do not change no matter the negotiated price. They are set by the financial arm of Honda and indepedent of any sales price. Typically the national promo will be on a particular model with a combo of the lowest MSRP coupled with the highest residual - an LX automatic Civic or Accord for example.

The national promo is typically what's referred to as a loss leader - get people in the door then switch them to something else. Many dealers typically don't stock the promo car and if they do they add accessores and inflate the price to try to make money.

cammyfive said:

Great info except for one mistatement - residual prices do not change no matter the negotiated price. They are set by the financial arm of Honda and indepedent of any sales price. Typically the national promo will be on a particular model with a combo of the lowest MSRP coupled with the highest residual - an LX automatic Civic or Accord for example.

The national promo is typically what's referred to as a loss leader - get people in the door then switch them to something else. Many dealers typically don't stock the promo car and if they do they add accessores and inflate the price to try to make money.

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Nice to know! Thanks. I found a dealer with what appears to be a decent lease price on a 19 Sport Hatch: $200 a month, 1300 down. I can afford that, and it seems pretty good to me, but should I waffle and threaten to leave unless they knock down either of those 2 numbers? Also, can you tell them "NO accessories!" ??

Thanks for any advice.

The replies are great tips on leasing but also make sure you are getting value with your trade-in. Make sure to get a quote from Carmax before you go to the dealership. You can get even more if you go private.

Sell you car privately, pocket the money, dont put anything down on the lease, and use the preceeds from your sale to make the lease payment.

Im not 100% sure on this; but i think that if you trade your car in for 10K, and use that money to basically pay off the lease... yes your payment may be 10$ a month, but if you total the car the lender will get the insurance money and you'll be out a car + all that money you gave them. You wouldnt get the 10k back...

Leasing = Higher Insurance Premiums
(And if you’re young and don’t have excellent credit you will pay more with BOTH Lease rate & Insurance)

Trade-In allowance is offered to assign toward the purchase or lease. However, if you intend to get “cash back” after meeting the down payment - then it is no longer a trade-in, it becomes a cash buy (which is much less).

If your current vehicle has a true trade-in of $10k, I would negotiate the price of the car first and purchase vs lease.

In essence, you are trading payment for higher insurance while losing your trade-in for a lease.
Get your insurance quote for a lease and finance first and make a determination.

Hollywoo0220 said:

Leasing = Higher Insurance Premiums

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Not necessarily. When coverage levels are the same, leasing does not cause your insurance premiums to be any higher. Leasing does require you to have certain minimum coverage levels however, and it is often higher than many states minimum mandatory levels. That is where extra cost is incurred.

Gap insurance can make the overall insurance cost higher as well, but this is not an issue with Honda/Acura leases, as AHFC includes this in all of their leases.