Why are luxury cars so cheap when leased?

A lease is not a purchase, it’s instead a loan based on the depreciation expectation and loss of retail value. For example, a ,000 car might lose ,000 of its value over 3 years. Add in the costs for the dealership to resell the car (say another 10% or ,000) and that’s the expected cost of the lease. So the financing for the lease is based on ,000 plus interest. Half the MSRP of said car.

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