Residual

Don’t Negotiate Monthly Lease Payments

Published by G

I’ve been noticing a very disturbing trend on automotive forums. Many folks keep asking the “experts” about whether their “quote” is a good deal or not. The truth is, there is no way to find out whether a lease is a good lease if the sale price, money factor and residual value aren’t provided. Folks, let me remind you that a “good deal” is rather subjective. Depending on where you live, a good deal could be $100 more than some or $100 less than others since the sale prices/taxes vary from state to state. Cities with a lot of dealership competition will usually get you the “lower” prices, while cities with little or no competition will usually make you pay more. Basic economics.

Another thing I’ve been noticing is that people seem to only understand leasing in terms of “monthly payments” and “money down”. There IS a reason why leases have a sale price, residual value and a money factor and that is because they are used to calculate your monthly payments. So don’t waste time negotiating a monthly payment when you should be negotiating the sale price. The Math doesn’t lie, as long as you know what the numbers are used to calculate your monthly payment, you will secure the lowest possible monthly payment. Here’s a simple explanation of what makes up your monthly payments.

Your monthly ease payment generally consists of 3 parts:

1) Depreciation Fee
2) Finance Charge
3) Taxes (This one may vary depending on which state you live)

CLICK HERE to see the Lease Formula and a sample calculation of a lease payment.

DEPRECIATION FEE – This fee is the difference between the sale price and the residual value of the vehicle. In order to minimize this fee, you need to hammer out the lowest SALE PRICE possible. Ideally you want to shoot for invoice price (what the dealer pays) or lower because it will lower your monthly payments. The ability to get invoice will depend on the model you plan to get. Chances are, you won’t be getting a Hybrid at invoice.

FINANCE FEE – The finance charge is what the bank charges you for borrowing money to lease the car you want. This is calculated by adding the SALE PRICE and the RESIDUAL price and multiplying it by the MONEY FACTOR. As you can see, everything is based on the SALE PRICE, RESIDUAL VALUE and the MONEY FACTOR. This is why I stress the fact that if you plan to lease a car, you need to know these three numbers.

TAXES – In most states you will be assessed a tax for the depreciation and finance portion of your monthly payments (which I consider to be the better states to lease from). In other states (IL, TX for example) you will be charged taxes on the entire amount of the vehicle, not just depreciation, thus making lease a really bad deal in those states. Since sales taxes are manage by state governments, a “good lease deal” really varies from state to state.

To know what a good deal is, you need three things: SALE PRICE, RESIDUAL, MONEY FACTOR, with SALE PRICE being the only thing you can negotiate since RESIDUAL and MONEY FACTOR are set forth by the lending bank and it depends heavily on the lease term you choose and the credit score you have.

I don’t recommend folks with low credit scores to lease because a good deal can turn UGLY if dealers find out your score is less than ideal. What is a good credit score that will qualify you for the best rates? It is generally a credit score of 700 or more (some lenders may require higher scores). Don’t go into a dealership not knowing your credit score, specially if you don’t like surprises.

Again, I don’t want to sound like a broken record, but make sure you negotiate the sale price of the vehicle first and foremost. You don’t even have to tell the dealer you plan to lease, just ask for the rock bottom price and cross check that number on websites such as Edmunds.com to see how close to invoice price it is. Once the sale price is ironed out, your payment should be surprisingly lower than initially quoted.

June 2008 Lease Rate for 08 Mitsubishi Lancer Evolution GSR

Published by G

2008 Mitsubishi Lancer Evolution GSR Sedan
24 Month – Residual 65% of MSRP – .00250 Base Rate
36 Month – Residual 56% of MSRP – .00260 Base Rate
48 Month – Residual 47% of MSRP – .00260 Base Rate
60 Month – Residual 42% of MSRP – .00330 Base Rate

* Residuals posted are for 15K miles/year. Add 2% to Residual for 12k mi/yr and 3% for 10k mi/yr on all terms
** Rates provided by Tarry Shebesta from Leasecompare.com

My Take: Insuring an Evo can get pretty costly, so think long and hard before tying yourself down with one of these as your “daily” driver. If you haven’t already, check out L’s Mitsu Evo. This thing flies, which is why L drives around in a Mazda 626 and uses his Evo as a part time driver. If I were to get an Evo, I wouldn’t lease one, I’d buy one. The lease rates aren’t that great, plus if you get one, you would probably want to modify it.

June 2008 Lease Rate for 08 Mercedes Benz R-Class

Published by G

2008 Mercedes R320 CDI RWD Wagon
24 Month – Residual 60% of MSRP – .00130 Base Rate
36 Month – Residual 50% of MSRP – .00160 Base Rate
48 Month – Residual 42% of MSRP – .00160 Base Rate
60 Month – Residual 39% of MSRP – .00330 Base Rate

2008 Mercedes R350 RWD Wagon
24 Month – Residual 56% of MSRP – .00060 Base Rate
36 Month – Residual 48% of MSRP – .00090 Base Rate
48 Month – Residual 36% of MSRP – .00090 Base Rate
60 Month – Residual 33% of MSRP – .00330 Base Rate

2008 Mercedes R350 4matic Wagon
24 Month – Residual 58% of MSRP – .00075 Base Rate
36 Month – Residual 49% of MSRP – .00105 Base Rate
48 Month – Residual 37% of MSRP – .00105 Base Rate
60 Month – Residual 34% of MSRP – .00330 Base Rate

* Residuals posted are for 15K miles/year. Add 2% to Residual for 12k mi/yr and 3% for 10k mi/yr on all terms
** Rates provided by Tarry Shebesta from Leasecompare.com

My Take: The residual value for the R-Class is rather sad. It’s a wagon after all, what can I say. One look at the Dodge Magnum sales figures and you will understand why wagons are not popular these days. This is reflected in the residual values of the R-Class. MB seems to be offering very good money factors to offset the cost of having to pay over 50% of a R-Class in 36 months. My only recommending here is not to lease the R-Class. In our times, the crossover SUV’s is where it’s at. SUV cargo space, 5+ adult seating, fuel efficient (compared to larger SUVs) and optional 4×4, even if you don’t need it. It’s like having your cake and eating it too.

June 2008 Lease Rates for 08 BMW 1, 5, 6 and 7 Series

Published by G

I’m posting all of the lease rates for all remaining 2008 BMW models/trims. I’ll probably start doing this since it will get the rates out quicker than posting them one model at a time.

2008 BMW 128i Coupe
24 Month – Residual 75% of MSRP – .00263 Base Rate
36 Month – Residual 61% of MSRP – .00263 Base Rate
48 Month – Residual 49% of MSRP – .00263 Base Rate
60 Month – Residual 40% of MSRP – .00263 Base Rate

2008 BMW 128i Convertible
24 Month – Residual 73% of MSRP – .00263 Base Rate
36 Month – Residual 60% of MSRP – .00263 Base Rate
48 Month – Residual 47% of MSRP – .00263 Base Rate
60 Month – Residual 38% of MSRP – .00263 Base Rate

2008 BMW 135i Coupe
24 Month – Residual 70% of MSRP – .00263 Base Rate
36 Month – Residual 57% of MSRP – .00263 Base Rate
48 Month – Residual 46% of MSRP – .00263 Base Rate
60 Month – Residual 38% of MSRP – .00263 Base Rate

2008 BMW 135i Convertible
24 Month – Residual 72% of MSRP – .00263 Base Rate
36 Month – Residual 59% of MSRP – .00263 Base Rate
48 Month – Residual 46% of MSRP – .00263 Base Rate
60 Month – Residual 37% of MSRP – .00263 Base Rate

2008 BMW 528i Sedan
24 Month – Residual 67% of MSRP – .00220 Base Rate
36 Month – Residual 55% of MSRP – .00220 Base Rate
48 Month – Residual 37% of MSRP – .00263 Base Rate
60 Month – Residual 30% of MSRP – .00263 Base Rate

2008 BMW 528xi Sedan
24 Month – Residual 66% of MSRP – .00220 Base Rate
36 Month – Residual 55% of MSRP – .00220 Base Rate
48 Month – Residual 36% of MSRP – .00263 Base Rate
60 Month – Residual 29% of MSRP – .00263 Base Rate

2008 BMW 535i Sedan
24 Month – Residual 66% of MSRP – .00200 Base Rate
36 Month – Residual 55% of MSRP – .00200 Base Rate
48 Month – Residual 37% of MSRP – .00263 Base Rate
60 Month – Residual 30% of MSRP – .00263 Base Rate

2008 BMW 535xi Sedan
24 Month – Residual 65% of MSRP – .00200 Base Rate
36 Month – Residual 55% of MSRP – .00200 Base Rate
48 Month – Residual 36% of MSRP – .00263 Base Rate
60 Month – Residual 29% of MSRP – .00263 Base Rate

2008 BMW 535xi Wagon
24 Month – Residual 65% of MSRP – .00200 Base Rate
36 Month – Residual 55% of MSRP – .00200 Base Rate
48 Month – Residual 31% of MSRP – .00263 Base Rate
60 Month – Residual 25% of MSRP – .00263 Base Rate

2008 BMW 550i Sedan
24 Month – Residual 65% of MSRP – .00220 Base Rate
36 Month – Residual 55% of MSRP – .00220 Base Rate
48 Month – Residual 31% of MSRP – .00263 Base Rate
60 Month – Residual 24% of MSRP – .00263 Base Rate

2008 BMW M5 Sedan
24 Month – Residual 68% of MSRP – .00263 Base Rate
36 Month – Residual 55% of MSRP – .00263 Base Rate
48 Month – Residual 37% of MSRP – .00263 Base Rate
60 Month – Residual 28% of MSRP – .00263 Base Rate

2008 BMW 650Ci Coupe
24 Month – Residual 66% of MSRP – .00195 Base Rate
36 Month – Residual 56% of MSRP – .00195 Base Rate
48 Month – Residual 37% of MSRP – .00263 Base Rate
60 Month – Residual 31% of MSRP – .00263 Base Rate

2008 BMW 650CiC Convertible
24 Month – Residual 68% of MSRP – .00195 Base Rate
36 Month – Residual 58% of MSRP – .00195 Base Rate
48 Month – Residual 38% of MSRP – .00263 Base Rate
60 Month – Residual 31% of MSRP – .00263 Base Rate

2008 BMW M6 Coupe
24 Month – Residual 69% of MSRP – .00250 Base Rate
36 Month – Residual 58% of MSRP – .00250 Base Rate
48 Month – Residual 43% of MSRP – .00263 Base Rate
60 Month – Residual 35% of MSRP – .00263 Base Rate

2008 BMW M6 Convertible
24 Month – Residual 69% of MSRP – .00250 Base Rate
36 Month – Residual 58% of MSRP – .00250 Base Rate
48 Month – Residual 43% of MSRP – .00263 Base Rate
60 Month – Residual 35% of MSRP – .00263 Base Rate

2008 BMW 750i Sedan
24 Month – Residual 64% of MSRP – .00190 Base Rate
36 Month – Residual 54% of MSRP – .00190 Base Rate
48 Month – Residual 31% of MSRP – .00263 Base Rate
60 Month – Residual 25% of MSRP – .00263 Base Rate

2008 BMW 750Li Sedan
24 Month – Residual 64% of MSRP – .00190 Base Rate
36 Month – Residual 54% of MSRP – .00190 Base Rate
48 Month – Residual 31% of MSRP – .00263 Base Rate
60 Month – Residual 25% of MSRP – .00263 Base Rate

2008 BMW 760Li Sedan
24 Month – Residual 51% of MSRP – .00190 Base Rate
36 Month – Residual 41% of MSRP – .00190 Base Rate
48 Month – Residual 28% of MSRP – .00263 Base Rate
60 Month – Residual 23% of MSRP – .00263 Base Rate

2008 BMW Alpina B7 Sedan
24 Month – Residual 54% of MSRP – .00190 Base Rate
36 Month – Residual 44% of MSRP – .00190 Base Rate
48 Month – Residual 33% of MSRP – .00263 Base Rate
60 Month – Residual 27% of MSRP – .00263 Base Rate

* Residuals posted are for 15K miles/year. Add 2% to Residual for 12k mi/yr and 3% for 10k mi/yr on all terms
** Rates provided by Tarry Shebesta from Leasecompare.com

My Take: At first glance, the 5-series, 6-series and some of the 7-series have decent residual values along with lower money factors. At least they are much better than what Mercedes Benz is currently offering. You might want to hold out on the 1-series still. The residual values are strong, but the money factors are still too high in my opinion. Hopefully they start to drop some after the summer.

June 2008 Lease Rates for 08 Mercedes Benz G-Class and GL-Class

Published by G

2008 Mercedes G500 Wagon

24 Month – Residual 57% of MSRP – .00365 Base Rate
36 Month – Residual 50% of MSRP – .00330 Base Rate
48 Month – Residual 43% of MSRP – .00330 Base Rate
60 Month – Residual 38% of MSRP – .00330 Base Rate

2008 Mercedes G55 AMG Wagon

24 Month – Residual 52% of MSRP – .00365 Base Rate
36 Month – Residual 46% of MSRP – .00330 Base Rate
48 Month – Residual 40% of MSRP – .00330 Base Rate
60 Month – Residual 36% of MSRP – .00330 Base Rate

2008 Mercedes GL320 CDI Wagon

24 Month – Residual 62% of MSRP – .00165 Base Rate
36 Month – Residual 54% of MSRP – .00185 Base Rate
48 Month – Residual 45% of MSRP – .00185 Base Rate
60 Month – Residual 39% of MSRP – .00330 Base Rate

2008 Mercedes GL450 Wagon

24 Month – Residual 63% of MSRP – .00165 Base Rate
36 Month – Residual 56% of MSRP – .00185 Base Rate
48 Month – Residual 44% of MSRP – .00185 Base Rate
60 Month – Residual 38% of MSRP – .00330 Base Rate

2008 Mercedes GL550 Wagon

24 Month – Residual 58% of MSRP – .00365 Base Rate
36 Month – Residual 52% of MSRP – .00330 Base Rate
48 Month – Residual 41% of MSRP – .00330 Base Rate
60 Month – Residual 36% of MSRP – .00330 Base Rate

* Residuals posted are for 15K miles/year. Add 2% to Residual for

12k mi/yr and 3% for 10k mi/yr on all terms
** Rates provided by Tarry Shebesta from Leasecompare.com

My Take: The Gs and GLs are a bunch of pimped up crossovers. There is practically no lease assistance from MB with the exception of a somewhat reduced money factor on the low-end GLs. If you got the money and need a crossover, you might as well get a Mercedes Benz. Just be aware that built-quality isn’t job #1.

June 2008 Lease Rates for 08 Mercedes Benz S, SL and SLK

Published by G

2008 Mercedes S550 Sedan
24 Month – Residual 57% of MSRP – .00250 Base Rate
36 Month – Residual 48% of MSRP – .00250 Base Rate
48 Month – Residual 38% of MSRP – .00250 Base Rate
60 Month – Residual 33% of MSRP – .00330 Base Rate

2008 Mercedes S550 4matic Sedan
24 Month – Residual 58% of MSRP – .00250 Base Rate
36 Month – Residual 49% of MSRP – .00250 Base Rate
48 Month – Residual 39% of MSRP – .00250 Base Rate
60 Month – Residual 34% of MSRP – .00330 Base Rate

2008 Mercedes S600 V12 Sedan
24 Month – Residual 49% of MSRP – .00365 Base Rate
36 Month – Residual 43% of MSRP – .00330 Base Rate
48 Month – Residual 38% of MSRP – .00330 Base Rate
60 Month – Residual 33% of MSRP – .00330 Base Rate

2008 Mercedes S63 AMG Sedan
24 Month – Residual 56% of MSRP – .00365 Base Rate
36 Month – Residual 47% of MSRP – .00330 Base Rate
48 Month – Residual 39% of MSRP – .00330 Base Rate
60 Month – Residual 34% of MSRP – .00330 Base Rate

2008 Mercedes S65 AMG Sedan
24 Month – Residual 48% of MSRP – .00365 Base Rate
36 Month – Residual 39% of MSRP – .00330 Base Rate
48 Month – Residual 33% of MSRP – .00330 Base Rate
60 Month – Residual 27% of MSRP – .00330 Base Rate

2008 Mercedes SL550 Convertible
24 Month – Residual 58% of MSRP – .00365 Base Rate
36 Month – Residual 48% of MSRP – .00330 Base Rate
48 Month – Residual 40% of MSRP – .00330 Base Rate
60 Month – Residual 35% of MSRP – .00330 Base Rate

2008 Mercedes SL600 Convertible
24 Month – Residual 52% of MSRP – .00365 Base Rate
36 Month – Residual 43% of MSRP – .00330 Base Rate
48 Month – Residual 36% of MSRP – .00330 Base Rate
60 Month – Residual 32% of MSRP – .00330 Base Rate

2008 Mercedes SL55 AMG Convertible
24 Month – Residual 56% of MSRP – .00365 Base Rate
36 Month – Residual 46% of MSRP – .00330 Base Rate
48 Month – Residual 39% of MSRP – .00330 Base Rate
60 Month – Residual 34% of MSRP – .00330 Base Rate

2008 Mercedes SL65 AMG Convertible
24 Month – Residual 48% of MSRP – .00365 Base Rate
36 Month – Residual 40% of MSRP – .00330 Base Rate
48 Month – Residual 34% of MSRP – .00330 Base Rate
60 Month – Residual 30% of MSRP – .00330 Base Rate

2008 Mercedes SLK280 Convertible
24 Month – Residual 58% of MSRP – .00365 Base Rate
36 Month – Residual 50% of MSRP – .00330 Base Rate
48 Month – Residual 44% of MSRP – .00330 Base Rate
60 Month – Residual 40% of MSRP – .00330 Base Rate

2008 Mercedes SLK350 Convertible
24 Month – Residual 60% of MSRP – .00365 Base Rate
36 Month – Residual 53% of MSRP – .00330 Base Rate
48 Month – Residual 46% of MSRP – .00330 Base Rate
60 Month – Residual 42% of MSRP – .00330 Base Rate

2008 Mercedes SLK55 AMG Convertible
24 Month – Residual 58% of MSRP – .00365 Base Rate
36 Month – Residual 52% of MSRP – .00330 Base Rate
48 Month – Residual 45% of MSRP – .00330 Base Rate
60 Month – Residual 41% of MSRP – .00330 Base Rate

* Residuals posted are for 15K miles/year. Add 2% to Residual for 12k mi/yr and 3% for 10k mi/yr on all terms
** Rates provided by Tarry Shebesta from Leasecompare.com

My Take: In all honesty, I wouldn’t lease any of these cars. The residual values are low and the interest rates are way too high. At this price range, most people should  be buying these cars. Granted, I’m not sure I would recommend buying any Mercedes Benz due to their declining quality (maybe the C-Class). There is no doubt that there is a certain “status” factor when driving around in a Benz, but is it really worth spending all that cash just to look like you are worth millions?

June 2008 Lease Rates for 08 Mercedes Benz ML-Class

Published by G

2008 Mercedes ML320 CDI 4WD SUV
24 Month – Residual 66% of MSRP – .00185 Base Rate
36 Month – Residual 54% of MSRP – .00215 Base Rate
48 Month – Residual 45% of MSRP – .00215 Base Rate
60 Month – Residual 41% of MSRP – .00330 Base Rate

2008 Mercedes ML350 4WD SUV
24 Month – Residual 60% of MSRP – .00185 Base Rate
36 Month – Residual 52% of MSRP – .00215 Base Rate
48 Month – Residual 40% of MSRP – .00215 Base Rate
60 Month – Residual 37% of MSRP – .00330 Base Rate

2008 Mercedes ML550 4WD SUV
24 Month – Residual 58% of MSRP – .00185 Base Rate
36 Month – Residual 49% of MSRP – .00215 Base Rate
48 Month – Residual 39% of MSRP – .00215 Base Rate
60 Month – Residual 34% of MSRP – .00330 Base Rate

2008 Mercedes ML63 AMG 4WD SUV
24 Month – Residual 52% of MSRP – .00250 Base Rate
36 Month – Residual 43% of MSRP – .00250 Base Rate
48 Month – Residual 37% of MSRP – .00250 Base Rate
60 Month – Residual 34% of MSRP – .00330 Base Rate

* Residuals posted are for 15K miles/year. Add 2% to Residual for 12k mi/yr and 3% for 10k mi/yr on all terms
** Rates provided by Tarry Shebesta from Leasecompare.com

My Take: My Aunt has one of these monsters. I believe it is the ML550. Why a mother of 2 college graduates living in California needs a SUV with AWD defies my logic. The rates are quite average, nothing that would make me scream “great deal”. Crappy residual values and so-so money factors usually won’t motivate many to get one of these. Add on the fact that Premium gas is getting awfully close to $5 per gallon, the MLs probably won’t be moving off the lots too quickly.

June 2008 Lease Rates for 08 Mercedes Benz CL, CLK, CLS

Published by G

2008 Mercedes CL550 Coupe
24 Month – Residual 59% of MSRP – .00365 Base Rate
36 Month – Residual 50% of MSRP – .00330 Base Rate
48 Month – Residual 43% of MSRP – .00330 Base Rate
60 Month – Residual 37% of MSRP – .00330 Base Rate

2008 Mercedes CL600 Coupe
24 Month – Residual 50% of MSRP – .00365 Base Rate
36 Month – Residual 43% of MSRP – .00330 Base Rate
48 Month – Residual 37% of MSRP – .00330 Base Rate
60 Month – Residual 32% of MSRP – .00330 Base Rate

2008 Mercedes CL63 AMG Coupe
24 Month – Residual 54% of MSRP – .00365 Base Rate
36 Month – Residual 47% of MSRP – .00330 Base Rate
48 Month – Residual 40% of MSRP – .00330 Base Rate
60 Month – Residual 35% of MSRP – .00330 Base Rate

2008 Mercedes CL65 V12 AMG Coupe
24 Month – Residual 49% of MSRP – .00365 Base Rate
36 Month – Residual 43% of MSRP – .00330 Base Rate
48 Month – Residual 37% of MSRP – .00330 Base Rate
60 Month – Residual 32% of MSRP – .00330 Base Rate

2008 Mercedes CLK350 Coupe
24 Month – Residual 56% of MSRP – .00025 Base Rate
36 Month – Residual 47% of MSRP – .00070 Base Rate
48 Month – Residual 40% of MSRP – .00070 Base Rate
60 Month – Residual 35% of MSRP – .00330 Base Rate

2008 Mercedes CLK350 Convertible
24 Month – Residual 62% of MSRP – .00115 Base Rate
36 Month – Residual 53% of MSRP – .00160 Base Rate
48 Month – Residual 44% of MSRP – .00160 Base Rate
60 Month – Residual 38% of MSRP – .00330 Base Rate

2008 Mercedes CLK550 Coupe
24 Month – Residual 53% of MSRP – .00025 Base Rate
36 Month – Residual 45% of MSRP – .00070 Base Rate
48 Month – Residual 38% of MSRP – .00070 Base Rate
60 Month – Residual 34% of MSRP – .00330 Base Rate

2008 Mercedes CLK550 Convertible
24 Month – Residual 62% of MSRP – .00115 Base Rate
36 Month – Residual 51% of MSRP – .00160 Base Rate
48 Month – Residual 45% of MSRP – .00160 Base Rate
60 Month – Residual 39% of MSRP – .00330 Base Rate

2008 Mercedes CLK63 AMG Convertible
24 Month – Residual 50% of MSRP – .00365 Base Rate
36 Month – Residual 43% of MSRP – .00330 Base Rate
48 Month – Residual 39% of MSRP – .00330 Base Rate
60 Month – Residual 34% of MSRP – .00330 Base Rate

2008 Mercedes CLS550 Sedan
24 Month – Residual 63% of MSRP – .00365 Base Rate
36 Month – Residual 53% of MSRP – .00330 Base Rate
48 Month – Residual 46% of MSRP – .00330 Base Rate
60 Month – Residual 42% of MSRP – .00330 Base Rate

2008 Mercedes CLS63 AMG Sedan
24 Month – Residual 58% of MSRP – .00365 Base Rate
36 Month – Residual 49% of MSRP – .00330 Base Rate
48 Month – Residual 43% of MSRP – .00330 Base Rate
60 Month – Residual 39% of MSRP – .00330 Base Rate

* Residuals posted are for 15K miles/year. Add 2% to Residual for 12k mi/yr and 3% for 10k mi/yr on all terms
** Rates provided by Tarry Shebesta from Leasecompare.com

My Take: I’m super lazy, I know, but there’s a lot of rates floating around so I had to post all CL, CLK, CLS Benzo’s together. Granted, I do know the CLS is completely different, still. I’m trying to save myself the hassle of posting multiple times. In any case, the CLKs seem to be having very good rates (by MB standards). Again, the residuals are best on the 24mo lease of the CLK, which isn’t really all that great if you look closely. Ideally, you want a sub .00100 money factor and a high-50% to low-60% residual value so that your payments can stay low. These are Mercedes Benz though, so by low payments, I mean 600+ a month. That’s rent for some folks in the United States.