How Much Does it Cost to Lease a $70k Car?

Leasing a car has become an increasingly popular option for drivers who want to get behind the wheel of a nicer, more luxurious vehicle without having to pay the full sticker price upfront. While leasing contracts can vary, typically you only pay for the vehicle’s depreciation during the lease term, along with some fees and interest charges. This can make even high-end cars more affordable on a month-to-month basis.

But how much would it actually cost to lease a $70,000 luxury car? In this article, we’ll break down the typical costs and factors that go into determining your monthly lease payment for a vehicle in this price range.

Average Monthly Lease Payment

Most experts estimate you can expect to pay around 1% of the vehicle’s MSRP per month when leasing. So for a car with an MSRP of $70,000, that would equate to around $700 per month. However, many other factors beyond just the sticker price go into determining your exact monthly payment.

Key Factors That Impact Lease Costs

Vehicle Residual Value

This is an estimate of what the vehicle will be worth at the end of the lease, which is a major factor in calculating your monthly payment. Luxury cars tend to hold their value better than other segments. Expect a residual value around 60-70% for a higher-end $70k vehicle over a 3-year lease.

Length of Lease Term

Typical lease terms are 24, 36 or 48 months. Longer lease terms mean lower monthly payments, but you pay more in interest charges over the life of the lease. A 36-month term is common for luxury vehicles.

Annual Mileage

Your allowed mileage is set at the beginning of the lease. Going over usually incurs hefty overage fees. 12,000-15,000 miles per year is typical, but lower mileage leases can reduce your monthly payment.

Money Factor (Interest Rate)

This is similar to APR for purchasing a vehicle. Credit score, market conditions and promotion incentives determine the money factor. The higher it is, the more you’ll pay in interest fees. Money factors for luxury leases range from 0.001 to 0.002 typically.

Down Payment

You can lower your monthly payment by making a larger down payment upfront. Many leases require at least a first month’s payment as a down payment. You may want to put 10-15% down on a $70k vehicle lease.

Taxes and Fees

You pay sales tax on your monthly lease payments. There can also be acquisition fees, documentation fees, registration costs and more that add to the total.

Estimated Full Monthly Lease Payment

Given the above factors, here is an estimated monthly lease breakdown for a $70,000 luxury vehicle with the following terms:

  • Vehicle Price: $70,000
  • Lease Term: 36 months
  • Residual Value: $42,000 (60% of original MSRP)
  • Annual Mileage: 12,000
  • Money Factor: 0.00125
  • Down Payment: $7,000
  • Taxes & Fees: $350/month
Monthly Depreciation Charge$611.11
Monthly Interest Charge$72.92
Monthly Taxes & Fees $350.00
Total Estimated Monthly Payment$1,034.03

As you can see, for a typical lease on a $70k luxury vehicle, you can expect a monthly payment around $1,000 – $1,100 with decent credit and average lease terms. Your actual payment may end up lower or higher depending on your specific circumstances.

Ways to Reduce Your Monthly Lease Payment

If you want to lower your monthly payment when leasing a $70k car, here are some options:

  • Opt for a longer lease term like 48-months
  • Put more money down upfront as a down payment
  • Look for current lease deals and incentives from the manufacturer
  • Choose a vehicle with a higher residual value
  • Ask the dealer for lease payment assistance
  • Improve your credit score to get a lower interest rate
  • Limit your annual mileage to avoid overage fees

Is Leasing a $70k Car Worth It?

Whether leasing a luxury vehicle makes financial sense depends on your situation. The benefit of leasing is driving the car while avoiding huge depreciation costs. But leases have restrictions, and you won’t own anything after it ends. Carefully compare leasing to purchasing or buying a used car before committing. But if you can comfortably afford the monthly payments, leasing can be a great way to enjoy a premium vehicle.

The Bottom Line

A $1,000 per month budget would be reasonable when looking to lease a luxury car around $70,000. Shop around and negotiate the best possible deal. And be sure you carefully read all lease terms before signing to avoid any surprises down the road. Leasing an expensive car has both pros and cons to weigh. But with the right lease contract, it can allow you to drive the high-end vehicle you want at monthly payments that fit your budget.

Frequently Asked Questions (FAQ)

What credit score do I need to lease a $70k car?

You generally need a credit score of at least 720 to qualify for the best lease terms on a luxury vehicle. A score between 660-719 may be approved but with higher rates.

What is the cheapest way to lease a $70k car?

Opting for a longer lease term like 48-months, making a larger down payment, choosing a vehicle with high resale value, and shopping end of model year clearance deals can help lower your monthly lease costs.

What are the lease requirements for a $70k car?

Most luxury car lease requirements include good credit (660+ score), sufficient income to afford payments, a down payment of at least the first month’s payment, and insurance that meets state minimum liability requirements.

Can I negotiate the price on a leased car?

Yes, you can negotiate the vehicle price, money factor, lease terms, fees, and any manufacturer incentives or rebates just like with purchasing. Do your research on fair market pricing first.

How much do luxury car leases cost per month?

The average monthly lease payment for a $70k luxury car is around $1,000 but can range from $700 on the low end up to $1,300 or more, depending on various lease factors.

What fees should I expect when leasing a luxury vehicle?

Typical fees include the acquisition fee, documentation fee, title fees, registration costs, taxes, bank fees, and any options like GAP insurance you add on. Most will total $500-$1000.

Should I lease or buy a luxury car?

Leasing pros are lower payments, always driving new, and avoiding depreciation. Buying pros are ownership, no mileage limits, and eventually being payment-free. Choose based on your budget, lifestyle, and plans for the vehicle.

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