Both salesman have many years of Porsche sales experience.

Salesman 1 says the lease money factor rates always go up at the beginning of the model year.

Salesman 2 says the lease money factor rates only follow the interest rates.

Has anyone noticed a trend that would support one of these claims?

Both are right... lease money factors do follow the interest rates. However, just like there are special interest rates for auto purchase loans from car manufacturers' own finance groups, there are special lease money factors from the manufacturers' financing groups. The rates typically gets lower as the model gets less desirable, for example when the next model year is being released, especially if there is a model update coming... this is to offset the residual value which is typically dropping at this point making it very undesirable to lease these vehicles unless the manufacturer steps in and offers a special lease rate.

If you lease from a finance group other than the manufacturer's group, they will not have "special lease rates," and will typically just follow current market interest rates.

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- Suneet

Thank you for the rationale.

It looks like the rates are currently at an incentive level (around .0026) and we could expect them to be increased for the MY09s.

Sorry to say, but Salesmen of any sort, are seldom correct..................

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Cheers Karel

'Power is Nothing without Control..........'

LOL

"Which of these monkeys can fly?"

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2007 Speed Yellow Cayman GT 2.7 (retired)
2008 Guards Red Cayman GT 3.4
"Carpe Cayman"

Thanks as always for the broad generalization

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Casey Parkin
Washington, DC
Tischer Porsche
cparkin@tischer.com
301-679-4384

TPC Racing
Sales/Marketing
cparkin@tpcracing.net
410-799-RACE

Casey-

Enjoy the fact that you will always be underestimated and will consistently exceed people's expectations.

-a fellow sales pro

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2007 Speed Yellow Cayman GT 2.7 (retired)
2008 Guards Red Cayman GT 3.4
"Carpe Cayman"

There are always exceptions that Prove the Rule...........!

As a Sales Manager, sometimes people think that I am a 'Dinosaur' when I insist that every one of my staff knows their subject, inside out.........

Sometimes it becomes clear that Salesmen have not even bothered to read their own companies brochures (let alone know the details and thoroughly understood them)

I look forward to conversing with you for spare parts etc..............

__________________
Cheers Karel

'Power is Nothing without Control..........'

in my experience at no less than 3 southern california porsche dealerships (and several mercedes and other brands' dealerships), this is routinely the case. there's nothing more frustrating than walking into a "stealership" and finding out within moments that i'm talking to someone who spends all day hanging around the showroom but doesn't know the damnedest thing about the luxury-priced product he/she's selling, yet expects to sell it at msrp. idiots.

it's a real turnoff; much easier to deal with the "internet dept" guys, who just want to move units and yet seem to have a better handle on the products and business they're in. go figure.