According to a report from CarsDirect last Wednesday, both luxury brands are prepping 5,000-mile lease offers. Frankly, that’s pretty wild. Fewer miles boosts the residual value in the lease calculations, which spits out a lower monthly payment for car shoppers. And in today’s world, shoppers often look at monthly payments more than the final, total cost.
Using the Lincoln Navigator as an example, the website shows the lower-mileage lease cuts the SUV’s monthly payment on a 36-month lease from $918 a month to $808 a month to save over $100 in the process. Of course, driving 5,000 miles a year can be pretty tough in normal circumstances.
It’s not clear what Lexus and Lincoln’s reasonings are behind offering this sort of lease, but it may have something to do with more people working from home and driving shorter distances amid theera. Lexus told Roadshow it’s seen an increased demand for this kind of lease program “in certain markets like NYC by customers were looking for alternatives to public transportation.” Lincoln did not return a request for comment.
On one hand, the savings are certainly valid. On the other, if you’re prepared to drop over $800 on a leased vehicle, another $100 doesn’t seem like too much more to ask with more miles allotted. And don’t forget pesky overage charges if you happen to drive more than 5,000 miles a year. Lincoln will ask for $0.25 for every extra mile driven, which could leave you with quite the sum to pay up after 36 months.