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New to the forum, and possibly a new Volvo owner. We found a car we are very interested in, a momentum plus with all the packages. Only downside it is that it doesn't have the 20" wheel upgrade, or HUD.

Question -- with the xc90 essentially being a new model, are folks leasing or buying the cars? We have some tax advantages to leasing which we are heavily considering. Is there a website, or does anyone have general details on Volvo's leasing contracts? Acquisition fees, money factor, and residuals for a 3 year/12k lease? I'm not finding a whole lot online.

Coming from a BMW, they are heavily favored towards leasing, and the details of the programs are always easy to find...

Just looking for some feedback on this and any info?

Thanks!
 

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I'm really interested in this as well. Historically, I've always bought, so my bias is towards buying. But, for a brand new model like the '16 XC90 with no reliability history to fall back on, I'm interested in the lease option so that just in case I get stuck w/ a lemon, I can walk away at the end of the term.

That said, leasing seems pretty expensive -- when I went in to see a dealer, when optioned the way i wanted it was a $72K MSRP car before taxes, and the residual was set to $30K after 4 years (all numbers in CAD). I'm a neophyte when it comes to leasing (e.g., i've never even heard of a money factor before!) so not sure if this is fairly typical or not, but it seems like no matter how I turn the numbers, it'd cost me more than $1000/mth (CAD) before taxes for this car.
 

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Leasing comes down to 5 factors: the price you agree to at or below the MSRP, the amount you put down (skin in the game), the residual value ( the unknown), the money factor ( the interest rate), and intangibles ( also unknown). The first is pretty obvious, MSRP Minus about $1000 is not bad. $4-5000 down will help the monthly rate better than $2-3000. Residual of $30000 to 35000 for a $60000 automobile is what I have expected from the previous Lexus cars I have had. The money factor I accepted in September was competitive with Lexus and Acura. The last is the tough nut. Do you plan to keep this car past 39 months? Do you plan to put more than 45000 miles on it? Do you plan to pay $1600 to replace a headlight after 50000 miles, or ?$3000 to replace the center screen. Do you park this car in a garage or is it left to the elements 12 months a year? No easy answers. My car sits outside 7 months a year in south Florida. Care to guess if I bought or leased?
 

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Do you plan to pay $1600 to replace a headlight after 50000 miles, or ?$3000 to replace the center screen.
I truly hope the Volvo is more reliable than that after just 50000 miles. I have 196000 km on a 2007 Hyundai with zero issues. I realize higher class car doesn't mean more reliable but for Volvo's sake I hope the end of life of XC90's different components are competitive with the best of them. Being a Volvo brand revival model.
 

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Do you plan to pay $1600 to replace a headlight after 50000 miles?
I truly hope the Volvo is more reliable than that after just 50000 miles. I have 196000 km on a 2007 Hyundai with zero issues. I realize higher class car doesn't mean more reliable but for Volvo's sake I hope the end of life of XC90's different components are competitive with the best of them. Being a Volvo brand revival model.
My 2008 XC90 has been very reliable. Perhaps I was just lucky, but I haven't had to shell out big money for anything post factory warranty. I plan on keeping the new one just as long, so I hope it holds up as well.

I'm taking delivery of mine on Friday, and I'm trying to figure out how I want to pay for it. I've never leased a vehicle before, and given the fact that we generally like to keep them for 6-8 years, this wouldn't make sense anyway. Does anyone know what kind of financing Volvo is offering on the new XC90s? I'm assuming 0% is out of the question for such a hot car.
 

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My 2008 XC90 has been very reliable. Perhaps I was just lucky, but I haven't had to shell out big money for anything post factory warranty. I plan on keeping the new one just as long, so I hope it holds up as well.

I'm taking delivery of mine on Friday, and I'm trying to figure out how I want to pay for it. I've never leased a vehicle before, and given the fact that we generally like to keep them for 6-8 years, this wouldn't make sense anyway. Does anyone know what kind of financing Volvo is offering on the new XC90s? I'm assuming 0% is out of the question for such a hot car.
Depending on the term, it's anywhere from 2.9% to 3.8% here in NYC
 

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If you belong to a credit union, you should try them first. They typically have very low rates. If not, see if you can open up a small account at a reputable credit union. We have a small savings account at one here and the car loan rates start at 1.69% depending on the term and of course your credit rating. We want to minimize our monthly payment so we will choose a longer term that has a rate of 1.99%. We typically keep our cars for the long term so we always buy. I always felt leasing was never a good deal - there is just too much involved and me personally never saw the value in it.
 

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I'm really interested in this as well. Historically, I've always bought, so my bias is towards buying. But, for a brand new model like the '16 XC90 with no reliability history to fall back on, I'm interested in the lease option so that just in case I get stuck w/ a lemon, I can walk away at the end of the term.
If the 2nd gen is anything like the 1st gen (T6 time bomb transmission, V8 '05 engine, etc), you're right to consider the lease. That said, I feel like it's almost always better to buy than lease, simply because you have a vehicle at the end of the agreement. It depends on whether you think it's going to be a reliable vehicle or not. And of course, whether you're going to be willing to do the luxury maintenance once the warranty runs out.
 

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Do you plan to keep this car past 39 months? Do you plan to put more than 45000 miles on it? Do you plan to pay $1600 to replace a headlight after 50000 miles, or ?$3000 to replace the center screen. Do you park this car in a garage or is it left to the elements 12 months a year? No easy answers. My car sits outside 7 months a year in south Florida. Care to guess if I bought or leased?
This isn't a criticism exclusive to Volvo, but I do find it sad that a vehicle can be this disposable in 2015. If buyers are scared to put more than 50k miles on a vehicle for fear of having to spend 2 grand on headlights or 3 grand on glorified iPads, this is about as good of an argument against buying a luxury vehicle as one can get these days. More broadly, a vehicle isn't worth the tires it's riding on if its owners want to dump it before 100k due to repair costs.
 

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If the 2nd gen is anything like the 1st gen (T6 time bomb transmission, V8 '05 engine, etc), you're right to consider the lease. That said, I feel like it's almost always better to buy than lease, simply because you have a vehicle at the end of the agreement. It depends on whether you think it's going to be a reliable vehicle or not. And of course, whether you're going to be willing to do the luxury maintenance once the warranty runs out.
Your inflammatory troll-like comment on the 1st gen XC90 T6 GM transmission, does not apply here. The new XC90 has an Aisin 8-speed, and Aisin is, of course, owned by your beloved Toyota. And if Alex-on-Autos youtube videos are, in any way accurate (which they are), Volvo is doing a better job tuning the Aisin 8-speed to their cars, than Toyota/Lexus is.

My 2008 XC90 has been very reliable. Perhaps I was just lucky, but I haven't had to shell out big money for anything post factory warranty. I plan on keeping the new one just as long, so I hope it holds up as well.

I'm taking delivery of mine on Friday, and I'm trying to figure out how I want to pay for it. I've never leased a vehicle before, and given the fact that we generally like to keep them for 6-8 years, this wouldn't make sense anyway. Does anyone know what kind of financing Volvo is offering on the new XC90s? I'm assuming 0% is out of the question for such a hot car.
My 2006 2.5T AWD XC90 is at 3.5 years without a repair. Last I checked, my average monthly repair bill worked out to $17/month on my old XC90. The exterior and interior are in excellent condition, and I can't justify buying an all new XC90 for a few years, especially since I just bought my wife a 2015.5 Platinum XC60.
 
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