Are new lease agreements accounting for higher market residual value?

Residual is % of msrp (configured with any options included). It’s set by manufacturer.

prod wrote: ↑ This is a question for those that entered into a lease agreement within the last month or two (June/July 2021).
Was the lease agreement calculated with a residual value based on a percentage of MSRP as always, or was the residual value reflecting the current inflated market value?
Im considering a new car and this could make leasing more appealing than buying.

Today’s market conditions are NOT likely to still be present 3 or 4 yrs from now. Any re-setting of residuals higher would be taking quite a financial gamble by the manufacturer’s finance arms.

Todays used car values are artificially high due to production & sales downturns due to COVID combined with a major shortage of chips that modern vehicles require. Once we normalize after COVID dies down and once the chip shortage is over then used car prices will fall back down to historic norms.

Doesn’t hurt to ask at the dealer for the makes/models you’re interested in just in case, I’m just saying don’t get your hopes up.

I'm curious to see with many EV models coming in the next few years and consumers pivot towards EV if that would impact ICE vehicle residuals.

The current new car supply issue will become used car market issue 4 years from now when there isn't many leased vehicles to be returned and auctioned off.

Someone actually asked a good question on this forum finally. I feel like my whole stud finder thing set the bar pretty low for everyone.