Is a New 2020 Toyota RAV4 Cheaper to Buy or Lease? You have a choice between making a lease payment of $179 per month for 36 months or a financing payment of $417 per month for 84 months if you want to put down up to 10% of the MSRP as a down payment for a 2020 Toyota RAV4.
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What should I expect to pay for a 2020 RAV4?
What Does the 2020 Toyota RAV4 Cost? The average list price for the 2020 Toyota RAV4 is $31,388 according to listings. Prices range from $30,152 to $40,102 and depend on the location, features, mileage, and condition of the car.
What is the monthly cost of a Toyota RAV4?
For the 2022 Toyota RAV4, the typical lease option costs $393 per month for a length of 36 months, 12,000 kilometers per year, and $2,000 payable at signing. Depending on the length of the lease and the annual mileage, monthly payments can be anywhere between $385 and $512 per month.
With a $2,000 down payment and a 36-month lease with 10,000 miles per year, the Toyota RAV4 has a lowest monthly cost of $385.
The new Toyota RAV4’s MSRP is $28,310. However, $29614 is the typical market selling price.
The Toyota RAV4 is an SUV from 2022. The Honda CR-V, Ford Escape, Mazda CX-5, Chevrolet Equinox, and Nissan Rogue are further comparable automobiles. According to average leasing data for comparable vehicles, the Chevrolet Equinox has the lowest monthly lease payment at $314 and the Ford Escape has the highest monthly lease payment at $481.
Does leasing a Toyota make sense?
There is typically a much smaller “Toyota leases need a down payment. Your security deposit is the term used to describe the down payment. There may be other costs that you must pay, such as taxes, processing fees, freight and destination charges, and expenses for registering and licensing vehicles.
You just pay a fraction of the total monthly taxes owed on the vehicle when it comes to taxes. This is advantageous since you only pay taxes on the portion of your monthly payment that represents the vehicle’s actual cost.
Having access to a brand-new Toyota every two to three years is another perk of leasing. You simply return the car to the lessor at the conclusion of your lease to begin a new one. Since the already leased car is not yours, you must make sure that you have saved up the security deposit and other costs needed to begin the new lease contract in advance.
You’ll also learn that you have the means to do so “more vehicle while leasing. As your monthly payments are lower than financing, you might upgrade to a better trim package or a more expensive model.
What Are Some Important Leasing Terms to Know?
The following are some words you should become familiar with:
- MSRP, or manufacturer’s suggested retail price, This is the vehicle’s sticker price, which excludes any additional fees like destination fees, dealer prep, etc.
- This is essentially the interest rate for leasing the automobile, the lease factor or money factor. The interest rate decreases as the lease factor number decreases.
- Total Car Price/Total Capitalized Price: This is the complete cost of the vehicle, assuming financing. Your lease payments per month are determined by this pricing.
- After depreciation, the Toyota’s residual value is what the leasing company anticipates it to be worth at the end of the lease. Just make sure your lease is closed-end, meaning the lessor won’t charge you a fee if the sum they anticipated is higher at the lease’s conclusion than the car’s actual value.
When Is Leasing Not a Good Idea?
It may be preferable to finance the Toyota car if you log a lot of kilometers each year. There are mileage restrictions in lease agreements, and going above them will cost you extra money.
If you want to purchase the vehicle at the end of the lease, there is another situation in which leasing is not a good choice. Conversion costs, buyout fees, and other expenses may be included in lease agreements and raise the overall cost of the car.
If you struggle to keep up with routine maintenance, you might also think about financing a car. Making sure the Toyota you are leasing is maintained properly is a requirement of your lease agreement.
Consequently, you are in charge of performing oil changes, brake pad replacements, tire rotations, and other “routine maintenance due to wear and tear. If you lease a Toyota and don’t keep up with the maintenance, you’ll probably be charged extra to refurbish the vehicle and bring all maintenance up to date.
Finally, renting a car is a horrible idea if you can’t maintain it clean. The appearance of stains on carpeting and upholstery “You might consider regular wear and tear, but the leasing company might disagree. At the end of the lease, they could add cleaning costs to their list of charges.
Additionally, you are liable for repairing any dings, dents, significant scratches, or other external damage to the car. If not, the leasing firm will bill you at the conclusion of the lease for these repairs as well.
What is the value of a 2020 RAV4 XLE?
There are seven trim levels for the RAV4. Three of the RAV4 trims are also offered as hybrid models, while the XSE is the lone hybrid model.
The LE trim level is the least expensive and has a good feature set. It has manual air conditioning, cloth seat trim, metal-look interior trim, 17 steel wheels with covers, WiFi mobile hotspot, Entune audio system with 7 touchscreen, Bluetooth, one USB port, six speakers, Apple CarPlay capability, six-way manual driver’s seat, four-way manual front passenger seat, remote keyless entry, trip computer, two 12V power outlets, intermittent front and rear wipers, and more. Toyota Safety SenseTM (TSS 2.0), a comprehensive suite of driving aids that includes full-speed adaptive cruise control, lane departure warning, lane keep assist, automatic high beams, forward collision system with pedestrian detection, and road sign detection, is a standard feature on all new RAV4 models, even the entry-level LE.
Dual-zone climate control, proximity keyless entry, Push Button Start, blind-spot monitoring, five USB ports, 17-inch alloy wheels, fully automatic headlights with chrome bezels, power heated mirrors, fog lights, a power sunroof, a cargo area cover, and variable intermittent wipers are just a few of the features that the XLE adds to the mix. The XLE is available with three different option packages: the Convenience Package, which includes heated front seats and an eight-way power driver’s seat; Entune Audio Plus (which requires the Convenience Package); and the Technology Package, which requires the first two packages and includes features like Intelligent Clearance Sonar (ICS), Rear Cross-Traffic Braking (RCTB), and an auto-dimming rearview mirror.
With a power liftgate, leatherette upholstery, a power driver’s seat, a leather steering wheel and shifter, and 19 wheels, the XLE Premium delivers extra comfort and convenience amenities. A weather package, a JBL sound system package, and a tech package that includes ICS, RCTB, a digital rearview mirror, and a wireless phone charger are available for the XLE Premium.
The Adventure trim has the most rugged demeanor of any RAV4 model, as its name suggests. Dynamic Torque Vectoring All-Wheel Drive, a terrain controller, black bumpers and exterior accents, a backup camera, Downhill Assist Control, a digital gauge cluster, orange seat stitching and interior accents, urethane steering and shifter, cargo area storage net, home-style AC power outlet, an alarm, and an Entune Plus audio system with 8 touchscreen are all included. It can be purchased with navigation as well as a weather package, a tech package, or the JBL sound system.
Beginning with the Adventure trim, the TRD Off-Road trim continues to increase performance and luxury. 18-inch matte-black wheels, a TRD-tuned suspension, and SofTex seats with distinctive TRD insignia make up the package. There are also additional options like a power liftgate and a power sunroof.
The Adventure’s equipment level is comparable to that of the XSE, which further offers heated front seats, a stylish two-tone exterior, and an interior with blue stitching. The aforementioned option packages are also available for purchase with it.
The Limited trim, which is the top of the line, equips the RAV4 with heated front seats with memory settings, dark brown interior accents, ambient lighting, a digital rearview mirror, an Entune Premium audio system with voice recognition, navigation, ICS, RCTB, and puddle lights. For the Limited, there are also tech, weather, and audio packs available.
The base price of a RAV4 LE is $26,595. The XLE Premium starts at $30,595 while the XLE starts at $28,395. The Adventure, which is designed for off-road use, costs $33,995, the TRD Off-Road starts at about $35,000, and the Limited costs $34,595.
Price ranges for the XLE start at $30,545; the Hybrid LE starts at $28,745; the XSE and Limited are $34,745 and $36,745, respectively. The RAV4 is available with front-wheel drive or all-wheel drive, with the latter adding around $1,400 to the price. Only all-wheel drive is available on the Adventure and Hybrid model levels.
Is the RAV4 going out of production?
Despite the discontinuation of the Toyota RAV4 EV in 2014, Toyota is still committed to the electrification of automobiles. The future is bright because even though we’ve ceased making the RAV4 EV, our engineers are still hard at work on the next iteration of battery technology. Additionally, your Authorized Toyota RAV4 EV Dealer will continue to provide excellent servicing if you already own a RAV4 EV.
Is it a wise idea to lease a car?
Some drivers may be drawn to leasing an automobile because of its potential advantages: Lower monthly payments: Car lease payments are often cheaper than loan payments, thus leasing could result in lower monthly costs for the same vehicle.
Which RAV4 model is the best?
The 2009, 2010, 2016, 2017, and 2018 model years of the Toyota RAV4 are some of its best iterations. On the other hand, the 2002, 2007, 2008, 2013, and 2019 models should be avoided. It’s crucial to take note of these years while purchasing a used RAV4 SUV.
What does a 2021 Toyota RAV4 cost?
The starting price of the 2021 Toyota RAV4 is $26,050. The tiny crossover market is dominated by the Toyota RAV4 in 2021. And rightfully so. It rides and handles more like a car than a high-riding truck, has a sturdy feel to it, receives top safety ratings, comes with a wealth of standard equipment, and has a spacious cabin.
Why is a Toyota lease so expensive?
Toyota has been severely impacted by a global chip shortage, which is why its vehicles are expensive. As a result, the industry’s lowest days’ supply of vehicles and an unprecedented inventory shortfall are faced by dealers.
Is financing or leasing a car more affordable?
Because you just have to pay a portion of the entire cost when leasing an automobile, it is far less expensive than buying one completely. The dealership will buy it back from you, so you won’t have to worry about getting a good price or finding a buyer when you’re done.
Is financing or leasing preferable?
You don’t possess the car. Unless you choose to purchase it, you get to use it but must return it at the end of the lease.
Taxes, registration, and other costs are included, as well as the purchase price or a down payment.
They could consist of the down payment, the acquisition fee, the first month’s payment, a refundable security deposit, taxes, registration, and other charges.
Because you’re paying off the entire purchase price of the vehicle, plus interest and other finance charges, taxes, and fees, loan payments are often larger than lease payments.
Because you only pay for the depreciation of the car during the lease term, along with interest charges (also known as rent charges), taxes, and fees, lease payments are usually always lower than loan payments.
Your car is always up for sale or trade-in. Any outstanding loan balance may, if any, be satisfied with proceeds from the sale.
Charges for breaking the lease early can be just as expensive as not doing so. Occasionally, a dealer will purchase the vehicle from the lease company as a trade-in, relieving you of your obligation.
When you decide you want a different car, you’ll have to deal with selling or trading in your current one.
On the bright side, you are not monetarily impacted by its future worth. You don’t own any equity in the car, which is a drawback.
You are free to travel as far as you like. However, bear in mind that increased mileage reduces the car’s trade-in or resale value.
The majority of leases have mileage restrictions; these range from 10,000 to 12,000 annually. (You might agree to a greater mileage cap.) You’ll incur fees if you go over your limits.
Wear and tear is unaffected, although it can reduce the car’s trade-in or resale value.
In most leases, you are accountable. Excessive wear and tear will result in additional fees being incurred.
You have established equity to assist you pay for your next vehicle after the loan period is through, and there are no outstanding payments.
You have the option to finance the purchase of the vehicle, lease another one, or buy it after the lease (often two to three years) expires.
The car is yours to personalize or change anyway you desire, however doing so can void your warranty.
Any alterations or unique components you install must be taken out since the car must be returned in resellable condition. If there is any remaining damage, you will have to pay to have it corrected or submit an insurance claim, which would require you to pay a deductible.
Shared Features
Six model levels of the 2020 Toyota RAV4 are offered: LE, XLE, XLE Premium, Adventure, Limited, and TRD Off-Road. Each one has a four-cylinder, 2.5-liter engine and an automated, eight-speed transmission. Every RAV4 includes the Toyota Safety Sense 2.0 package. All RAV4s are therefore equipped with a pre-collision system with pedestrian recognition, full-speed range dynamic radar cruise control, lane departure alarm with steering assistance, automatic high-beams, lane tracing assistance, and road sign assistance. A 7-inch touchscreen, Android Auto, Apple CarPlay, Amazon Alexa, Bluetooth capabilities, an integrated Wi-Fi hotspot, and satellite radio are additional features shared by the XLE and XLE Premium.
XLE Features
RAV4 XLE prices start at $27,145. Eight-way power adjustment for the driver’s seat, automatic climate control for both zones, blind-spot monitoring with rear cross-traffic alert, proximity keyless entry, heated exterior mirrors, and five USB ports are all included as standard equipment. Cold Weather, Convenience, and Audio Plus are the three options. The heated front seats, heated steering wheel, and automatic rain-sensing wipers are all included in Cold Weather. Your RAV4 has a motorized liftgate and a moonroof for your convenience. The 7-inch touchscreen is upgraded to an 8-inch one by Audio Plus.
XLE Premium Features
The price of the XLE Premium is $29,850. Everything from XLE is included, plus a few extras. It boasts a power liftgate, a sunroof, SofTex synthetic leather interior, and a steering wheel and shifter covered in leather. Three further comparable but distinct packages for the XLE Premium are Cold Weather, Audio Plus, and Technology. Along with memory settings for the driver’s seat, Cold Weather provides the same functions as the XLE. Although Audio Plus now has an 11-speaker JBL premium sound system, it also boosts the display to 8 inches. A variety of driver assistance features have been made possible by technology, such as front and rear parking sensors, automatic braking in reverse, wireless smartphone charging, a camera in the rearview mirror, and a universal garage door opener.