Luxury SUV Shoot Out: Which One Will Make You And Which Will Break You?

What Luxury SUV above the $40,000 bracket has the lowest ownership costs?

You might think it is greatly dependent on the monthly payment. But as we learned in the past initial cost and low payment are only part of the equation. As in the previous exercises I again will compare lease cost amongst several luxury brands to get an idea what the typical ownership cost are for the vehicles over the course of 36 months at the accumulation rate of 10,000 miles a year.

While 10,000 miles a year may not be you cup of tea, all except one on the manufacturer had bargain basement deals at this particular mile interval. The Infiniti was currently only advertising a 27 month term but a quick call to the finance manager at the local dealership gave me the $506 month with the correct terms to compare. (Thanks, Ron) Another call to the local Lexus dealership gave me the corrected figure for the RX350 from 12,000 miles as well.

Our lucky candidates for the final comparison in the series are the following in alphabetical order are:
Acura MDX, Audi Q7 3.6 liter, BMW X5 3.0 liter, Infiniti FX35, Lexus RX350, and the Mercedes ML350.

Since all of these makers have excellent warranties, the short duration of our ownership example show that there should be no out of pocket repair expenses so reliability is not a factor in the overall cost.

Round 1: MSRP – Acura

$40,665 Acura MDX
$41,360 Infiniti FX35
$43,455 Mercedes Benz ML350
$44,255 Lexus RX350
$45,900 BMW X5
$50,110 Audi Q7

Round 2: Down Payment - BMW & Mercedes Benz
$2850 BMW X5
$2850 Mercedes Benz ML350
$3000 Lexus RX 350
$3000 Infiniti FX35
$3000 Audi Q7
$3419 Acura MDX

Round 3: Monthly Payment – Acura

$499 Acura MDX
$506 Infiniti FX35
$539 Mercedes ML350
$634 Lexus RX350
$549 Audi Q7
$689 BMW X5

Round 4: Insurance – Acura

$9393 Acura MDX
$9621 Lexus RX350
$10405 Infiniti FX35
$11245 BMW X5
$11976 Audi Q7
$14058 Mercedes Benz ML350

Round 5: Maintenance – BMW

$0 BMW X5
$362 Infiniti FX35
$429 Acura MDX
$542 Lexus RX350
$610 Audi Q7
$639 Mercedes Benz ML350

Round 6: Fuel – Infiniti

$4468 Infiniti FX35
$5122 Lexus RX350
$5250 BMW X5
$5385 Acura MDX
$5526 Mercedes Benz ML350
$5833 Audi Q7

Round 7: Total Expenditure over 36 Months – Infiniti

$36,441 Infiniti FX35
$36,590 Acura MDX
$41,109 Lexus RX350
$41,183 Audi Q7
$42,349 BMW X5
$44,144 Mercedes Benz ML350


While the Infiniti apparently just beat the Acura over the term, the others trailed significantly behind in total cost to the owner. One note of interest would be while the Mercedes was 3rd lowest in payment and shared in the least money out of pocket initially, significantly higher insurance cost and a healthy appetite for premium fuel eroded any potential saving placing it dead last. The Audi on the other hand was at a $5850 price disadvantage coming out of the box and almost caught the Lexus by the end of the term. These two vehicles were a virtual dead heat in operating costs over the term. A similar note over 48 months flipped the comparison by only $48 towards the Audi.

Sources:
Round 1: MSRP: Manufacturer
Round 2: Down Payment: Manufacturer
Round 3: Payment: Manufacturer
Round 4: Yahoo automobiles
Round 5: Yahoo automobiles
Round 6: Fuel cost calculated using EPA estimates @ $3.50 a gallon
Round 7: Totals of round 1+2+4+5+6 plus monthly lease payment times 36 months

AMGC55 - 4/20/2007 4:09:57 PM

+1 Boost

cool comparison, consider some owners may want to get the MDX or X5 or Q7 for its 3rd Row seat... where the others dont offer it... FX35/45 are both pretty bad ass cars though

valentino - 4/20/2007 4:36:43 PM

-4 Boost

The only SUV I like isn't even a candidate :-(

I'd buy a Porsche Cayenne Turbo S (525hp), In black color, and then call the guys over at techart and let them pump it up to a Techart Magnum with 600 hp.
Or if i'm really serious I can page gemballa to tune it into a Gemballa GT600 :-p

EnnNorak - 4/20/2007 4:54:59 PM

-1 Boost

I'll take the Q7 with the Torsen center differential and a narrow-angle VW V6 (now 10.6 degrees if my memory is correct) which is almost as good as BMW's in-line six for near-perfect 7alance. The only thing I ask Audi to do is to make an aluminum-bodied Q7 (maybe call it the Q8) and stop using the term Quattro to desccribe its lesser AWD systems that do not use the Torsen set-up.

pchera01 - 4/20/2007 5:34:24 PM

+3 Boost

great comparison
I can't wait to FX to redesign

Will_ - 4/20/2007 6:36:44 PM

+3 Boost

Round 7: Total Expenditure over 36 Months – Infiniti

$36,441 Infiniti FX35
$36,590 Acura MDX
$41,109 Lexus RX350
$41,183 Audi Q7
$42,349 BMW X5
$44,144 Mercedes Benz ML350

Japanese
Japanese
Japanese
German
German
German

The Japanese continue to be the value leaders. No surprise here, although I'm shocked at the low MSRP of the ML.

Rupert - 4/20/2007 7:17:08 PM

+1 Boost

I too am shocked that the RX is more expensive than the ML, and the Audi's high price.
But you know what's super-great? In england, the RX350 costs not 44000 dollars, but 70000 dollars-ish (ours are all AWD so a bit more expensive). But that's such a huge gap in price, it's shocking. The 400h is 80000 dollars. Stupid exchange rate being so much in your favour (but mine when I visit).

S4cabriofoxone - 4/20/2007 9:45:26 PM

-5 Boost

Will, why would "value" ever be a factor? In the past, you have argued vehemently about how Lexus isn't a "value" brand- they're "true luxury" of the highest degree. This is completely contradictory. When I'm looking for a luxury car, I don't care which one costs the most or which one costs the least. I look for the BEST. The one that I LIKE the best, the one that fits my NEEDS the best. If I was looking for value in my wife's next car, I'd cheap out and get her a GS350 AWD or something. Instead, she's probably going to end up with an S550 4Matic, because we LOVE it. Get the idea?

Will_ - 4/20/2007 10:53:47 PM

+4 Boost

Why would you even counter-argue my point S4?
I don't need to hear another one of your sob stories about your wife. Why can't I "LOVE" Lexus's value? Stop nagging...

S4cabriofoxone - 4/21/2007 10:56:01 AM

-4 Boost

Why did I argue? Because you're always contradicting yourself! If Lexus is a "value" brand, they're not a "prestige" brand. If Lexus is a "prestige" brand, they're not a "value" brand. They can't be both, but you're trying to make it seem as if they are! PICK ONE and stick to it!

IamEvilHomer - 4/21/2007 11:59:29 AM

0 Boost

rupert

this person is talking about a Audi with 11k in options and a BMW with no options

i think they are looking at the lease specials

1st audi has a nicely loaded car for their lease
2nd the maint. is about 60 bucks for up to 4 years with the lease ajustment so there is another mistake
3rd is the fuel a 4.2 vers the v6 of the other cars? the Audi is one of the biggest cars.

i am loosing interest in the article
to many mistakes and bad refrences

Will_ - 4/21/2007 6:11:20 PM

+5 Boost

S4, I'm starting to see your point, but instead of having me decide for you, why don't we let Lexus decide?
Why can't they be both? Mercedes, BMW and Audi have no problems trying to be both with their lower-ended models. Lexus doesn't even have hatchback economy cars. Who's trying to be both?

Anthony - 4/22/2007 2:59:03 AM

+5 Boost

S4,

A Mercedes S600 is cheaper and frankly, a better value than a Bentley Continental Flying Spur. Does this make Mercedes a "value" brand? I think this is the case with Will comparing the vehicles. All are premium makes, but even within these lines, there will always be one with a slight advantage in price/value.

mstangpny07 - 4/20/2007 6:48:07 PM

-1 Boost

I am very happy with my 2007 BMW X5. I love it.
I have yet to spend a penny for service in the years I have owned a BMW.

IamEvilHomer - 4/21/2007 12:00:19 PM

+7 Boost

you pay for service it is just included in the price of the car

Rupert - 4/21/2007 12:51:20 PM

+4 Boost

no such thing as a free lunch.

Sachsi2 - 4/20/2007 7:56:24 PM

0 Boost

Having shopped for most of the vehicles on this list I can point out the following about the MDX vs the Q7:
An Acura MDX with a MSRP of $40,665 is not the equivalent of a Q7 3.6 with a MSRP of
$50,110 but rather more like 42-45K.
The Audi prepaid maintenance bumps up the residual by about as much as it costs, so the net effect on he monthly payment is null.
Your cost of ownership estimate on the Audi is off by a few grand.
If you were to look into purchasing, the MDX sells for several grand under MSRP (way under invoice) while the Q7 sells for just a hair over invoice, more car for the money with the MDX (provided you can get past the styling).

mikeydred20 - 4/21/2007 10:54:12 AM

+5 Boost

I am not sure were you are looking but everywhere I've gone have not budged off the msrp price for the MDX. Thhe MDX I don't see why people think it's ugly it looks much better than the Q7, actually the back of both vechicles looks almost identical. The Q7 squished roofline looks like someone dropped a 2000lb plank on it. Further more the MDX interior looks like a space station while Q7 looks like a pumping station (lack of buttons). For the record though we are talking about the 2007 MDX right?

JMd71 - 4/20/2007 9:32:47 PM

+1 Boost

I pay around $1,200 annually for my car insurance (leased '06 A8) -- so $3,600 for 3 years. The figures in the insurance category seem very steep.

S4cabriofoxone - 4/20/2007 9:49:06 PM

-2 Boost

Why is the Q7 so much more than the others, 009? For $50K, there's not a doubt in my mind that it would have a ton more content than the others.

"$40,665 Acura MDX
$41,360 Infiniti FX35
$43,455 Mercedes Benz ML350
$45,900 BMW X5"

All of these have very little to no options. The only one that is well-optioned is the RX350, because our RX330 was around that price when we bought it, and it has the 18" rims, xenons, navi, backup camera, ML, etc... but the X5, at $45K, is barren. The ML350 has too many options to list- most of which you didn't choose. Isn't that the Acura's BASE price?! And yet you spent $11,000 on options on the Q7 and called it a fair comparison!

Agent009 - 4/20/2007 10:50:10 PM

+3 Boost

The prices are for the "special leases". In some cases there are lower prices, however since that model is not a "special Lease" the payments can actually be much higher. The concept was to get the lowest overall cost through out the 36 month period.

A good example is the FX35, the AWD model is the exact same payment as 2wd model. But the AWD has a higher residual so the cost to own is less.

Agent009 - 4/20/2007 10:52:43 PM

+2 Boost

BTW: The Audi lease was the best advertised for the model even though it cost almost $10k more than some. Overall it held up pretty darn well considering you are get a more costly vehicle.

It may be possible in another part of the country to do better or worse on any of these models.

chewy - 4/21/2007 1:18:24 AM

+2 Boost

Yep, the current lease on the 3.6 Premium (very nicely equipped) is very good. But I see an entry vs. real premium vehicle line forming.

Agent004 - 4/21/2007 2:10:50 AM

+1 Boost

Holy Insurance Prices Batman! I pay $2200 a year for 2 cars, an FX35 and a 330i and I live in MA. I think Yahoo has been polling 16 y/o drivers with 2 accidents and 4 speeding tickets to get those rates! It really only effects the total cost of ownership and they're all ridiculously high, so it evens out, but damn, we have to start using like Geiko or something for our quotes :).

Chip-

hamproof - 4/21/2007 9:21:49 AM

+1 Boost

You might want to re-order the lease rate from ascending order. Everything else is in asc order. However for the lease rate, you have the Q7 at $549, but since everything else is in asc order, it seem you might have made a typo.

I looked at all the attachments for all your sources, and it does appear you are correct in your assessment. The MSRP for the Q7 does appear to be ~$50k for the 3.2 Premium w/ the said options.

This might be the case where Audis do discount their vehicles and they do expect you to bargain down from $50k whereas a BMW and Lexus is more unlikely to do so.

But since you are doing a comparison, it is just fair to go with the MSRP figures.

But I think if you re-order the monthly lease payment slotting Q7 bet the ML and RX, it would be more appropriate.

S4cabriofoxone - 4/21/2007 10:59:36 AM

-3 Boost

1. It's the Q7 3.6 Premium. Sorry, I just had to. The 3.6L engine is worlds better than the A6's 3.2.

2. I actually don't think this was a fair comparison. At $45K, the X5 has almost NO options, as opposed to the $11K worth on the Q7 (which starts at $39K). Similarly, a $43K ML350 FOR SURE has NO OPTIONS!!! That's the BASE PRICE! If 009 wanted to compare apples to apples, he shouldn't have compared these trucks to the Q7 Premium... just the base Q7.

hamproof - 4/21/2007 9:33:36 AM

+1 Boost

Also the ML350 MSRP is $43455. But with the Premium 1 and Heating package as you indicated on the paperwork, it should be $47615.

So, the leasing info for the ML is suspiciously low showing $43455 with an asterisk.

Basically, I'm trying to point out a bit of a flaw in your assessment that despite the Q7 costing more upfront it almost caught up with the RX in the end when you factor in everything.

Since this is a lease, it doesn't really matter what the car cost upfront since the main concern is how much is the monthly payment, downpayment, aquisition cost etc.

If you are financing, it's a different story since you now have to sell the car which cost you a bundle upfront and now it is not worth as much as another that holds its value well.

I don't drive or own any of the cars. Not a fan of any of the cars listed in case I might come across as being bias. Only wagons for me.

BMW4me4ever - 4/21/2007 10:46:31 AM

+1 Boost

The other factor for ownership cost should be resale value. That would be a huge advantage for BMW & lexus. What you should do is take some time and equip the vehicles out with like options. If you are going to spend the time, then a few more minutes here or there wouldnt kill you. Realistically the BMW X5 will be in the $55,000 range with premium package, cold weather package, 3rd row and such ...

The whole article is ridiculous

S4cabriofoxone - 4/21/2007 11:01:11 AM

-2 Boost

Yes, I know. You can't simply calculate exact lease rates by yourself. You do need resale value, sales tax, etc...

And the X5 and ML listed here are both at BASE level, as opposed to the Q7's "Premium" designation, which adds $11 large. Doesn't make sense!

Agent009 - 4/21/2007 12:36:55 PM

+2 Boost

The problem is (and I quote again) You have to go with whatever they are running at the time. This is a snapshot of what the consumer sees at this point in time.

Taking all of the above brands out of the equation. Three months ago, you could get a top line Pilot with NAV for less than a base model on a lease. The prices were that much higher for the base, because the factory incentives were not there,and Honda wanted adjust inventories. That is why you see the Audi with all of the features, this what they chose to push for this time frame. The other all chose the bottom model.

you can pick and choose all you want, but when it come time to buy you have to go with what is out there at the time,

Three months from now the order probably will be flipped, because different models will be featured.

Agent009 - 4/21/2007 12:40:10 PM

+1 Boost

Another point to prove how things outside the payment can affect you was the ML350, If insurance alone had been on par with the Infiniti, it would have place a close third. but the high cost of insurance devastated its chances.

SteveL - 5/1/2007 2:55:06 PM

+1 Boost

I did not see the GMC Acadia in here and if anybody says they are not luxery you best get out and look at one and drive it.