When Jeep pulled the cover off of the new Grand Cherokee L back in January, the automaker presented us with the most luxurious and well appointed version of the SUV yet. Thanks to the addition of the third row seating, the L models also carry higher MSRPs than we’re used to seeing with the traditional two-row offering. And while the difference isn’t that dramatic, the three-row SUV may prove to be rather expensive for customers in a very different way. Thanks to some new reporting from CarsDirect, we now have a look at the lease prices and residual value estimates for the 2021 Jeep Grand Cherokee L. Unfortunately for those looking to stick one of these 4x4s in their garage, your payments are going to be much higher than what the monroney might suggest.
2021 Jeep Grand Cherokee L: Lease Prices
According to CarsDirect, the 2021 Jeep Grand Cherokee L can easily carry lease prices that put it in contention with more expensive vehicles. The range-topping Summit Reserve model for instance carries an MSRP of $69,225, and will cost customers $841 a month for 36 months. That figure was calculated through Jeep’s leasing tools with $6,923 due at signing and an annual allotment of 10,000 miles. That puts the effective cost of leasing the new SUV at $1,033 per month, which is quite high. In fact, that effective price puts the 2021 Jeep Grand Cherokee L just a few dollars away from matching pricing for the Cadillac Escalade Premium Luxury ($84,290), the Mercedes-Benz GLS450 ($77,050), and the BMW X7 xDrive40i ($80,145). That is surprising for an SUV that costs between $7,000-$15,000 less than these competitors.
Residual Value Woes
There are a few reasons why this effective lease pricing is so high for the new Jeep. The most notable of the factors however is the fact that the Grand Cherokee L doesn’t have great residual values. The Summit model carries the worst residuals of all the trim levels, coming in at just 55 percent. The base model Laredo trim fares much better than the well-optioned Summit however, with a residual value rating of 64 percent. That is better than the 53 percent value represented by the equivalent two-row offering, but it is just about in line with the Dodge Durango GT. The Dodge is a much older vehicle as well, which doesn’t bode great for the Jeeps.
Another issue facing Jeep Grand Cherokee L customers in terms of pricing is that the SUV carries a lease rate of about 4.9 percent APR. Combine this with the fact that there are no real discounts on offer at the moment, and things get pricey really fast. Whether or not this changes once the SUV has been on the market for a while is yet to be seen. That said, this has us interested to see what the lease prices are going to look like for the Wagoneer and Grand Wagoneer models if the Grand Cherokee L is already this expensive.
Of course not all Jeep models suffer this same fate, as both the Wrangler and Gladiator have decent lease deals due to their great residual values. Regardless, be sure to keep this in mind if you’re shopping for the new three-row. You might not think you have Escalade money, but it’s possible you’ll get stuck paying it in the end with this one.