i have never leased a vehicle before and was thinking about leasing after i get rid of the miata, good idea or bad and why?
Depends on your situation. 9 times out of 10 its a bad idea.
Really depends on your situation and said vehicle…
If you have no intention to do anything other than drive it as a DD, and have a no obligation turn in at the end its a great idea especially if its a vehicle with bad resale off the lot.
Just remember though any damage done has to be fixed before turn in (there are turn in packets that have the allowed amount but usually its a door ding the size of a dime, tires wth x/10th tread left, etc.).
Ya I have heard very few people who have been in a situation where leasing a vehicle is something that fit their life but like walter said, 9/10 times its a bad idea.
Put up a ton of cash, make payments for X months, at the end of X months you give the car back and take a taxi home after you settle up for mileage, damages, etc
If you get in the right situation, it’s a great idea. Particularly if you’re looking at something that depreciates fast or you can’t afford a new car without financing for 72 months. My truck stickered for $41k. I put nothing down on it and pay $330 a month for 3 years. Then I turn it in scott free. If I had bought, I’d be paying double per month and STILL be upside down.
People bitch about not having any equity in it, but the majority of the time when buying new, for at least the few years, the kind of equity you have buying is the kind you don’t want, negative.
If you drive 15k a year or less, or don’t have the money for a big down payment, it may be a great idea.
So you’ve spend 12k in 3 years on your truck and get nothing for it at the end of 3 years.
Or you could buy this for 18k and own it after 5 years of similar payments at 3.99% (Pentagon FCU used rate).
http://www.autotrader.com/fyc/vdp.jsp?ct=u&car_id=257540254&dealer_id=79647&car_year=2007&rdm=1241789944116&model=TRAILBLZ&num_records=25&systime=&make2=&highlightFirstMakeModel=&start_year=1981&keywordsfyc=U1M,&keywordsfyc=&keywordsrep=083083&keywordsrep=&engine=&certified=&body_code=0&fuel=&awsp=false&search_type=both&distance=500&marketZipError=false&search_lang=en&sownerid=2075318&showZipError=n&make=CHEV&keywords_display=SS&color=&page_location=findacar%3A%3Aispsearchform&min_price=&drive=&default_sort=priceDESC&seller_type=b&max_mileage=30000&style_flag=1&sort_type=priceDESC&address=14221&advanced=y&end_year=2008&doors=&transmission=&max_price=18500&cardist=442&standard=false
I leased once I probably wouldn’t do it again. I’d rather buy slightly used and have something when I get done making the payments.
Lease a G8 and spray the piss out of her.
Then return it.
upside to leasing for myself, my dad and wife is the warranty. Leasing takes care of basically everything. after 3 years you turn it in before the headaches start. we will more than likely always lease 1 vehicle. your payment is always less when leasing. The only part that sucks and has been mentioned already is the fact that you need a DP in most cases and when the lease is up, you need another DP for something new, you walk home or you buy it.
Used to new is apples to oranges. Imagine if I had bought new and my $41k truck was already only worth 20. (That one is 2WD and doesn’t have as many options.)
Leasing is essentially a long term rental. In some situations it makes sense, but if you can manage to own, you’ll be much happier.
Lol at equity in a car.
The only one I knew that had a good reason to lease was she was in the area for a contract job for 3 years and they sent her out of the country and would not need a car. She leased one for 3 years out of school and it did what she needed and when the lease was over, she turned it in. No need to sell it or anything and the payments were cheap.
Other than that, peoples situations may change, you may want to keep the car, etc. Personally, if you are putting payments to something, buy cheaper and get something you own versus buy something more expensive and lease it. Hell, you can lease a BMW now for less than 399 a month AFAIK
I always find it funny with the people who say " you make payments for 3 years and don’t even own it!" because after three years most people who bought the car and were making payments will most likely just trade it in for what they owe.
Which is why I said I’d rather buy slightly used. Buying brand new, especially a domestic, isn’t very smart to begin with. I got my GTO with <2000 miles but because it was used it was about 25% off sticker. And I bought at a time when big V8’s were still selling well and the economy was booming. Doing the same thing today it’s more like 35%+.
Word. Short of people who buy and drive their shit into the ground, buyers pay >$100 more than I do per month the entire length of ownership, then trade it in for what they owe. I get the same deal but I don’t have to haggle on trade-ins or selling a car. Plus, you don’t have to baby it because it’s not yours. I wouldn’t be spraying a 100-150 shot if I owned because i’d be worrying about blowing a motor or tranny at 80-100k miles. But it’ll be long gone by then, so who cares?
The used car argument is valid, but some people don’t want used. Like everyone else says, depends on the situation.
I would never lease. I travel too much with my vehicle and as JayS said After paying for 3 years and you get nothing out of it just doesn’t do it for me. If I am paying for something I want it when I am done paying.
The domestics used to be an pretty good deal, but they lost money on them.
Take a look a lease rates now compared to a year ago, if you can find any.
I remember 2 years ago when I could have has a $30k H3 with $0 down and 15k/yr in miles for 27 months for sub $200. Granted that was all the employee cash, and discount and pep something, but still it gives you an idea of the money lost on these things.
You have to do the math to determine whether or not it makes sense to do.
Truth. Lease deals today are terrible compared to lease deals from 2 years ago. You used to see fully loaded 4wd Explorers going for 250ish a month, now you can’t get into an Escape lease for under 300.
Word. Usually it doesn’t make sense since you are left with nothing at the end of a lease. But if you drive less than the alotted annual miles (usually 12k) and you can get a lease without paying a multi-thousand dollar initial fee then it might make sense.
My rule of thumb is if you can drive a vehicle for less than $3k/year in depreciation/lease fees/payments then you’re not doing too bad. If you pay cash for a car that doesn’t depreciate a lot it’s not hard to get it under $2k. Then you’re really doing well.
true. we went to ford like 2 months ago and I dont think you can even lease a new escape now. the 2 options use to be a ways apart but they are pretty close now a days. We are going to Towne tomorrow to see about an edge. Ill let you guys know what they say.