Jump to content

Car Leasing Advice


big poppa pump

Recommended Posts

I have been doing a ton of research lately, preparing for my next lease.  I really didn't know what I was doing before, and although I am paying next to nothing on my current lease, it probably could have been better.  I have a 2016 Nissan Rogue S AWD that I am paying 111 a month for,  but was "given" 6000 for the Jeep Liberty that I had as a trade in.  No trade in this time, and my payments are certainly about to go up.  >:(

 

Some great websites are Leashackr.com and Edmunds.com, as well as realcartips.com

 

Any thoughts, or experiences with car leasing?

Link to comment
Share on other sites

I can’t help, but have a question of my own.

I’ve always been told it’s a bad idea unless you’re gonna be buying a new car every few years anyways. What are the other bonuses for leasing your car rather than m buying it, or is that the main reason?

Link to comment
Share on other sites

56 minutes ago, Dome said:

I can’t help, but have a question of my own.

I’ve always been told it’s a bad idea unless you’re gonna be buying a new car every few years anyways. What are the other bonuses for leasing your car rather than m buying it, or is that the main reason?

The payment will definitely be lower.  If you keep the car for 3 years and 36000 miles, then everything should be covered under warranty, and you won't have to pay for service (other than oil changes)

Link to comment
Share on other sites

 

50 minutes ago, big poppa pump said:

The payment will definitely be lower.  If you keep the car for 3 years and 36000 miles, then everything should be covered under warranty, and you won't have to pay for service (other than oil changes)

But you always have a car payment

Link to comment
Share on other sites

5 hours ago, Dome said:

I can’t help, but have a question of my own.

I’ve always been told it’s a bad idea unless you’re gonna be buying a new car every few years anyways. What are the other bonuses for leasing your car rather than m buying it, or is that the main reason?

Financially, it's a poor decision. You end up having to constantly upgrade over the first 3-5 years of the car's life where it loses almost all of it's value instead of being able to buy a car and keep it for years. You don't have to deal with repairs, but a small emergency fund and a small part of your budget noted to save for car repairs makes that easy. And if you drive a fair bit the mileage restrictions can be a real issue.

I'm not sure how the math changes for some higher end luxury cars, maybe you're better off leasing a Mercedes S-Class than buying/trading in all the time.

Link to comment
Share on other sites

12 minutes ago, ramssuperbowl99 said:

Financially, it's a poor decision. You end up having to constantly upgrade over the first 3-5 years of the car's life where it loses almost all of it's value instead of being able to buy a car and keep it for years. You don't have to deal with repairs, but a small emergency fund and a small part of your budget noted to save for car repairs makes that easy. And if you drive a fair bit the mileage restrictions can be a real issue.

I'm not sure how the math changes for some higher end luxury cars, maybe you're better off leasing a Mercedes S-Class than buying/trading in all the time.

But like for example my uncle who wants a new car every 2-3 years, leasing is the better option financially? Or still no?

Link to comment
Share on other sites

1 minute ago, Dome said:

But like for example my uncle who wants a new car every 2-3 years, leasing is the better option financially? Or still no?

If it's a "normal" ~$30k or less type car, no. You end up paying a small percentage more on average over 3 year leases compared to owning/buying/selling IIRC.

But the other side of it is that you have no options. If you lose your job, you can sell your new car and get a beater if you own it. Or if you decide you like the car and want to keep it a little longer (which is way better financially), you can. If you lease it, those payments are still due every single month and you lock yourself into the upgrade cycle.

Link to comment
Share on other sites

9 minutes ago, ramssuperbowl99 said:

If it's a "normal" ~$30k or less type car, no. You end up paying a small percentage more on average over 3 year leases compared to owning/buying/selling IIRC.

But the other side of it is that you have no options. If you lose your job, you can sell your new car and get a beater if you own it. Or if you decide you like the car and want to keep it a little longer (which is way better financially), you can. If you lease it, those payments are still due every single month and you lock yourself into the upgrade cycle.

I always knew my uncle was a dope.

Link to comment
Share on other sites

I don't know how it works in other states, but the registration fees in CA are tied to the value of the car. So if you lease, you're always paying top dollar on the registration. Same thing for auto insurance - if you lease, you're always in a newer, higher value car and your insurance bill will reflect that.

Link to comment
Share on other sites

13 hours ago, big poppa pump said:

Yes..and that is the advantage of buying..5 years..and then it's your car.

However, the value will be significantly diminished..and any repairs are now yours...

If you're buying a car that is already 2-3 years old, the value is already significantly diminished.  Yes, the repairs are now yours, but repair costs over 12 months on average are not going to exceed the drop in value a new or leased vehicle will (should be much less unless you got a lemon).  If you buy with cash, then you also save the cost of the loan.

I've been driving cars worth less than 3k for the last 5 years because of the mileage i pile up.  Rarely do i shell out more than 2k in a given year for repairs (i think one time in those 5 years because of a sequence of failures in a few months time).

My advice would be the same as a few others here: save up some cash, get rid of the lease when it expires, and own your next vehicle.  Stop paying the man.  You may be able to use some advice from those sites to get a better deal on the lease, but it'll never be a good deal in general.  The dealers are too good at math.  They're always going to make money on you.

Link to comment
Share on other sites

Archived

This topic is now archived and is closed to further replies.

×
×
  • Create New...