Kosher Ham Posted November 12, 2014 Share Posted November 12, 2014 Chip...Therefore he paid for a car that he didn't drive. And I certainly don't mean that type of limited edition. Link to comment Share on other sites More sharing options...
I_Bleed_B&G Posted November 12, 2014 Share Posted November 12, 2014 If you dont know what your talking about you should not speak. If you do your homework leasing is great. There are pros and cons to leasing and buying. Ive bought tons of cars and leased a bunch. Id lease again in a heart beat and I would buy used as well. If you are uninformed customer and dont do research and put down $5k thats bad. Never put money down on a lease. You negotiate the price of the car first before you ever bring up financing or leasing. Look up residual values and money factor before you go to the dealer. Residual usually cant be changed but money factor can be brought down. Link to comment Share on other sites More sharing options...
chipwhich Posted November 12, 2014 Share Posted November 12, 2014 If you dont know what your talking about you should not speak. If you do your homework leasing is great. There are pros and cons to leasing and buying. Ive bought tons of cars and leased a bunch. Id lease again in a heart beat and I would buy used as well. If you are uninformed customer and dont do research and put down $5k thats bad. Never put money down on a lease. You negotiate the price of the car first before you ever bring up financing or leasing. Look up residual values and money factor before you go to the dealer. Residual usually cant be changed but money factor can be brought down. Again, ya gotta link to support leasing? You bought "tons of cars"? 100? 1000? You must be a real player. Don't roll out some nonsense. You bought tons of cars and leased a bunch. Yeah, ok. Leasing is a bad idea, don't take an internet posters word for it, research it yourself....or buy another ton. Chip...Therefore he paid for a car that he didn't drive. And I certainly don't mean that type of limited edition. Agreed. He basically bought a car he didn't use, babied it, then sold it for more than he could buy it back from the dealer for. Link to comment Share on other sites More sharing options...
Spaceman Spiff Posted November 12, 2014 Share Posted November 12, 2014 I admit, I haven't looked into actually leasing a car for probably 20 years? So maybe there is some regulation now on what you can buy the car back in the end? That said, if you want to show me a link where anyone says leasing is a deal for the consumer, serve it up. Leasing is good for one person, the dealership. I had one friend who actually did well on a lease. He lease some type of limited edition Toyota Supra with a fin. I can't remember the details of the car, but it was a limited edition sports car. He never drove it, had really low miles, and was able to make a nice amount on the difference in his buy price and the resale price. So you keep saying leasing is NEVER a good idea, but you have one friend who actually did well on a lease. Link to comment Share on other sites More sharing options...
GoCommiesGo Posted November 12, 2014 Share Posted November 12, 2014 A lease is never a good idea. You can convince yourself it is. As far as the buy back, what the actual value of the car will be at the end of the lease is anyones guess. The dealer typically knows best. I don't have statistics but I would bet rarely does a leased car have a value higher than the buy back price. My cousin is the head finance guy at one of the largest Ford dealers in MD. Needless to say, he loves leasers. Show me where my Math is bad. Leasing is a tool based on a set of normal standards for the average driver. I know how to do math and know how to read. I know that when I turn the car in I will be at a minimum of 9k miles under our projected usage. Which will lead to the car having a higher value than the projected residual. In essence I bought a car for three years for a great rate, took the money from the sale of our used car and invested it. At the end of our lease I'll buy the car and then sell the car for a net of 2-3k. For us this was a better deal by far than buying the car. Your right in most cases it's not a good idea but like everything there are outliers. Link to comment Share on other sites More sharing options...
Elessar78 Posted November 12, 2014 Share Posted November 12, 2014 Show me where my Math is bad. Leasing is a tool based on a set of normal standards for the average driver. I know how to do math and know how to read. I know that when I turn the car in I will be at a minimum of 9k miles under our projected usage. Which will lead to the car having a higher value than the projected residual. In essence I bought a car for three years for a great rate, took the money from the sale of our used car and invested it. At the end of our lease I'll buy the car and then sell the car for a net of 2-3k. For us this was a better deal by far than buying the car. Your right in most cases it's not a good idea but like everything there are outliers. What you're missing is that basically you bought a car and financed it for 3 years. But at the end of 3 years, you don't have the equity you would have had you bought it and paid it off. THEN you go and buy the car anyway at a price set by some 3rd party. You might as well have just bought it from the outset. Anyway, as my math teachers used to say . . . show your work. Show me the math that made your lease a sound decision. Link to comment Share on other sites More sharing options...
zoony Posted November 12, 2014 Share Posted November 12, 2014 Save your money and pay cash Link to comment Share on other sites More sharing options...
Kosher Ham Posted November 12, 2014 Share Posted November 12, 2014 Save your money and pay cash Certainly the best option. If he is spending so much on maintaining the car though it would potentially be difficult. Link to comment Share on other sites More sharing options...
rictus58 Posted November 12, 2014 Share Posted November 12, 2014 My personal thoughts on leasing with no statistical data to back-up my stance: More and more car commercials push for leasing options. Which tells me they are a better deal for the dealers. If it's a better deal for the Dealer, it's a worse deal for the consumer. Link to comment Share on other sites More sharing options...
zoony Posted November 12, 2014 Share Posted November 12, 2014 Certainly the best option. If he is spending so much on maintaining the car though it would potentially be difficult. He could find a reliable backup car for $5-$7k I bet Link to comment Share on other sites More sharing options...
TheGoodBits Posted November 12, 2014 Share Posted November 12, 2014 I admit, I haven't looked into actually leasing a car for probably 20 years? So maybe there is some regulation now on what you can buy the car back in the end? That said, if you want to show me a link where anyone says leasing is a deal for the consumer, serve it up. Leasing is good for one person, the dealership. I googled "is leasing a car a bad idea" and this was the first result: http://www.kiplinger.com/article/cars/T009-C004-S001-five-myths-about-leasing-a-car.html Surprisingly relevant to this thread. Same car and everything. Again, if your goal is to keep the vehicle long term (which admittedly is the better financial decision), then buying is a better option. But if you don't have any intention of owning the car for more than 3 years, then leasing is a decent option for you. Dealers like it because leases because they increase their flow of used cars down the road, and the lower payments probably help with sales. Also, a lot of people (most) don't know how to negotiate leases so they end up making more off of them. But they don't like leases because they are inherently bad for consumers. Again, completely situational. Leases can make sense for people, depending on their overall plans for the car. Link to comment Share on other sites More sharing options...
Elessar78 Posted November 12, 2014 Share Posted November 12, 2014 I googled "is leasing a car a bad idea" and this was the first result: http://www.kiplinger.com/article/cars/T009-C004-S001-five-myths-about-leasing-a-car.html Surprisingly relevant to this thread. Same car and everything. Again, if your goal is to keep the vehicle long term (which admittedly is the better financial decision), then buying is a better option. But if you don't have any intention of owning the car for more than 3 years, then leasing is a decent option for you. Dealers like it because leases because they increase their flow of used cars down the road, and the lower payments probably help with sales. Also, a lot of people (most) don't know how to negotiate leases so they end up making more off of them. But they don't like leases because they are inherently bad for consumers. Again, completely situational. Leases can make sense for people, depending on their overall plans for the car. Her first point seems bogus. ...Say you negotiate to buy a 2013 Nissan Altima 2.5 S . . . for invoice price -- $21,403 -- with 10% down and a five-year loan at 2.9%. But after three years you decide you want a new car. If you trade in the Altima, you will likely get about 46% of the sticker price, or $10,621 (the resale value after three years, according to the Kelley Blue Book). Then you'll have to pay off the loan. Figure your total out-of-pocket cost will be $9,525... Based on her numbers, the monthly payment would be $362.53 $21,403-$13,051 (36 monthly payments)=$8,352-$2,140 (10% downpayment)=$6,212 (remaining balance on car loan). She says you can get $10,621 for the trade-in, so you're still $4400 to the good. They can roll that remaining $6212 you owe on the previous car into the new car loan and still be able to apply $4400 off your purchase of a new car. Link to comment Share on other sites More sharing options...
Kosher Ham Posted November 12, 2014 Share Posted November 12, 2014 He could find a reliable backup car for $5-$7k I bet I agree. I suggested a Hyundai earlier in the thread. My BIL bought one just for when he comes home ( Single guy, drives trucks all over the Country). $5500 bucks. Hell, even an old Honda like I use for the beater...230k, and I put a little money into it here and there, nothing crazy. It's a 2001. Link to comment Share on other sites More sharing options...
chipwhich Posted November 12, 2014 Share Posted November 12, 2014 Show me where my Math is bad. Leasing is a tool based on a set of normal standards for the average driver. I know how to do math and know how to read. I know that when I turn the car in I will be at a minimum of 9k miles under our projected usage. Which will lead to the car having a higher value than the projected residual. In essence I bought a car for three years for a great rate, took the money from the sale of our used car and invested it. At the end of our lease I'll buy the car and then sell the car for a net of 2-3k. For us this was a better deal by far than buying the car. Your right in most cases it's not a good idea but like everything there are outliers. What your missing is you are focused on a monthly payment and not an overall financial picture. In 3 years on a lease you will have to a) buy the car and start a new loan on the car, lease a new car for another 3 years, or c) turn the car back over and buy another car. If you purchased it you don't put yourself in that predicament. Had you purchased it, in 3 years you still have a fairly new car with low low mileage. Link to comment Share on other sites More sharing options...
mcsluggo Posted November 12, 2014 Share Posted November 12, 2014 i'm not sure why you wouldn't just rent a car for the VERY occasional time you describe needing it? Link to comment Share on other sites More sharing options...
zoony Posted November 12, 2014 Share Posted November 12, 2014 i'm not sure why you wouldn't just rent a car for the VERY occasional time you describe needing it? New cars are fun, intoxicating even. You get a euphoric high from owning something new and shiny Problem is that feeling doesn't last but the payment does Link to comment Share on other sites More sharing options...
mcsluggo Posted November 12, 2014 Share Posted November 12, 2014 rent a REALLY nice car? and throw in a weekend supply of Viagra? Link to comment Share on other sites More sharing options...
TheGoodBits Posted November 12, 2014 Share Posted November 12, 2014 Her first point seems bogus. Based on her numbers, the monthly payment would be $362.53 $21,403-$13,051 (36 monthly payments)=$8,352-$2,140 (10% downpayment)=$6,212 (remaining balance on car loan). You take out the down payment off first. So it would be a $2100 down payment, a $19k-ish loan, and the payments would be less as well. Link to comment Share on other sites More sharing options...
Elessar78 Posted November 12, 2014 Share Posted November 12, 2014 You take out the down payment off first. So it would be a $2100 down payment, a $19k-ish loan, and the payments would be less as well. $21,403-$2100=$19303 Assume a 5% sales tax and 2.9% financing for 60 months and that's a monthly payment of:$363.29 $21,403 — $13,078 — $2100= $6225 The only difference is that you used the figure $2100 and I used $2140. Link to comment Share on other sites More sharing options...
I_Bleed_B&G Posted November 12, 2014 Share Posted November 12, 2014 Again, ya gotta link to support leasing? You bought "tons of cars"? 100? 1000? You must be a real player. Don't roll out some nonsense. You bought tons of cars and leased a bunch. Yeah, ok. Leasing is a bad idea, don't take an internet posters word for it, research it yourself....or buy another ton. Agreed. He basically bought a car he didn't use, babied it, then sold it for more than he could buy it back from the dealer for. HAHA. You're the one who said you hadn't looked into leasing in 20 years. I'm not going to link anything. You can look it up yourself. I stated my opinion and it worked for me. Call me a player or whatever you want. I like cars and have leased/owned a "TON" in my 17 years of driving. Leasing doesn't always make sense but but neither does financing. Believe what you want to believe. Link to comment Share on other sites More sharing options...
Elessar78 Posted November 12, 2014 Share Posted November 12, 2014 Why the **** won't anyone post how much they were paying monthly for a lease and for how long? Link to comment Share on other sites More sharing options...
I_Bleed_B&G Posted November 12, 2014 Share Posted November 12, 2014 Why the **** won't anyone post how much they were paying monthly for a lease and for how long? I had a G25x and was paying $340 including tax on 36m lease with 15k a year. I don't remember residual but I believe it was somewhere around 62-65%. This was with no money down. Link to comment Share on other sites More sharing options...
chipwhich Posted November 12, 2014 Share Posted November 12, 2014 HAHA. You're the one who said you hadn't looked into leasing in 20 years. I'm not going to link anything. You can look it up yourself. I stated my opinion and it worked for me. Call me a player or whatever you want. I like cars and have leased/owned a "TON" in my 17 years of driving. Leasing doesn't always make sense but but neither does financing. Believe what you want to believe. I was pushed by a salesperson almost 20 years ago to get a lease. It's a basic financial understanding. It hasn't changed. Wow 17 years. That's a lot of automobile. Link to comment Share on other sites More sharing options...
I_Bleed_B&G Posted November 12, 2014 Share Posted November 12, 2014 I was pushed by a salesperson almost 20 years ago to get a lease. It's a basic financial understanding. It hasn't changed. Wow 17 years. That's a lot of automobile. yea about ~50 Link to comment Share on other sites More sharing options...
chipwhich Posted November 12, 2014 Share Posted November 12, 2014 yea about ~50 So you buy and lease 3 cars a year. If your are leasing for a business, then as I said earlier business leases make sense. If you did it personally, then you are a bull****ter. Link to comment Share on other sites More sharing options...
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