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Car Buying: lease v. finance v. cash up front
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Date: February 5th, 2012 3:52 PM Author: bronze hairy legs library What are the pros and cons of each? Assume I have the cash to buy up front if that were the best way to go. (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19902219) |
Date: February 5th, 2012 3:53 PM Author: sienna jap business firm leasing is flame (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19902227) |
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Date: February 5th, 2012 10:13 PM Author: Blue Whorehouse National Security Agency (dude who parrots Dave Ramsey) (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19906338) |
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Date: February 5th, 2012 10:15 PM Author: sienna jap business firm No idea who that is, but leasing is flame. (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19906358) |
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Date: February 5th, 2012 10:16 PM Author: Blue Whorehouse National Security Agency Should I make your predictable arguments for you, or do you want to make them? (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19906368) |
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Date: February 5th, 2012 3:54 PM Author: tan nighttime dingle berry http://www.youtube.com/watch?v=07G23zMGa4g (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19902238) |
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Date: February 5th, 2012 10:29 PM Author: Hairraiser talking garrison double fault One of the truly great clips of all time. (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19906495) |
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Date: February 5th, 2012 10:12 PM Author: bronze hairy legs library (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19906324) |
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Date: February 5th, 2012 10:14 PM Author: Irate shimmering mediation base Leasing and financing are essentially the same thing (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19906348) |
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Date: February 5th, 2012 10:15 PM Author: Blue Whorehouse National Security Agency But most people are too fucking stupid to understand that. (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19906355) |
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Date: February 5th, 2012 10:19 PM Author: Irate shimmering mediation base Yup (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19906401) |
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Date: February 5th, 2012 10:14 PM Author: Mauve Theater Stage Really Tough Guy finance at 0% (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19906349) |
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Date: February 5th, 2012 10:15 PM Author: Blue Whorehouse National Security Agency Leasing at 0% would be better. (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19906361) |
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Date: February 5th, 2012 10:15 PM Author: gaped location mother how bout 0.9% (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19906364) |
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Date: February 5th, 2012 10:15 PM Author: Dashing temple sandwich cash is best. if financing, go get your financing separately first, then see if the dealer will match or better it. leasing is for losers. (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19906362) |
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Date: February 5th, 2012 10:15 PM Author: gaped location mother why is leasing for losers (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19906366) |
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Date: February 5th, 2012 10:18 PM Author: Dashing temple sandwich if you're the kind of person who needs a new car every few years or doesn't mind always having a car payment, then go for it. but i prefer to buy a slightly used car and drive it into the ground. (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19906386) |
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Date: February 5th, 2012 10:18 PM Author: Blue Whorehouse National Security Agency But that does not address the financing mechanism.
Buying and selling every few years has an almost identical financial consequence. |
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Date: February 5th, 2012 10:23 PM Author: Dashing temple sandwich I wasn't asked about the financing mechanism. But if you don't want to throw away money, you shouldn't be buying and selling every few years. (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19906444) |
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Date: February 5th, 2012 10:16 PM Author: Blue Whorehouse National Security Agency "cash is best."
Yeah, in a world with no opportunity costs. |
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Date: February 5th, 2012 10:24 PM Author: Dashing temple sandwich Yes, that is the assumption. (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19906450) |
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Date: February 5th, 2012 10:21 PM Author: razzle carnelian mexican Cash up front is best. Financing and leasing are equivalent if you change cars every three years. Financing is better that leasing if you are okay with keeping a car for more than three years, which, by the way, you should be. (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19906424) |
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Date: February 5th, 2012 10:26 PM Author: mildly autistic brindle casino Most Americans have a little nigger on their shoulder who tells them they need a new car every three years. They should be punished for their stupidity. No one should ever bail on a car shy of 140k miles. Ever. (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19906465) |
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Date: February 5th, 2012 10:49 PM Author: transparent therapy cuckoldry "Little nigger on their shoulders" THANK YOU. I will use this (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19906675) |
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Date: February 5th, 2012 10:37 PM Author: Blue Whorehouse National Security Agency "Cash up front is best."
Yeah, if you have no other uses for your money and need to dump it in a depreciating asset.
"Financing is better that leasing if you are okay with keeping a car for more than three years, which, by the way, you should be."
The lease-end purchase option has value. If you buy the car, it's virtually the same as buying the car, but you have the option of dumping it easily if you don't like it. And, if the value of the car is higher than the residual value, you can sometimes buy the car and flip it for a profit. |
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Date: February 5th, 2012 10:40 PM Author: bronze hairy legs library "but you have the option of dumping it easily if you don't like it"
except, you get fined for going over on mileage, minor body damage, etc.
edit: and, you're paying for the purchase option - the financing company isn't just giving it to you for free - it's built into the financing charges |
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Date: February 5th, 2012 10:44 PM Author: Blue Whorehouse National Security Agency Leasing is not for the careless.
If you are the sort of person who mindlessly parks in seas of shopping carts, you might not want to lease. If you park on public streets a lot, you might not want to lease.
But getting more miles upfront is incredibly easy. They'll often give away the bump from 12k to 15k. |
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Date: February 5th, 2012 10:49 PM Author: Irate shimmering mediation base You pay for body wear tear and high mileage if you own. The value of the car is diminished.
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Date: February 6th, 2012 12:37 AM Author: Galvanic alcoholic stead goyim How neurotic are they about body damage? Like tiny scratches and you end up paying $1,000 fine? (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19907563) |
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Date: February 6th, 2012 12:48 AM Author: Blue Whorehouse National Security Agency No. They all have normal wear and tear standards. Some will give you a certain amount of damage that they forgive, even if it's not normal wear and tear.
You get your inspection before you return the car. The lessor gives you their repair costs. You can get them fixed by someone else if you want. |
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Date: February 6th, 2012 12:54 AM Author: Galvanic alcoholic stead goyim tyvm brother. (http://www.autoadmit.com/thread.php?thread_id=1865945&forum_id=2#19907706) |
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Date: February 6th, 2012 1:01 AM Author: Duck-like azure hall fanboi just chase the best deals.
sometimes the manufacturer is pushing the sale of a particular car and offers factory incentives. this cash is applied directly to the purchase price after you negotiate your best price from the dealer.
other times there are lease specials. key things to look for are high residual percentage and low money factor.
if you need to finance a large amount, you typically get better interest rates on new cars rather than new, just something to keep in mind.
My car had 2k factory cash (1k for some weird promotion, 1k for taking an interest rate 1% higher). Also bought a dealer demonstration vehicle, so it had a few hundred miles, but was titled as new, priced as used, and had the full factory warranty extended 5k miles because I bought a demo (which had 800 miles). Ended up closing at 5500 under MSRP and the part I financed was at 4.9% |