What advantages are there to lease a car instead of buying one?

Question

I am considering purchasing a new car. Car dealers try to make leasing sound like the best thing ever to happen, but I find it hard to trust them. Can anyone with actual experience offer any input? Were you glad you leased? Did you regret leasing and if so why, etc?

Answer 1

Here's the deal: A lease is only good if (a) you're the type of person who insists on having a new car every three years or so, and (b) You put less than 15,000 miles on your car in a year. Leases have some advantages, like lower monthly payments, the fact that the car is under warranty for the full term of the lease, so the dealership will take care of anything that goes wrong as long as it wasn't your fault, and many companies that lease vehicles will also include regular maintenance. On the downside, they expect the car to be in perfect condition when you turn it in so they'll charge you for new tires, minor dents, faded upholstery, etc., and they also charge you something outrageous like 20 cents per mile if you go over the mileage limit. And don't forget that you're paying for something that you don't own and will not own at the end of the term if you lease -- if you want the car, you'll have to pay a large sum to buy it. So don't lease if you intend to drive the car a lot.

Answer 2

Well, I've done the leasing thing and really regretted it. Just like in your situation, the sales person made leasing sound perfect for me, so I opted for a 5-year lease. I know, lame! Anyway, between the restriction on miles driven and the fact that the car ended up being worth waaay less than my balance due at the end of the lease, trying to trade it in on something else was a nightmare and I knew that I didn't want to buy out my lease. I mean, really, who still would owe $$ on a car after 5 years?? I hated my car at that point for all the BS and I just wanted it gone.

If you choose a lease, do a short lease knowing full well you won't be driving more miles than allowed and that you will be prepared for get into another car in a year or two. Otherwise, if possible, simply opt for a purchase. Good luck to you!

Answer 3

It depends how long you plan to keep the car. Think of it this way. If you're going to keep the car longer than three years, maybe look into buying. But if you know in around three years or less you'll want to trade it in, then maybe leasing is good. Technically in that time period you'll never "own" the car anyhow, because you will more than likely take out a car loan, which will go for about three years anyhow. So even though you own the car, techniaclly for that entire time the bank will own it. You'll never see the title. So you can make a monthly car payment, or a monthly lease payment. Plus with leasing you'll save yourself a lot of additional fees and taxes possibly. So I would have to say, a time line should really be the deciding factor here.

Answer 4

When you lease you get lower payments also you don't have any maintenance costs except for oil changes which they may even pay for. If I bought a new car I would lease because I live in Wisconsin cars don't last more than 5-7 years without looking like crap so taking out a five year loan to buy a car so that when it is paid off it looks like crap seems like a waste of money. The only thing is people say you have equity in a car but if you have ever tried to sell your car or trade it in you never make any money on it. So I say lease away beat the crap out of it and turn it in in 3 years and have a new car to run into the ground. Just watch out for mileage.

Answer 5

The typical rule of thumb is, if you plan to keep the car less than 3 years, (and you can limit the mileage to what they require) leasing might be better. If you plan to keep the car longer than 5 years, purchasing is typically better.

In a lease, you DON'T own the car. You're only paying for the depreciation of the car. You're also signing a contract to lease a car for a specified amount of time, and it's difficult to break lease contracts. So what you are paying for is the time and mileage for the use of the vehicle.

Answer 6

there is no benefit to leasing. None. purchase the vehicle. Negotiate it right down to close to broking value, discover out what your hire money might have been, then while the purported hire term is over, sell your motor vehicle to carmax or on your own and you're making or shop 1000's. till you're interior the precise 15% of credit, you cant hire besides. I went out with a female years in the past that defined that she have been given a clean motor vehicle each 3 years and not in any respect had to tension approximately it. properly, thats style of real and style of not real. you're to blame for above usual mileage and/or placed on & tear. backside line, purchase it with the aid of your corporation adjust ego, pretend to hire it to private adjust ego, take excitement in helpful funds flow each month for 3 years and then sell the vehicle for extra effective than is owed on it.

Answer 7

unless u lease for a business its a rip..they suck u in with low per month...but you pay down payment,,,pay for years,,,pay big fee when lease is over and have no car...DON'T do it.