you lease a $12,999 car for two years. The dealer has calculated the residual value based on desccription of 10% the first year and 20% the second year.When you return the car ,the actual value of the car is $9,000,you have the option to buy the car for the residual value or buy the car some where else.which option would you choose?explain your answer please
2007-04-01 08:56:42 · 4 answers · asked by ♥I_rock_you♥ 5 in Cars & Transportation ➔ Buying & Selling
If you like the car and want to keep it, just buy it from the folks you leased from. They've calculated the residual at wholesale so they can sell it to a dealer, and if you were going to a lot to buy the same car you'd pay more.
2007-04-01 09:56:43 · answer #1 · answered by mantle two 4 · 0⤊ 0⤋
The only reason I would lease a car was if it was a very expensive car that I otherwise would not be able to afford. Why would you want to lease a car, pay for it for a number of years, and then buy it and pay for it all over again? The only people who win in the auto leasing business is the dealer and the finance company.
2007-04-01 16:03:37 · answer #2 · answered by Anonymous · 0⤊ 1⤋
If I understand you correctly, tour question is.... should you buy the car that you have just finished leasing , or give it up and buy a different one., If the present car has been good to you and you are happy with it, buy it. If it has not been good , then let it go and look for another one,
This is a bit like asking if you should hold on to a card or draw another in poker.
2007-04-01 16:16:46 · answer #3 · answered by jimanddottaylor 7 · 0⤊ 1⤋
buy the car if the residual is less than book or trade value.....turn around and sell it and make money.........or...get a different car....
2007-04-01 17:12:45 · answer #4 · answered by Anonymous · 0⤊ 0⤋