Leasing a BMW 328I with no money down ? good idea or not when I have ok credit ?

Answer 1

i would not agree with the other answers. leasing is not the best option. if you plan on doing it, over and over again, it is an o.k. option. just remember there is never any equity in a lease. you will have to do it again, when the lease is up. now, if you are o.k. with that then go for it, i mean, it is a BMW right!? how can you not love the car. however keep in mind you will never own it unless you buy it for the residual value at the end. which is a lot more than its going to be worth. if i were you i would check into a balloon loan, same process, with equity and just a little more monthly payment. only now you would have 5 options.
1. re-finance the residual value at the end.
2. stroke a check for the residual value and its yours.
3. trade out of it an use the equity as down payment on your next car.
4. sell the car, and keep the profit.
5. hand over the keys back to the dealer and walk away.
you cant do that with a lease, you can only, hand back the car, or get another.
dont get me wrong, you dont have to do the balloon , but if your looking for lower payments and no money down, that's a great option.
most dealers are not that creative, so shop around there are even good finance options out there that beat leasing.
good luck and i hope this helped.

Answer 2

Like everything else in life, leasing has it's pro's and con's.

Most of the people I lease cars to; do so because they like the ability to "reload" every three years with minimal expense. The average "cycle" time for americans is 3.3 years, regardless of the purchase type. Folks that purchased as opposed to leasing end up losing more due to depreciation.

The biggest drawback is the mileage limitation. Penalties can add up pretty fast at as much as .25 cents a mile if you go over the limit.

Don't let anyone kid you, unless you put a hefty amount of cash down, no one is ever in an "equitable" position when you finance a car. This brings up another advantage to leasing. You can get a smaller monthly payment with less cash down on a lease.

Now the credit thing. You will not be able to lease with "OK" credit. You'll need a fico score of 700 or better to qualify. There's no co-signers in leasing, so don't ask.

Answer 3

Leasing is always a better idea with no money down. One of the benefits of leasing is that it puts the risk of the asset on the back of the bank since they own the car. If the car is stolen or wrecked, the bank collects on gap insurance which insures the uncapitalized value of the car. If you put money down, you would lose your down payment. If you did not, you simply walk away. The total cost of the lease winds up being the same. I would just assume hold onto your money longer than give it to the bank.