Leasing an X3 or buying it?

Question

Leasing it for 2 yrs with $4000 down payment + fees & taxes (an additional $1800) is around $250 a month, 10k a year. 15 cents for every additional mile.
Buying it is for $40000 which leads to a much higher monthly payments.
What do u think? Please explain. Thanks

Answer 1

Buy.
If you buy, during the life of the loan, you are covered with factory waranty. Your payments are higher, but you own the damn thing. You don't have to worry about that trip you wanna take 2 months and have to keep counting the miles and start estimating the extra cost for the extra miles. When you return the car, if there are scratches you have to pay for them.
Think about it. You are selecting a car that doesn't lose it's value as much as let's say Ford or KIA or Hyundai.

Just remember, you'll have to return the car 2 years from now and you pretty much gave the dealer $10000 (4000 down plus 250x24=6000) and this is not including and damage to the car in those 2 years and also the cost of the extra mileage.

Answer 2

Buying and leasing is always a personal decision, and will vary from person to person. We currently are purchasing one vehicle and leasing another one.
A few good things about leasing are that you have a lower monthly payment, and you will only own the vehicle while it is under warranty. We like leasing because we tend to get sick of our vehicles rather quickly. If you purchase, and in 2 years you want to trade, then you will almost definitely be in the hole, where as the lease you drop off and are done! If you lease through the same manufacturer they offer you an incentive if you lease your next vehicle through them also. If the mileage restraints are of concern to you, you can up the mileage for not that much extra a month. That is sometimes easier than paying in the end if you go over. As far as being charged for scratches, etc on your car at turn in time, they will give you a card that will show you what is acceptable and considered normal wear and tear that will not incur any extra charge on your part. Most times, if you do lease through them again, they are less likely to charge you more.
Purchasing is good if you tend to like to keep your vehicles a long time and you are not concerned with owning a vehicle after manufacturer warranty is expired.
If the payment for purchase is too much, then go with the lease! Then if you change your mind after your 2 year lease is up then you can purchase your next.
Best of luck.

Answer 3

.
I worked out the numbers as I found you question interesting but its to hard for me to explain via text, the way I read your question you will have paid way over $ 12,000 after 2 years with the fact you will be charged monthly taxes on the $ 250.

The leasing company know what they are doing as the deprecation factor on the vehicle is around $ 12,000 I double checked the figures on the X3 deprecation factor

to make a long story short stay away from a lease unless you fully understand what your getting , to many people get burned getting a lease cause they like the payments, and then gets screwed with to many miles or vehicle not being brought back in condition as per contract signed..

Answer 4

After two years, you will have nothing to show, but a pile of receipts, if you lease. If you have a business, and can charge the amount off as an expense then it may make sense to do it.

If you are a normal person, and don't have a business to charge things off on, then after two years, you will have a two year old X3 that you can put in the paper and sell. Or if you want to buy another one, then you'll have a great down payment.

Your decision, but I've always bought and kept for a number of years. good luck on the decision.