To buy a new car or lease a new car?

Question

my husband says lease , I say buy it! What do you think? Has anyone bought a car and then leased one? What is more money managable? I think you spend more leasing cause at the end, you have to return the car and get another one.

Answer 1

u spend more leasing. and the car isn't even yours. buy and you could always sell down the road!!!

It drives me nuts to see all the money wasted on car leases. In my opinion, leases are a drug for status-conscious people.

Answer 2

Depends on what you want. How many miles do you drive per yr.? How long do you plan to keep the car? Do you get a car every 2-3 yrs or run until the wheels fall off? If money is tight now would you be interested in leasing at a lesser payment and buying the car at the term end? Do you want to drive a nicer car at the same payment as if you purchased?

You don't spend more on a lease, you just don't have anything at the end of it. There are many things to consider. I have purchased and leased depending on the circumstance and both have their pros and cons. I have even purchased a vehicle at the end of a lease which actually worked out the best. I got it way below blue book just because the bank doesn't want to mess with taking it to auction.(you can negotiate the price at end of lease term)

Go with what you feel comfortable with and good luck

Answer 3

I have financed two cars in the past and this time is my first lease. Basically look at it like this. Do you drive a lot? Do you get bored of your car after 3+ years? Do you want cheaper payments? If yes then lease. If no then buy. Buying is good if you are going to take care of your car not put to many miles on it and still want and own it after the payments are complete. If your going to trade it in within a few years and get something Else then lease. Lease payments are cheaper and you get to get a new car every few years. Like i said this is my first lease and i think i will continue to lease. If you want you can always lease a car for 24 months then you decide in two years if you want to lease or buy. This way you can get a feel for leasing. PS if your going American i would suggest you lease

Answer 4

Leasing is a never ending cycle because at the end you have nothing to show for the money you spent. I have bought six cars the old fashioned way before leasing became in vogue. If I find a good car I like to keep it a while, five or six years. You can purchase the car after the lease is up but the dealerships' estimation of its value is not realistic. Most often when you drive a new car off the dealership's lot it immediately loses four to five thousand dollars in depreciation. When you purchase a car that you've previously leased they only give you five to six thousand dollars in depreciation for the two years that you drove the car. I've leased three vehicles in the past but I will never lease another. If one can not afford a car by purchasing it new they certainly can not afford to purchase one by leasing it given the never ending nature of leasing.

Answer 5

Well it really depends. You want to ask yourself how many miles a year do I drive? How much will be do at signing for the lease? Things like that. At the end of your lease if you decide to lease again you get discounts for doing so. That's something else to take into consideration. On the top side you get a new car every 2 or 3 years and never have to worry about maintenance. It really depends if you can stay under the 15,000 or how ever many miles they give to you per year.

Answer 6

It depends on what your needs/intentions for the car are. If you do not drive a ton and you like having the security of having a new car with up to date safety features and a warranty leasing is the way to go. However, if you commute an hour a day and plan on driving the car until it dies you may want to buy. In my experience, when you buy the monthly payment is higher than a lease, also as soon as the warranty runs out you start putting a ton of money into repairs. The big one for me is that I have children. I want the safest car that I can afford...a couple years ago they didn't offer side curtain airbags, now you can get them on almost any car. Who knows what they will have in three or four years that will help with safety. If you trade in your purchased car in that amount of time you will have spent more on your monthly payment and possibly be upside down on what is owed Vs. what it is worth.

Answer 7

It depends on how many miles per year you drive and alot of other factors such as. Do you like to have a new car all the time? are you purchasing your current car and have negative equity currently on trade in? Do you enjoy modifying your car and working on it yourself? If you only drive 10-15k miles per year and are pretty easy on cars, enjoying driving a new car every couple of years than leasing is a good option. If you go over your miles, your mileage overage charge is usually only 0$0.10/ per mile over the allowed miles. Also if you are financing a car right now and have neg.equity in your car you can roll that into your lease and your negative will be gone at the end of the 3-4 years that you lease the car, and you will never have the neg. equity in any car you decide to get after that! usually lease payments are lower since your only paying a certain percentage of the cars msrp value. But if you do roll negative your payment will go up but again like I said your negative is gone at the end! look into it you may like it.

Answer 8

I was looking for a new car and looked into both options, and ended up leasing. You do not have to return it at the end of your lease period, you have the option of a buyout. The interest rate on a lease is generally significantly lower (difference for mine, 0.75% for lease, 3.75% to buy). Also my payments were about $100 less on the lease, the only downside.....coming up with my $6000 buyout amount at the end of the 4 years. the other nice part is if you are looking at any other financing during this time, a lease does not count as debt, financing a purchase does.

Answer 9

Leasing provides a lower monthly payment. You are however paying for the vehicle to depreciate.

Financing, although usually more costly per month is usually a better financial move. Always check with financers other than the auto companies, because you may be missing out on a better financing rate.

The cheapest long term solution is still to buy a car outright and run it into the ground.

Most people lease because they always like to be seen in a new car.

Answer 10

well...there are pros and cons to the two systems. Leasing means you pay a smaller payment monthly. However, you never "officially" own the vehicle until the end of your term when you have the option to buy. Any modifications you make (ex- new stereo system) stays with the vehicle if you decide not to keep it. With leasing, you can do so many miles. Go over the limit, you pay.

With finacing, you have to pay a bigger payment. However, you actually own the vehicle. You can make modifications to you vehicle and take them out if you wish to. Mileage is not an issue comapred to leasing.