Author Topic: Getting a Car: Leasing vs Buying (Read 3413 times)

Ex Coelis · « **on:** March 13, 2012, 08:16:28 AM »

for a bodybuilder living the dream, what makes the most sense?

ChevChelios · « **Reply #1 on:** March 13, 2012, 08:18:01 AM »

walking of foot,getting looks of envy from average joe's,smashing whores right and left,who needs a car...

viking1 · « **Reply #2 on:** March 13, 2012, 08:19:47 AM »

Don't lease.

Coach is Back! · « **Reply #3 on:** March 13, 2012, 08:43:12 AM »

Quote from: viking1 on March 13, 2012, 08:19:47 AM

Don't lease.

This ^^^

ob205 · « **Reply #4 on:** March 13, 2012, 08:48:10 AM »

While leasing seems attractive, it has been shown as the most expensive way to own a vehicle. I would say go with a certified pre-owned vehicle 2-3 years old and buy, especially if you can qualify for these super low interest rates offered now.

LurkerNoMore · « **Reply #5 on:** March 13, 2012, 08:50:56 AM »

Leasing and renting is the biggest piss wasters of money. Don't fall for that scam.

hrspwr · « **Reply #6 on:** March 13, 2012, 08:51:34 AM »

Buy used or bring a lubricant.

mass243 · « **Reply #7 on:** March 13, 2012, 08:57:28 AM »

Steal one

Coach is Back! · « **Reply #8 on:** March 13, 2012, 09:16:54 AM »

Explain How A Car Lease Works

QUESTION: Listener asks Dave to break down the mathematical flaws in a car lease.

ANSWER: A car fleece is basically renting a car. You pay $400 a month and at the end of the new car lease, you turn it back in. If you want to buy it, you are buying it for what they estimate at the beginning of the fleece to be the market value. At the end of the lease, it’s called the residual value. If you pay $400 a month for 60 months, you pay $24,000 before turning it in. The car will not have gone down in value more than that, because the car companies would lose money if it did. When they get the car back, you will have paid them more than the car has depreciated during that time.

During that time, you’re maintaining the car as if you owned it. You’ll get charged for excessive wear and tear, or if you put too many miles on it. If you rent it for $24,000 and it went down $15,000 in value, then it cost me $9,000 to rent this car for this period of time. That is their profit during that time.

Another thing is that the interest rates on a vehicle lease are not disclosed because the Federal Trade Commission has determined that this is not a debt, so there is no federal disclosure involved. Therefore, you have no truth in lending disclosure sheet. The interest rates you get charged are unbelievably high. That’s where you’ll realize you got screwed over.

People get sold automobile leases because they are told that it’s what sophisticated people do. But as it turns out, the car companies make more money on leasing you the car than if you bought the car with cash, according to the National Auto Dealers Association. Broke people think ‘how much down and how much a month’. Rich people think ‘how much’. If you can’t pay cash for a car, then ride a bicycle. But don’t lease a car.

Also listen to the audio at the bottom of the link. This guys program helped me get out of debt when I WAS in debt. I'd swear by this guy.

http://www.daveramsey.com/index.cfm?event=askdave/&intContentItemId=10367

reppingfor20 · « **Reply #9 on:** March 13, 2012, 10:13:27 AM »

Lease a car, never pay the the first months payment and keep it hidden so they can't tow it, free car.

Butterbean · « **Reply #10 on:** March 13, 2012, 10:18:03 AM »

Quote from: Butterbean on March 07, 2011, 08:18:00 AM

My advice is don't lease a car.

Unless you normally trade in your car for a new one every 3 years.
Unless you take immaculate care of your cars.
Unless you drive many less miles than the dealership allows.
Unless you want to make a down payment, then monthly payments, and never own the vehicle.
Unless you want the dealership to offer you to buy their car that you never owned for a (probably) inflated price for the value at the end of your lease.
Unless you want to worry about being penalized for driving too many miles and/or not keeping the car in pristine condition.

BayGBM · « **Reply #11 on:** March 13, 2012, 12:28:34 PM »

Leasing only makes sense if you can write off the entire cost of as a business expense, if your employer provides you with a monthly/annual car allowance, or if your company is specifically leasing the car for you. Otherwise you should buy. If you want to buy a "nicer" car than you could otherwise afford (which is the reason many people lease) then buy a slightly used version of that car.

Bevo · « **Reply #12 on:** March 13, 2012, 12:38:16 PM »

Quote from: reppingfor20 on March 13, 2012, 10:13:27 AM

Lease a car, never pay the the first months payment and keep it hidden so they can't tow it, free car.

Nails · « **Reply #13 on:** March 13, 2012, 12:41:56 PM »

Never understood the need to buy a NEW CAR and marry a used multiple owner wife ....

buy a used car, and buy a semi used wife

FTW

Coach is Back! · « **Reply #14 on:** March 13, 2012, 01:10:55 PM »

Quote from: BayGBM on March 13, 2012, 12:28:34 PM

Leasing only makes sense if you can write off the entire cost of as a business expense, if your employer provides you with a monthly/annual car allowance, or if your company is specifically leasing the car for you. Otherwise you should buy. If you want to buy a "nicer" car than you could otherwise afford (which is the reason many people lease) then buy a slightly used version of that car.

No it doesn't, not even for a business. You can do the same thing if you own the vehicle by way of a straight-line depreciation.

Agnostic007 · « **Reply #15 on:** March 13, 2012, 01:15:12 PM »

Quote from: Ex Coelis on March 13, 2012, 08:16:28 AM

for a bodybuilder living the dream, what makes the most sense?

Folks missed the "bodybuilder living the dream" part. For normal humans, buying a slightly used car makes a lot more financial sense than buying new or leased. BUT for you... pay cash

Ursus · « **Reply #16 on:** March 13, 2012, 01:16:43 PM »

Buy a used car is my advice

wild willie · « **Reply #17 on:** March 13, 2012, 01:18:37 PM »

Lease the car.....Save yourself from a headache.

oldtimer1 · « **Reply #18 on:** March 13, 2012, 01:47:43 PM »

Leasing is a fancy word for renting a car. Not to state the obvious but you don't own it no matter how much you show off "your" car.

If you look long term, the amount of money spent on leasing it is a waste. Consider if you lease 3 or 4 cars in the space of 9 to 12 years and add up that money. It an incredible waste of money. A decent car will give you 10 years of relatively trouble free driving.

Try to return a leased car and not lease another from the dealer. He will nit pick every ding and nick and run up a nice parting bill. He will tell you if you lease another car he will tear up the damage bill for the car you are turning in. Forget about the bill for going over your miles.

IrishMuscle84 · « **Reply #19 on:** March 13, 2012, 01:54:35 PM »

My oldest brother just leased a toyota prius...........hey, cant go wrong with 51 mpg, i think it is.

Agnostic007 · « **Reply #20 on:** March 13, 2012, 01:55:28 PM »

Quote from: oldtimer1 on March 13, 2012, 01:47:43 PM

Leasing is a fancy word for renting a car. Not to state the obvious but you don't own it no matter how much you show off "your" car.

If you look long term, the amount of money spent on leasing it is a waste. Consider if you lease 3 or 4 cars in the space of 9 to 12 years and add up that money. It an incredible waste of money. A decent car will give you 10 years of relatively trouble free driving.

Try to return a leased car and not lease another from the dealer. He will nit pick every ding and nick and run up a nice parting bill. He will tell you if you lease another car he will tear up the damage bill for the car you are turning in. Forget about the bill for going over your miles.

That is probably more often true than not. But back in 98 I leased a Mercedez SUV for business purposes and we used the hell out of it. It had scratches, door dings, carpets had seen better days etc. I was expecting to get hosed but it was a painless turn in with no hiddn or extra charges. We ended up buying a Lexus so they weren't getting us on that end.

Nails · « **Reply #21 on:** March 13, 2012, 01:58:38 PM »

Quote from: IrishMuscle84 on March 13, 2012, 01:54:35 PM

My oldest brother just leased a toyota prius...........hey, cant go wrong with 51 mpg, i think it is.

what a f a g g o t .... he must drive from coast to coast every day to feel the need to drive that piece of shit

Obvious Gimmick · « **Reply #22 on:** March 13, 2012, 02:24:46 PM »

ive leased before and liked it. what everyone is saying is true as far as it being similar to renting, but with good credit, you can get a nice car cheap. no down payment, etc.

in 2 or 3 years do it all over again. no need to worry about depreciation, major mechanical repair etc.

MikMaq · « **Reply #23 on:** March 13, 2012, 02:55:39 PM »

Aside from a status symbols, do you actually value your cars. I love driving, but have no need for one, even if were you work is expensive to live in your better off buying property, instead of a future rust bucket.

IrishMuscle84 · « **Reply #24 on:** March 13, 2012, 05:35:14 PM »

Quote from: Nails on March 13, 2012, 01:58:38 PM

what a f a g g o t .... he must drive from coast to coast every day to feel the need to drive that piece of shit

With the way gas prices are nowadays.....please. He got it because gas is too much for his 08 escalade he also has.

Author Topic: Getting a Car: Leasing vs Buying (Read 3413 times)

MikMaq