Lease decision
03-23-2011, 11:23 AM
#16
NEVER, NEVER lease a car.
If you believe that you shouldn't buy a depreciating asset, then we all should rent our clothes, shoes, silverware, sheets, towels, television sets right?
The same people who praise leasing would probably chastise low-income people who patronize rent-to-own stores.
Renting a car long-term -- as in leasing -- is a bad financial move for 99.9 percent of the people who do it. The only exception may be if you can write the lease off on your taxes.
Yes, you can get into a lease for a monthly payment that may be less than the monthly loan payment for the same car. And yes, if you are going to trade in your car every three or four years, leasing may seem like a better deal.
But I challenge the financial common sense of trading a car in every three or four years. Leasing is basically renting a car you can't afford to buy. Doesn't that tell you something?
If it doesn't –- because you're stubborn -- it should tell you that you are living beyond your means.
Before you lease, may I suggest you read "The Millionaire Next Door" by Thomas J. Stanley and William D. Danko. Those researchers found that the average millionaire doesn't lease and keeps his vehicle until it's pushed off the road.
If you believe that you shouldn't buy a depreciating asset, then we all should rent our clothes, shoes, silverware, sheets, towels, television sets right?
The same people who praise leasing would probably chastise low-income people who patronize rent-to-own stores.
Renting a car long-term -- as in leasing -- is a bad financial move for 99.9 percent of the people who do it. The only exception may be if you can write the lease off on your taxes.
Yes, you can get into a lease for a monthly payment that may be less than the monthly loan payment for the same car. And yes, if you are going to trade in your car every three or four years, leasing may seem like a better deal.
But I challenge the financial common sense of trading a car in every three or four years. Leasing is basically renting a car you can't afford to buy. Doesn't that tell you something?
If it doesn't –- because you're stubborn -- it should tell you that you are living beyond your means.
Before you lease, may I suggest you read "The Millionaire Next Door" by Thomas J. Stanley and William D. Danko. Those researchers found that the average millionaire doesn't lease and keeps his vehicle until it's pushed off the road.
1. I wish I could rent clothes, especially when I was a child. I grow out of them, I give them back instead of throwing them away. This saves money.
2. Leasing a car is not the same as going to say Rent-A-Center and renting a TV. The car costs significally more and not everyone has the funds.
2. It's not a bad move, and it is even better if you can write it off.
3. Yes, your monthly loan payment can be close to the lease payment, when you finance for 5 or 6 years!!!!! As opposed to 2 or 3 with a lease.
4. Some people like to change their cars like gloves. Some don't want to hassle with selling the car afterwards. Many people can afford to buy the same car, but don't want to shell out a large amount of money in one lump sum due to other obligations in their life and prefer to pay slowly little by little instead. Many just feel more at ease knowing that the car isn't really theirs when it slowly gets sctatched, dinged and abused.
5. Many are living beyond their means, many aren't but are just living in the now.
6. Never read it. Since you have, I hope that you're a millionaire by now.
And yes, I see Millionaires on the side of the road with their 30 year old Pontiacs all the time.
03-23-2011, 11:30 AM
#17
Registered User
NEVER, NEVER lease a car.
If you believe that you shouldn't buy a depreciating asset, then we all should rent our clothes, shoes, silverware, sheets, towels, television sets right?
The same people who praise leasing would probably chastise low-income people who patronize rent-to-own stores.
Renting a car long-term -- as in leasing -- is a bad financial move for 99.9 percent of the people who do it. The only exception may be if you can write the lease off on your taxes.
Yes, you can get into a lease for a monthly payment that may be less than the monthly loan payment for the same car. And yes, if you are going to trade in your car every three or four years, leasing may seem like a better deal.
But I challenge the financial common sense of trading a car in every three or four years. Leasing is basically renting a car you can't afford to buy. Doesn't that tell you something?
If it doesn't –- because you're stubborn -- it should tell you that you are living beyond your means.
If you believe that you shouldn't buy a depreciating asset, then we all should rent our clothes, shoes, silverware, sheets, towels, television sets right?
The same people who praise leasing would probably chastise low-income people who patronize rent-to-own stores.
Renting a car long-term -- as in leasing -- is a bad financial move for 99.9 percent of the people who do it. The only exception may be if you can write the lease off on your taxes.
Yes, you can get into a lease for a monthly payment that may be less than the monthly loan payment for the same car. And yes, if you are going to trade in your car every three or four years, leasing may seem like a better deal.
But I challenge the financial common sense of trading a car in every three or four years. Leasing is basically renting a car you can't afford to buy. Doesn't that tell you something?
If it doesn't –- because you're stubborn -- it should tell you that you are living beyond your means.
in some cases you end up paying about as much as you would have if you had owned the car for 3 years and sold it. However there are some benefits to leasing, most importantly being the value of the car after XX time period. one accident can significantly drop the value of the car. Secondly theres also the market....in some cases you might end up selling the car for much less than what its worth, or what you wanted.
i am going to agree on the fact that leasing isnt exactly a financially wise decision, owning a car, buying it out and running it for as long as it lives is the smartest thing. but then again buying a G when you can easily buy an Accord isnt the smartest thing either.
it all depends on what you can afford. Ive leased all my cars, never had an issue, never impacted my quality of life. I cannot say the same for people who are trying to get out of their lease due to payments, but thats their own fault for not having proper finances, not the fault of leasing
03-23-2011, 11:33 AM
#18
Registered User
One of the strangest posts I've read in a while. Have you by any chance been on the Charlie Sheen diet?
6. Never read it. Since you have, I hope that you're a millionaire by now.
And yes, I see Millionaires on the side of the road with their 30 year old Pontiacs all the time.
6. Never read it. Since you have, I hope that you're a millionaire by now.
And yes, I see Millionaires on the side of the road with their 30 year old Pontiacs all the time.
03-23-2011, 02:06 PM
#20
Registered User
Join Date: May 2009
Posts: 389
Likes: 0
Received 0 Likes
on
0 Posts
Leasing vs Buying
I have to agree with the guy who said there are lots of millionaires out there driving their fully paid up Pontiac Aztecs, LOL.
In my case, I will never buy a car, leasing works out cheaper since I like to change my cars every 3 years. As long as you are saving some of your money and your kids go to good schools, and no credit card debt do as you please.
I have to agree with the guy who said there are lots of millionaires out there driving their fully paid up Pontiac Aztecs, LOL.
In my case, I will never buy a car, leasing works out cheaper since I like to change my cars every 3 years. As long as you are saving some of your money and your kids go to good schools, and no credit card debt do as you please.
Last edited by 328HP; 03-23-2011 at 02:13 PM.
03-23-2011, 02:30 PM
#21
Registered User
Join Date: Jan 2011
Location: San Jose, CA
Posts: 368
Likes: 0
Received 0 Likes
on
0 Posts
This 2011 was my first lease and while I don't regret, I probably won't do it again. That's only because I think I like having cars more long term.
Honestly though, if you really like having new cars, there's nothing wrong with leasing. Some people put a priority on hoarding money, and that's fine. But you know what? Some people like to enjoy the finer things in life. Whether that be cars, clothes, or whatever. You may be called materialistic, but I think as long as you are well grounded, there is nothing wrong with it.
Honestly though, if you really like having new cars, there's nothing wrong with leasing. Some people put a priority on hoarding money, and that's fine. But you know what? Some people like to enjoy the finer things in life. Whether that be cars, clothes, or whatever. You may be called materialistic, but I think as long as you are well grounded, there is nothing wrong with it.
03-23-2011, 02:36 PM
#22
Leasing vs Buying
I have to agree with the guy who said there are lots of millionaires out there driving their fully paid up Pontiac Aztecs, LOL.
In my case, I will never buy a car, leasing works out cheaper since I like to change my cars every 3 years. As long as you are saving some of your money and your kids go to good schools, and no credit card debt do as you please.
I have to agree with the guy who said there are lots of millionaires out there driving their fully paid up Pontiac Aztecs, LOL.
In my case, I will never buy a car, leasing works out cheaper since I like to change my cars every 3 years. As long as you are saving some of your money and your kids go to good schools, and no credit card debt do as you please.
This 2011 was my first lease and while I don't regret, I probably won't do it again. That's only because I think I like having cars more long term.
Honestly though, if you really like having new cars, there's nothing wrong with leasing. Some people put a priority on hoarding money, and that's fine. But you know what? Some people like to enjoy the finer things in life. Whether that be cars, clothes, or whatever. You may be called materialistic, but I think as long as you are well grounded, there is nothing wrong with it.
Honestly though, if you really like having new cars, there's nothing wrong with leasing. Some people put a priority on hoarding money, and that's fine. But you know what? Some people like to enjoy the finer things in life. Whether that be cars, clothes, or whatever. You may be called materialistic, but I think as long as you are well grounded, there is nothing wrong with it.
Personally, I don't get the point of being a millionaire if you're living an austere life style. I'd rather live a comfortable life style and be a "half millionaire" than live like a miser just to say I have a million dollars.
It's all about being smart with your money. Even austere living doesn't guarantee anything. The problem with that book is that they only look at success stores during one of the greatest bull markets ever. They don't look at people who did all the "right things" yet still lost their money so they have a pretty stong success bias. That's not to say they're giving bad advice just that you can't take it as a guarantee for success.
03-23-2011, 03:04 PM
#23
Registered User
Join Date: Jan 2011
Location: San Jose, CA
Posts: 368
Likes: 0
Received 0 Likes
on
0 Posts
+1
Personally, I don't get the point of being a millionaire if you're living an austere life style. I'd rather live a comfortable life style and be a "half millionaire" than live like a miser just to say I have a million dollars.
It's all about being smart with your money. Even austere living doesn't guarantee anything. The problem with that book is that they only look at success stores during one of the greatest bull markets ever. They don't look at people who did all the "right things" yet still lost their money so they have a pretty stong success bias. That's not to say they're giving bad advice just that you can't take it as a guarantee for success.
Personally, I don't get the point of being a millionaire if you're living an austere life style. I'd rather live a comfortable life style and be a "half millionaire" than live like a miser just to say I have a million dollars.
It's all about being smart with your money. Even austere living doesn't guarantee anything. The problem with that book is that they only look at success stores during one of the greatest bull markets ever. They don't look at people who did all the "right things" yet still lost their money so they have a pretty stong success bias. That's not to say they're giving bad advice just that you can't take it as a guarantee for success.
03-23-2011, 03:48 PM
#24
Registered User
Thread Starter
Join Date: Mar 2011
Posts: 17
Likes: 0
Received 0 Likes
on
0 Posts
I got the dealership up north to bring the MSRP down a bit more. I'll just have both dealerships bid until I have the lowest price.
I am done owning cars. If you buy used and own for 10 years with little maintenance, fine. I enjoy a brand new car every few years and not worrying about car problems is worth a few extra dollars. Its all about what you value.
I am done owning cars. If you buy used and own for 10 years with little maintenance, fine. I enjoy a brand new car every few years and not worrying about car problems is worth a few extra dollars. Its all about what you value.
03-23-2011, 03:57 PM
#25
Registered User
Thread Starter
Join Date: Mar 2011
Posts: 17
Likes: 0
Received 0 Likes
on
0 Posts
The consensus seems that I'd be paying too much, so will any lessees share how much off MSRP they got on their 2011 g37x lease and their monthly payment? By all accounts you can get more off MSRP when buying so you can't really compare it to the sales price on a lease.
03-23-2011, 04:05 PM
#26
Registered User
Join Date: Jan 2011
Location: San Jose, CA
Posts: 368
Likes: 0
Received 0 Likes
on
0 Posts
Got my 6MT (msrp around $41k) at $36,500 which is OK (not super, but not bad) + TAX. So my payments are $390 but I put about $2500 down in addition to the $1000 loyalty bonus I got.
03-23-2011, 04:22 PM
#27
Registered User
Thread Starter
Join Date: Mar 2011
Posts: 17
Likes: 0
Received 0 Likes
on
0 Posts
03-23-2011, 09:05 PM
#28
There are only three constants I find in any car forum I frequent:
1. Everyone except me paid cash for the car;
2. Those that don't pay cash finance less than $5,000 for 12 months at 0% and drive the car until the wheels fall off; and
3. Those that don't fit into 1 or 2 did a $0 down lease with an amazing deal, and write off the entire value of the lease on their taxes.
I guess I'm the only one that leases because I like a new car every few years, and come out ahead v. financing and trading. It has nothing to do with affordability, sense of ownership, or any other voodoo. Anyone that is a year or two into a five year purchase contract and thinks they "own" the car is sadly mistaken. Of course, four and five year financing is for those "other" people not on internet forums...
1. Everyone except me paid cash for the car;
2. Those that don't pay cash finance less than $5,000 for 12 months at 0% and drive the car until the wheels fall off; and
3. Those that don't fit into 1 or 2 did a $0 down lease with an amazing deal, and write off the entire value of the lease on their taxes.
I guess I'm the only one that leases because I like a new car every few years, and come out ahead v. financing and trading. It has nothing to do with affordability, sense of ownership, or any other voodoo. Anyone that is a year or two into a five year purchase contract and thinks they "own" the car is sadly mistaken. Of course, four and five year financing is for those "other" people not on internet forums...
Last edited by 15951; 03-23-2011 at 09:11 PM.
03-23-2011, 09:33 PM
#29
Registered User
Join Date: Jan 2011
Location: San Jose, CA
Posts: 368
Likes: 0
Received 0 Likes
on
0 Posts
03-23-2011, 11:09 PM
#30
Registered User
Thread Starter
Join Date: Mar 2011
Posts: 17
Likes: 0
Received 0 Likes
on
0 Posts
Well after all that it turns out my sales guy wasn't honest about the March 3 month pull ahead to get out of leases early when I have 4 months left. At least I got the payment down to under $500 a month. Based on others' experiences on here I got decent offers.