Lease or finance? | Imamother

twogees

Sun, Jan 10 2016, 12:49 am

We are looking to get a new car. What are the pros and cons to both leases and financing? Please include about down payment on both...What car would you suggest? We preferabaly want an suv type so we dont have to get a new one when we fill up a 5 passenger (currently a family of 3)

Last edited by twogees on Sun, Jan 10 2016, 10:43 am; edited 1 time in total

sunshine5

Sun, Jan 10 2016, 1:53 am

A car is not an investment. Contrary to wat pp think tat if finance then da car is yours. Wit every mile you put on ur car da value depreciates. So if u finance and u finally pay up te carafter 5 or7 years you are left wit acar dats 5yrs old and 60k miles. If you lease ten u get a new car every 3yrs wit little headache unless u banged up da car and needs major repairs. Generally a lease is lower montly payments. Unless you put monney down for finance. Putting money down for lease isn't smart cuz if c'v something happens to da car u lose that money. Bottom line is financing is only worth if u use. Little mileage since te mileage is the life of the car.
Good luck on ur new purchase. May it take u tomany good places

vicki

Sun, Jan 10 2016, 6:26 am

sunshine5 wrote:

Beg to differ (in so many ways) -
Bottom line is that leasing is only worth it if you want to constantly be driving a brand spanking new car that you will never own.

sunshine5 wrote:

So if u finance and u finally pay up te carafter 5 or7 years you are left wit acar dats 5yrs old and 60k miles.

True. As opposed to leasing, where you are left with nothing. Or better yet, a new lease paying $300 per month for the next 3 years.

The Happy Wife

Sun, Jan 10 2016, 7:48 am

sunshine5 wrote:

I agree that a car is not an investment. But cars last a lot longer than five years. So if you're left with a five year old car, you have a perfectly good car that should last many more years. Years without car payments. And then you can trade it in towards a new car when the time comes.

Amarante

Sun, Jan 10 2016, 10:40 am

With a loan, you own the car free and clear when you have paid it off.

As others have written, if you choose a reliable car, you will have a car with no payments for at least five more years. My car is going strong at 14 years with only normal maintenance stuff that cost far less than car payments and increased insurance for a new car.

During the time you are making no payments, MAKE THOSE PAYMENTS TO YOURSELF. You will then have freed yourself of car loans for the rest of your life because you can pay cash for cars for the rest of your life.

The only reason to lease a car is if the car is a legitimate business expense that is paid for by your business. You can deduct car expenses if you own a car but sometimes it's easier with a leased car.