Colin

Harrumph, I just want out of this conversation.

PilotKD

I can't really see a point into laying so much money into something that depreciates just to say, "I own it.". It's not like there is even a chance of appreciating unless you don't drive it and keep it covered up in your garage for 20 years.

Even if you finance, to profit at the end of your term by selling privately is not an easy thing to do, especially if you actually drive the car and put a good amount of mileage on it and if you don't, you're crazy for spending $500 a month on a vehicle you're not using. Even if you walked in and payed cash for the car, you're upside down as soon as you drive it off the lot. I could make more profit off putting $20,000 into a CD for 5 years than I could throwing it into a vehicle and trying to get it back when I decide to sell it. Rent a $33,000 car for the price of a $20,000 car, drive it like you stole it (under warranty) and give it back without the hassles of selling it privately or getting reamed off a trade in.

flatOVERcrest

AMEN

Poindexter

Yeah, I'm done too.

jasonw

[QUOTE=PilotKD,Jul 2 2005, 08:40 PM] I can't really see a point into laying so much money into something that depreciates just to say, "I own it.".

RainMeister

The $299/month lease deal drew me into the showroom, but after I did the math, I decided to pay cash. Why? Well, I intend to keep the car beyond 3 years. In fact, I keep all of my cars for 7-10 years. Leasing for 3, and then buying at term end, would have cost me more. As others have said, whether to buy or lease depends on the individual circumstances and personal values. However, if your primary objective is to save money, then it only makes sense to buy and keep your new car as long as you can. Replacing a new car every 3 years means that you are in essence paying for the highest percentage of the car's depreciation every time. That's why some folks will only buy off-lease cars; i.e., having someone else take the depreciation hit. I like mine new, so I tend to keep for the long haul. It also means I have enough time to save for my next car, and pay cash.

flatOVERcrest

Good point Reinmeister..
It's very individual decision. Beside the business reasons that make me lease my cars, I change the oil every 7000 miles, wash them every two months, never do maintenance in the 36 months lease period and park them on curbes occasionally. That's ALSO why I lease.

I don't/can't love my cars, I just like to use/drive them.

PilotKD

Let me know when you turn yours back in so I know where NOT to buy a used S2000 if I decide to do so.

One of the big factors why I leased was because I was saving for a honeymoon, my previous car, which I had already had for 4 years was $450 a month (finance) with 1 year left and I was itching for a new car. I really liked the S2000, but when I bought a Miata in 1999, I could not afford one as they were marked up $10,000. I decided to sell the Miata in 2004, which pretty much gave me payoff plus about $3,000 (not even my downpayment, which is a good example of being upside down). I put a bit down on the S2000 lease, banked the rest and wound up being able to pay $100 less a month for a brand new car. So, that was my situation, as I was trying to put as much spare cash as possible into savings for a wedding/honeymoon, which ended up working well. Will a lease again? Not sure. My wife just financed an MDX and dropped $20,000 into it. It's still going to be $250 a month for 5 years with 2.9% interest. I figured though, with it being an SUV and an Acura, it should retain above average resale. But, that was her money and that's what she wanted to do with it. I don't know if I could bring myself to do the same.