who leases?..
11-26-2007, 06:44 PM
#52
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lease vs buy. Have the sales person document the payments side-by-side. Take the emotions out of the equation. When you see facts written out in detail, you can determine the best option for you. Typically leasing benefits company owners and dealerships. If you can write-off you lease and obtain a tax break, then leasing may be the right option for you. If you are not convinced am S2K is the right vehicle for you, then buy a used one. you will not loose much on a resale if you don't like it. Find out how much you will be paying for the S2K over the life of the lease. I'll bet you will pay more for the lease. If you want to drive a new vehicle every 3-4 years, buy a lease return every 3-4 years. The depreciation for vehicle from 0-3 years is huge vs the depreciation from 3-6 years.
Buy used, get it professionally detailed and add some accessories. This will keep you smiling and you'll have some money in your pocket if you need non-warranty repairs.
Also, not previously mentioned, insurance is significantly less expensive.
Buy used, get it professionally detailed and add some accessories. This will keep you smiling and you'll have some money in your pocket if you need non-warranty repairs.
Also, not previously mentioned, insurance is significantly less expensive.
11-27-2007, 11:19 AM
#53
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thanks to you all for your opinions, factoral or made up, what matters is we are having this discussion. i own my own business and have never leased and change cars every 3-5 years...till now, i just love my honda so much I still have it after 4 years! now what to get to replace it with something that would be fun and well...leased? not a new one. a bmw? a boxster? who knows...no problemo as i have choices...
leasing has tax advantages we have not spoken of...you can deduct the cost of maintenance and lease payments just as if you leased a photocopier, which means that even if all you can deduct after all the IRS calculations is 25% of cost, that means on a lease costing $20,000 that's 5,000 off the cost of the car if you intend to buy it at lease end.
i have a cousin who could do the same, wanted an XKE,leased it for 5 years at 15,000miles a year, heavy payments, but in the end he bought it, still has it...and was able to write off a significant amount of that cost due to the lease. if he paid $700 a month over 5 years that was a total of 42,000 in lease payments, tax deductible at say 90% times his high brackets of 36%=13,600 off the cost of the car.
I have a car i write off, the irs only allows so much for miles or depreciation, it will take over 7 years to fully depreciate the car, the tax breaks are worse for purchase in that case...i buy due to the choices buying gives me, new or used , sell when i want, etc...
i may consider a lease next time, till then i have a job cut out for me finding a car i would rather own at this time than a 4 year old honda S2000.
leasing has tax advantages we have not spoken of...you can deduct the cost of maintenance and lease payments just as if you leased a photocopier, which means that even if all you can deduct after all the IRS calculations is 25% of cost, that means on a lease costing $20,000 that's 5,000 off the cost of the car if you intend to buy it at lease end.
i have a cousin who could do the same, wanted an XKE,leased it for 5 years at 15,000miles a year, heavy payments, but in the end he bought it, still has it...and was able to write off a significant amount of that cost due to the lease. if he paid $700 a month over 5 years that was a total of 42,000 in lease payments, tax deductible at say 90% times his high brackets of 36%=13,600 off the cost of the car.
I have a car i write off, the irs only allows so much for miles or depreciation, it will take over 7 years to fully depreciate the car, the tax breaks are worse for purchase in that case...i buy due to the choices buying gives me, new or used , sell when i want, etc...
i may consider a lease next time, till then i have a job cut out for me finding a car i would rather own at this time than a 4 year old honda S2000.
11-27-2007, 04:12 PM
#54
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0 down.. 388 per month 12k miles per year.. " i only have 13k" after 2years.. the 388 includes wv sales tax
lease is up in august 09 and i plan to just turn it in..
hope they don't ding me for little dings and normal wear..
i have heard stories.
love the car..
forgot to add:
this is my company car.. i can write it off.. that is the only reason for the lease.. all the other cars are paid off
i don't rellly think leasing is good for an individual.. actually.. it is not good for anyone..
i just needed some expense items and i like the car..
i think i am going for a bmw z4 coupe next time
lease is up in august 09 and i plan to just turn it in..
hope they don't ding me for little dings and normal wear..
i have heard stories.
love the car..
forgot to add:
this is my company car.. i can write it off.. that is the only reason for the lease.. all the other cars are paid off
i don't rellly think leasing is good for an individual.. actually.. it is not good for anyone..
i just needed some expense items and i like the car..
i think i am going for a bmw z4 coupe next time
11-27-2007, 04:17 PM
#55
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Originally Posted by asiantrick,Oct 18 2007, 02:51 PM
1. Leasing allows you to drive "more" car at a lower monthly cost. In some cases, quality cars (BMW, Mercedes, Honda) can be leased for lower monthly payments than cheaper cars which quickly lose their value.
2. Leasing provides a tax break for those that use their cars for business. This is important since interest on car loans is no longer tax deductible.
3. Leasing increases flexibility. There is no trade-in at the end of the lease term. And the leased car can be purchased at a predetermined price at the end of the lease.
4. Leasing makes car shopping easier. Most of the shopping can be done over the phone by getting competitive rates from independent leasing companies and banks.
5. Most people think that everytime they buy a new car, it's gonna be their last one. But it's not true. You will always tend to want to get a new car after 3-4 years when the new models come out.
2. Leasing provides a tax break for those that use their cars for business. This is important since interest on car loans is no longer tax deductible.
3. Leasing increases flexibility. There is no trade-in at the end of the lease term. And the leased car can be purchased at a predetermined price at the end of the lease.
4. Leasing makes car shopping easier. Most of the shopping can be done over the phone by getting competitive rates from independent leasing companies and banks.
5. Most people think that everytime they buy a new car, it's gonna be their last one. But it's not true. You will always tend to want to get a new car after 3-4 years when the new models come out.
I have never kept a car more than 3 years. Everytime I "bought" a car, I always told myself I will keep it forever. The problem was I don't and then I get hit hard when I tried to sell.
If you lease, you can always buy the car back to continue at the same price you would of paid if you were to finance. Leasing just give you more flexibility when it's time to make an decision. Of coarse, you must get a good lease deal and don't lose out to the complicated leasing factors. Do your home work and it's should be a win win situation.
Steve - Evolution
703-961-9090
11-27-2007, 05:01 PM
#56
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The key to a lease is having the money for the buy out when it comes so you don't have to borrow the buyout amount, keep the mileage under the limit and take care of the car and certain leases are almostlike intrest free financing(the ones by american honda finance). And don't forget it's not out of the question to negotiate the buyout amount.
11-28-2007, 09:30 AM
#57
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'05, $355/m, $0 out of pocket, 36 months thru AHFC.
Money factor at the time was 1.6% at the time I think.
Why take money out of an investment that is earning a higher interest rate at the time to buy a car? That doesn't make much sense.
Car has 7K miles now, I may buy it at the end of the lease and keep it or sell it depending on the market and make a few bucks and see what other deals are out there when this lease is up. Leasing makes sense for some of us, but the entire deal needs to be evaluated for every deal.
Money factor at the time was 1.6% at the time I think.
Why take money out of an investment that is earning a higher interest rate at the time to buy a car? That doesn't make much sense.
Car has 7K miles now, I may buy it at the end of the lease and keep it or sell it depending on the market and make a few bucks and see what other deals are out there when this lease is up. Leasing makes sense for some of us, but the entire deal needs to be evaluated for every deal.
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