Leasing VS Buying

[Anonymous]

Anonymous wrote:It's not easy finding a good used car. The problem is, the better cars do not depreciate that much. If a new SUV is $45K and a used one is $39K but the vehicle's life span has been cut by two years, what are you really saving?

No such thing as something for nothing.

I agree with this. The cost of a used car is too high considering someone has driven the best years of its life and now the car is older and closer to needing repairs. I'd understand buying a used car if it cost 50 percent less, but it doesn't. Buying a used car just means you need to buy another car 2-4 years sooner than if you'd purchased a new car to begin with.

[Anonymous]

Anonymous wrote:We are also debating leasing vs buying. We own our car outright and the dealership said we should expect 2-3k a year in repair costs.

We could lease a new 3 series for 3k down and 300 a month. So for around 1,500 more a year we could drive a new car and not face any repairs or maintenance costs.

I understand how some think buying is better financially but at the end of the day it seems both options suck. When you buy you're investing in a depreciating object. You face repairs on a car, especially the older it is. When you lease you're just renting a car but avoiding the maintenance costs.

I'm at a loss as to what to do.

Welcome any thoughts on what we should do. We absolutely need a new car in one year with a new baby.

[Anonymous]

paid $20 k for certified SUV...2 years old....100k mile warranty

[Anonymous]

Anonymous wrote:paid $20 k for certified SUV...2 years old....100k mile warranty

Where?

[Anonymous]

There are many certified good deals out there. You just have to search and listen to broke people giving advice on car. Had my previous car for 16 years. many years of regular maintenance a few years here and there more expensive repairs. So that was 12 years of no car payments and a few occasions of repairs...I take that over a monthly car payment anytime.

[Anonymous]

Anonymous wrote:There are many certified good deals out there. You just have to search and not listen to broke people giving advice on car. Had my previous car for 16 years. many years of regular maintenance a few years here and there more expensive repairs. So that was 12 years of no car payments and a few occasions of repairs...I take that over a monthly car payment anytime.

[Anonymous]

I lease a 2015 Jeep Cherokee Limited. My payment is $350/month and I'm very happy with the car. I pretty much just drive it locally so the annual mileage restriction isn't an issue for me.

I really like leasing. I bought my previous SUV used and was very disappointed in how quickly it fell down the repair rabbit hole.

For me, leasing is a good option because I like driving a newer car, don't want to deal with repairs and don't drive more than $10k miles per year. I just get it detailed before I turn it in.

[Anonymous]

Anonymous wrote:

Anonymous wrote:paid $20 k for certified SUV...2 years old....100k mile warranty

Where?

We got a certified 2013 Honda CRV EX-L AWD w/ Nav in March 2015 (so driven 3 years before we bought it) for $20K. Financed through Maryland State Employees Credit Union for 1.9% and our monthly payment is around $300/month for 5 years. Planning to drive it at least 3 years after we're done paying it off.

I'd want a bigger car if I had more than 1 kid, though.

[Anonymous]

Anonymous wrote:We are also debating leasing vs buying. We own our car outright and the dealership said we should expect 2-3k a year in repair costs.

We could lease a new 3 series for 3k down and 300 a month. So for around 1,500 more a year we could drive a new car and not face any repairs or maintenance costs.

I understand how some think buying is better financially but at the end of the day it seems both options suck. When you buy you're investing in a depreciating object. You face repairs on a car, especially the older it is. When you lease you're just renting a car but avoiding the maintenance costs.

I'm at a loss as to what to do.

What year is your Ferrari? Seriously, what normal car has 2-3k a year in expenses, that dealer is fleecing you. I have an older BMW and even that doesn't go past $1200 a year on its worst years.

[Anonymous]

To answer OPs question, check out a 2015 Toyota Highlander. It's got a 3rd row and 2-3 years old is nothing on these cars. You should be able to get 200k miles with minimal maintenance. Here is an example below:

https://www.cargurus.com/Cars/l-Used-2015-Toyota-Highlander-c24608#listing=148008186_isFeatured

[Anonymous]

Anonymous wrote:

Anonymous wrote:Leasing a car is a huge risk. I had a leased car (business paid the lease) and was caught in a hailstorm -- they wouldn't take the car back because of the damage.

And you will have to put down several thousand dollars at signing -- read the fine print on those TV ads.

Buy a used SUV from Carmax, finance it if you have to. Drive it into the ground.

Duh! You should have claimed this damage under your car insurance or home owners. It's the same thing as getting in a wreck.

Right, because there's never any cost associated with reporting a $23,000 claim on your personal insurance.

[Anonymous]

Anonymous wrote:Honestly, if you get a very reasonably priced vehicle, I don't think it matters all that much. Lease = constant monthly payments but probably no repairs and a new vehicle every two years. Buying = depleting a significant amount of savings plus lots of repairs after the first few years for a rapidly depreciating asset. Long term, buying is usually cheaper, especially if you buy a newer used vehicle. But, when I ran the numbers in my own case, if I had done a lease that was 200-300/month, I would be spending almost exactly the same amount of money.

Yup, basically. But most leases are for 3 years.

[Anonymous]

Anonymous wrote:Leasing a car is a huge risk. I had a leased car (business paid the lease) and was caught in a hailstorm -- they wouldn't take the car back because of the damage.

And you will have to put down several thousand dollars at signing -- read the fine print on those TV ads.

Buy a used SUV from Carmax, finance it if you have to. Drive it into the ground.

Sometimes, I really can't believe the dumb shit I read on DCUM.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Leasing a car is a huge risk. I had a leased car (business paid the lease) and was caught in a hailstorm -- they wouldn't take the car back because of the damage.

And you will have to put down several thousand dollars at signing -- read the fine print on those TV ads.

Buy a used SUV from Carmax, finance it if you have to. Drive it into the ground.

Duh! You should have claimed this damage under your car insurance or home owners. It's the same thing as getting in a wreck.

Right, because there's never any cost associated with reporting a $23,000 claim on your personal insurance.

Are you serious? You had $23k worth of damage on your car from a hailstorm?

[Anonymous]

Anonymous wrote:We are also debating leasing vs buying. We own our car outright and the dealership said we should expect 2-3k a year in repair costs.

We could lease a new 3 series for 3k down and 300 a month. So for around 1,500 more a year we could drive a new car and not face any repairs or maintenance costs.

I understand how some think buying is better financially but at the end of the day it seems both options suck. When you buy you're investing in a depreciating object. You face repairs on a car, especially the older it is. When you lease you're just renting a car but avoiding the maintenance costs.

I'm at a loss as to what to do.

We lease a 2015 3 series we got in 2014. We put zero down, 12k miles yearly, and we pay about $360 per month. I decided to lease a BMW because I was coming off of a Mom car and wasn't sure how I would feel driving a sedan after 20 years of SUVs. Love it. It is very comforting not having to worry about even oil changes, everything is covered. After driving old, paid off cars for so long, I can definitely see the appeal of swapping out cars every couple of years and never having to worry about reliability.