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[quote=Anonymous][quote=Anonymous][quote=Anonymous]Lease pros:

-Lower payments
-Very little maintenance cause it’s new

Lease cons:
-Have to stay within mileage limits (run your commit numbers and go from there)
-Can’t damage it or you’ll get dinged upon return

New cars and used cars are in high demand and very expensive. Not sure how that’s affected leases. Basically run the numbers and review your family needs and go from there. Sometimes it makes sense. [/quote]

The damage part is not actually a con of leasing. If you damage a car that you purchased, you will also suffer diminished value to your vehicle. Mileage is a somewhat fair con, but if you drive a purchased car more you also cause a reduction in resale value. The same is true of the pros - you have little maintenance on a new car that you purchased, just like one that you leased. According to economic theory, there is no difference between leasing and buying, or at least there should not be. It all really comes down to the incentives offered by the dealer (sometimes leasing or purchasing with a loan will be offered at a more favorable rate)[/quote]

And before anyone comes in and says "durrrrr why purchase with a loan, that just means u too poor to afford the car," the answer is that the interest rate on the loan is lower than the return you can get on the money you invest in the market. Every loan I have gotten in the last 12 years has actually been at a rate below inflation, which means they are essentially paying me to take the loan[/quote]

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