lease, or buy your next car?
you buy your next car or buy it outright? Which is
right for you? The reasons and answers are going to
be different for everybody, but in most cases, buying
a car is much cheaper in the long run than an auto
should probably get an auto lease if:
- You drive
a car less than 12,000 to 15,000 miles a year.
- You like
the status of a luxury car that is probably out of
your budget if you were to buy the car.
- You are
neat and clean and don't have kids.
- You want
to drive the latest cars ever year or two.
honest with yourself.
Do you meet those criteria for an auto lease?
you only want to get a car lease because you want the
status of driving a car you probably could not afford
to buy, an auto lease is not for you. What are the drawbacks
of a lease?
if you go over the base mileage with the lease
contract you signed? Guess what? Expect to pay a PER
MILE fee! That's right, you may end up paying 12-15
cents a mile. If your work is 20 miles each way, for
a total of 40 miles a day, get ready to pay an extra
$6 a day. What happens if you get a new job and have
to drive 100 miles a day?
the car is not in absolute immaculate condition,
get ready to open your wallet again. More fees.
the car at the end of the lease term is not a good
deal. Because of the complicated financing (and
as a result of the low monthly payments you have been
enjoying) the price that they offer the car to you
is almost never going to be the fair value for the
car. It's going to be a lot higher. Open your wallet!
so just trade it in for another car right? You
remember the fees if it's not in great condition don't
you? The terms that they give you for a trade in will
probably not be that favorable because the leasing
company will nitpick down the estimated value of your
car because it's not in immaculate condition.
4 years, you would probably only have 1 year left
before you paid it off. If you drove it another 5
years, that's 5 years without a payment! That could
be $20,000 of savings after 5 years. If you continued
on a leasing cycle you would always have a monthly
seems right for you?
For me an
auto lease just doesn't make sense. I own car
I purchased in 1994. I paid it off in 1999 and relish
not having to make those monthly payments. Think of
the credit card bills you could pay off, or the savings
you could accumulate over those years?! Maybe after
years of saving, then you actually could afford a more
If you are
ready to buy that car, then I recommend 1800 AutoYes
because I used them for my loan and couldn't have been
happier. It took no time at all before I was ready to
walk into any dealership with my financing already approved.
Talk about bargaining power! Get your auto loan NOW - FREE 60 Second application
Still need more auto lease information? Check out my
page on auto