Another Lease vs. Buy Thread
#16
Depending on how you do your taxes, leases could also have some additional benefit...
Slightly off-topic, but I think if you are really only keeping the car 3 years, and are leasing, BMW is the way to go because of their inflated residuals and maintenance program... It'll turn out to be very comparable in price for a higher MSRP car... Lease a BMW, buy a Lexus...
Slightly off-topic, but I think if you are really only keeping the car 3 years, and are leasing, BMW is the way to go because of their inflated residuals and maintenance program... It'll turn out to be very comparable in price for a higher MSRP car... Lease a BMW, buy a Lexus...
#17
If you want to get into the math of it,
(X)^30 = 10
X = roughly 1.08 or about an 8% interest/return (that's sounds about right...nothing ridiculous like 15% over 30 years).
Imagine if you stuck the 50K at 8% for 45 years (an extra 15 years or 50% longer).
50K*(1.08)^30 = $503,132.84
50K*(1.08)^45 = $1,596,022.47
Of course, 45 years is a long time =P
Anyways, I'm off topic, but invest your money now...cause it could be worth a lot more later If you have the cash to burn to buy/lease a car every 3 years, fine. But I always recommend keeping a car as long as you can
#19
Lexus Champion
Slightly off-topic, but I think if you are really only keeping the car 3 years, and are leasing, BMW is the way to go because of their inflated residuals and maintenance program... It'll turn out to be very comparable in price for a higher MSRP car... Lease a BMW, buy a Lexus...
I searched far and wide for a decent zero down lease payment on a 350, I finally gave up and financed the whole thing minus $500 down payment.
#20
Lexus Champion
Wow, financing the whole shebang with only $500 down. Your payments can't be cheap. For how many years?
#21
Lexus Champion
72 mos is a long term -- but I plan on keeping it for a looooooooong time. Love the car and its loaded, everything I could want and more!
quick look at leasecompare....
Window Sticker
$44,000
Purchase Price
$37,000
Lease Payment
$555 per month
Term
36 Months
Mileage Allowance
36,000 Total Miles
Residual Value
$22,788
Purchase Option
$23,138
Money Factor
0.00241
Gap Insurance
Included
Down Payment
$500
Due At Signing
$1,055 Includes: First Months Payment, Down Payment
+ sales tax ($2312) and title fees ($150) = $3517 total down
so after plunking down $3500, I'd still have a crappy $555/mo lease payment or even higher if I rolled the sales tax into the payment!
that's why I turned to financing it outright.
Last edited by bagwell; 02-01-07 at 12:24 PM.
#22
Lexus Champion
approx $57x.xx @ 4% for 72 months. Now go to Lexus.com and see how much their lease payment calculator comes to with $500 down on a $44K car (paid $36.9)
72 mos is a long term -- but I plan on keeping it for a looooooooong time. Love the car and its loaded, everything I could want and more!
72 mos is a long term -- but I plan on keeping it for a looooooooong time. Love the car and its loaded, everything I could want and more!
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