The Chit Chat Chit Chat Thread

DryerLintFan

DryerLintFan

Premium Member
21stamps said:
I just wanted to comment on the leasing comments.

I’ve been leasing for most of my adult life.. sometimes I Buy when I know I’ll be driving more than 20k miles per year.. I’ve leased 7 cars though.

Quick breakdown on the comparison-

Lease Benefits-
Bank assumes Risk.
Typically lower payments than a purchase.
Only pay taxes on the price of the lease, not the price of the car.
At the end of your lease you have 3 Options-
Turn in. Buy. Trade. (You can actually trade or buy-out at any point, not just the end)
If you have equity in your car- you can use that equity and trade in.
If you have negative equity- you simply hand in your car.

Where people get most confused on leasing is- it’s really no different than financing a car when it comes to trading, you’re actually in a better position because your taxes were less, which means less chance of negative.

As far as “accidents” there’s no difference between lease or buy, your insurance handles it exactly the same.

Imo, unless someone keeps their car 8+ years, probably 10+ based on most vehicle prices, or drives over 17k miles per year- then there’s absolutely no reason to “buy”.

Leasing does also include GAP insurance from most brands, which is an added bonus..and including that makes a low down payment attractive, compared to a buy where you should put at least all of your taxes, fees, and some towards the price of the vehicle itself (especially now that interest rates are higher than they’ve been in several years).

Luxury brands usually include service, Honda and Chevy (as well as other brands) do not... but you can pay for it ahead of time and roll it into your lease.

If you know you’re going to be buying a new car every few years,. Or are fickle and get easily wooed by new technology.. leasing is by far the best option, buying will just end up costing so much money if you trade that quickly.. a car is the most depreciating asset one can buy.. but people get so stuck on “buy” as opposed to lease.. you just have to remember that if your “buy” is actually a bank loaning you the money to buy, then the bank owns our car, not us. ;) The majority of Americans never actually end up paying off their car, therefore they never actually owned it.

Some do pay off their loans and keep the vehicles for at least a few years after doing so, they’re the only people who are getting their money’s worth, and it would be a waste of money for someone like that to lease.


Hope this was helpful!!
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Even with a small child the lease wasn't a problem? We bought our CRV because we figured with a baby and two dogs there wouldn't be a chance they'd take the car back if we leased, lol.

I've had one of my cars for 11.5 years. The thing is a clunker, for sure, but it still runs and gets us from A to Z. The hope was to keep it until the CRV is paid off, but I'm not entirely certain it'll make it another 20 months. But still, that's 6.5 years payment free.

MySmallWorldof4 said:
I like how you broke down lease versus buy. We paid off 4 cars. Traded in 3 of those. Working on paying off another one. Own one outright which will be the one the kids learn on. I am not a fan of how interest rates are rising. It waa nice when you could get 0% financing.
Forgot to mention that we did lease a few as well. It was nice to get a new car after a few years. I will say that our issue is mileage. They want you to drive no more than 12k in those low mileage leases. That doesn’t work for us. I remember when leases offered 15k a year for a decent payment. @StarWarsGirl could also buy an off lease vehicle or a dealer car which would save a lot of money. Our Suburban was driven buy the dealership owner and had just under 6k on it. It waa already on sale for a few thousand and they gave us another 6k off for the mileage. It was still considered a new car because it had low mileage.
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We had 0% financing with our CRV, but at the end of the day, the interest percentage doesn't really matter. You're only getting 0% from the dealer, not a bank, and the dealer is rolling that money somewhere else.
 
ajrwdwgirl

ajrwdwgirl

Premium Member
Today is the last day of school for the kiddos and just a half day. We are supposed to take them to the park this morning but thunderstorms are happening now so I guess we’ll have to think of a different plan. Probably gym time. We did take the kiddos on their reward trip to Valleyfair, a regional theme park, yesterday and the weather for that was gorgeous. They all loved it!
 
SteveBrickNJ

SteveBrickNJ

Well-Known Member
Good morning everyone! Hope everyone is doing well.
These are the days of the year I really enjoy. Upper 60s....low 70s.
My concerts are all done. I can just enjoy my students without any upcoming performance looming in the future.
Last day will be June 20th. Plenty of time left to enjoy :)
Tomorrow is "5th Grade Celebration"
5th graders have a one hour promotional ceremony ( a pretend graduation) and then they go outside for "Field Day" style activities followed by pizza, or hot dogs and then the ice cream truck comes by.
It's good to be them! :cool:;)
 
MouseDreaming

MouseDreaming

Well-Known Member
ajrwdwgirl said:
Today is the last day of school for the kiddos and just a half day. We are supposed to take them to the park this morning but thunderstorms are happening now so I guess we’ll have to think of a different plan. Probably gym time. We did take the kiddos on their reward trip to Valleyfair, a regional theme park, yesterday and the weather for that was gorgeous. They all loved it!
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Happy last day!
 
Figgy1

Figgy1

Well-Known Member
dryerlintfan said:
Even with a small child the lease wasn't a problem? We bought our CRV because we figured with a baby and two dogs there wouldn't be a chance they'd take the car back if we leased, lol.

I've had one of my cars for 11.5 years. The thing is a clunker, for sure, but it still runs and gets us from A to Z. The hope was to keep it until the CRV is paid off, but I'm not entirely certain it'll make it another 20 months. But still, that's 6.5 years payment free.



We had 0% financing with our CRV, but at the end of the day, the interest percentage doesn't really matter. You're only getting 0% from the dealer, not a bank, and the dealer is rolling that money somewhere else.
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It all comes down to how clean you think you can turn your car in and how much mileage you put on it. There's a bit of math involved
 
Figgy1

Figgy1

Well-Known Member
ajrwdwgirl said:
Today is the last day of school for the kiddos and just a half day. We are supposed to take them to the park this morning but thunderstorms are happening now so I guess we’ll have to think of a different plan. Probably gym time. We did take the kiddos on their reward trip to Valleyfair, a regional theme park, yesterday and the weather for that was gorgeous. They all loved it!
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CONGRATS!!!!!!!!!!!!!!!!!!!!!!!!
 

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