Quote:
Originally Posted by catapult
I think I know what you are getting it but I wouldn't characterize leasing as losing all your money. Very few cars are an investment. One way or the other you are paying money for the use of a car. I'm leasing my car but I'm obligated to purchase it at the end of the term. Both the interest rate and the residual at the end of the term are good. In fact I'm guessing the car will be worth substantially more that the residual.
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Sorry if I'm not clear...
If you lease a car for 36 months and you agree to pay 60% of the value which is... $30,000, you pay $30,000 and return the car. That money's obviously gone.
If you buy a used car for $50,000 and keep it for 3 years, you might be able to sell it for $35,000 and lose $15,000... In both situations, you get a car for 3 years, so isn't that better than the lease example effectively? Unless you just NEED a brand new car...
I'm just thinking aloud here... Don't mind me.