By accessing this website, you acknowledge that Edmunds and its third party business partners may use cookies, pixels, and similar technologies to collect information about you and your interactions with the website as described in our
Privacy Statement, and you agree that your use of the website is subject to our
Visitor Agreement.
Comments
Well, I believe that leasing also makes sense when the car is used mostly for business. There are quirks in tax code or regulations, making lease preferable to outright buying a business car more expensive then Cavalier or a base Malibu without options...
By the way, how's your Buick Regal GS doing?
We had a 3-day vacations at White Mountains region, New Hampshire in the first days of August.
"Established a temporary base" for two 2 nights in a small inn in Franconia, NH - a small town just North of the White Mountains. While driving here from home the first day, and starting from the inn, we criss-crossed the Mountains: I-93, route 3A, route 90 (all are beautiful), route 112 (marvelous!), route 118 (even better!). Conway, Lincoln, Bretton-Woods, etc.
Drove to the top of Mount Washington. 8.2 miles every directions on the 1-st gear. Easy for the Buick, but, just in case, stopped twice on the way back to let brakes to cold.
On the way back, drove through the Mountains on I-93 with stops a every exit in the Franconia Notch Park, than drove to East on different roads along the NH Lakes, than South by the NH state highways along Maine border, West by I-95 through the NH Atlantic region. After entering MA drove by I-495, I-90, I-84 to CT and than to Hartford, and by I-91 from Hartford to home.
Hardly could drive safely so long in Malibu; no problem with the comfortable Buick.
There is a lot of Regals, Impala LS, and Intrigue in these places. Probably, they are good for mountains. However, even with the GS engine, it often makes sense to drive at 3-th gear, or at least use the performance shift mode. Used 2-nd gear on route 118, when descending for miles.
August 18 we drove to Cape Cod, MA. Forth and back in one day. Just to familirize with this place and the roads. 500+ miles in both directions via Newport, RI. Would be 480 miles, but we drove a bit around the Cape.
Not hard either with the car.
By the way, the Cape Cod is absolutely beatyful place! A dry and sunny pine forest on sand ground, reminding me my native place, but there is no Ocean beaches near Moscow, Russia...
We are planning to drive here for again for two nights. In mid-September, when it will be warm, not hot. We heard that there is a lot of mushrooms here in the fall.
I've done the cost comparisons. The less time you keep the car, the more leasing makes sense. (Except, perhaps with 0% financing) Plus, you don't have the hassle of selling it. If you're just going to trade it in, then leasing even makes more sense, as you lose even more value in the trade.
I definitely don't plan on purchasing the Impala after the 36 months. I didn't plan on it when I signed, and I plan on it even less now that I've had it for 5 months.
It's a fine car. Big, powerful, feature packed, very cool to look at, etc. I just think I want something with more luxury, more power, and less size. Kind of like my other car, but it starts with a "T" and ends with an "S", and has an "L" in the middle.
I've already listed it on swapalease.com. It will probably take a while, but that's OK. I still like driving my big, shiny silver LS. I'll definitely miss the auto-locks, auto-headlights, and fold down rear seat, when the time comes. Plus, the Yokohamas I put on are much better than the Michelins that come with the other guy. I'll miss the stereo most of all. You have no idea how good the Impala stereo can sound until you replace the speakers. The other guy comes with a B(l)ose system.
It is normally done by pumping a special fluid through the fuel injection system, hence the term "flushing". Immediately afterward, engine performance may actually decrease temporarily, and you may see white smoke in the exhaust. I've had it done on a previous car at Jiffy Lube. I assume it's a similar procedure at the Chevy dealer, except they smile and say "thank you, sir".
I used to lease all my vehicles since I switch them every 2 or 3 years, but now I only have one lease left (wife's Expedition) and might not even keep one lease once that one is done.
My Corvette is a 2001 Millenium Yellow Coupe 6spd loaded with everything except the gimmicky $1600 adjustable suspension package, which is really a sucker option IMO. I opted for the $350 Z51 sports suspension instead.
I've got it up to 365hp right now with some simple intake mods, and have more in the works for next spring.
A 50% residual value after 36 months is Honda Accord and Toyota Camry resale territory.
So...leasing does make financial sense, in many many instances, especially when one is only planning on keeping a car for a few years.
Unlike you, however, I know I"ll be in tears when I turn the Blue Streak in. With the economy going the way it is, there's NO way I can buy this car for the residual they set up on the lease, and unless things really turn around, I won't be getting a new Impala... sigh... I'll miss this car like CRAZY! I'm already thinking about how bummed I'll be and I have 1 1/2 years to go!
I'm saving pennies now and maybe things will turn around... but I know I'll miss this car when it's gone. Oh well, kinda like being dumped by an excellent boyfriend... another will come along..right?
What's up? They always seem like good deals, and I don't think the companies keep them for very long.
Do they have a history of being sucky?
Unless, of course, they end up making that 4-door Charger.. But I thought that was put off for a few more years?
I personally always tend to shy away from buying rental cars or used cars in general.
During that shopping experience, I found that Hertz had much better used car pricing than Enterprise. Pretty good selection. Excellent prices.
www.hertzcarsales.com
They have Impala LS's pretty cheap, too!
It's a 99 SE1, so it's not as good looking as the smoother lines of the GT.
It's pretty zippy. It has the 3.4 170HP engine. I find the build quality at least as good, if not better, than the Impala.
My son has been driving it since I got the Impala. But, since he's making less money now, I'm going to sell it, and have him go back to the Honda. (260K miles and still ticking.)
Leasing is advantageous for the person that likes to get a new car every few years. It's simple, really.
It is a choice between having a new car every 3 years (lease) or a new car every 6 years (Purchase/finance).
I personally prefer to finance at the lowest APR and term possible (For the length of the limited warranty) then purchase an extended manufacturer's warranty for an additional 3 years and enjoy the car with full warranty coverage and free from monthly payments (Thus building enough savings and a bit of equity) for the next new car.
Some people can't stand driving a car past the 3 or 4 year mark. With the durability of today's machines, 6 years on a well maintained car is cake.
In it's heyday, leasing was the king. You could get into a car that you would not normally be able to handle, financially. As all these leases are coming up, the market is being swamped by low mileage, well maintained cars.
Leasing is good for businesses, people who want to get a new car every few years, don't want to worry about repair costs, or get a sweet deal. I friend of mine leased his car and plans to purchase it at the end of the lease. I thought he was goofy, but I looked at the specifics and because of the purchase loan rate and the incentives for leases available at the time, he will end up playing about $1000 less at the end. An added benifit to leasing is that if the car turns out to be a lemon, you can turn over the keys and walk away after the lease term is up.
Personally, I never seriously considered leasing. I kept driving my first car for about 15 years. Even in Hawaii, I drive farther than 12K miles in a year so the mileage penalty would really get me. I like to tinker with my cars, adding accessories, making modifications. I wouldn't be able to do that on a lease, or any improvements would go with the car. To me, "leasing" means the same thing as "renting". I can't control how long I want to keep the car, and at the end, I have no residual.
That's why it's so great to have different choices that work best for different people.
God bless America! ;-)
The problem with car leasing is that you will *always* make car related payments...is like a never ending financial treadmill. Sure the argument is that you can always drive a new car every 2 or 3 years, never worry about resale or repair costs, not having to deal with the hassles of private sales or trade in, etc. All valid arguments for sure, but....
While my leasing experiences have been positive (No problems at the end of the leasing term) I find it hard to justify beyond the fact that an individual always wants to drive and be seen driving a brand new car.
ANY car today with proper care and maintenance can last virtually trouble free 5 or 6 years. If you have concerns after the warranty expires you can either:
Sell the car at current market value
or
Buy a Manufacturer extended warranty and continue on driving.
My philosophy (And many economists would agree) that the cheapest form of car ownership is to buy, payoff and maintain a car until the cost and maintenance costs find each other along the way like Night_owl stated in his post.
After the 3 year warranty expires on my car, the additional 3 year GM Major guard warranty will kick in providing an additional 3 years or up to 75K miles of FULL coverage. During that time, the car would have already been paid off, so basically my car related expenses will be oil changes, tires, batteries, brakes and other wear and tear items, gas and insurance and that's it.
I will be able to enjoy this car for at least 5 to 6 years and once the odo hits 75K miles, I'll sell it.
Some people can't stand the taught of spending 5+ years behind the wheel of the same car. Fine. So if you have the financial means to be supporting the costs of never ending leases or buying new cars every few years, well it is up to you.
For me personally there are more important things in life that solely spending money in cars...and I am a self proclaimed car nut.
Leasing is like an illusion. Rent a car for 3 years, then return it and the only thing left of it is the memory.
Our highly pushy and consumerist society makes it very hard to hold on to something that is no longer new, the trendiest, etc, etc therefore Leasing opens up the door to a new world on which we can play *rich* sort of speak every few years and get new cars. No pun intended but clearly there is a virtue and pleasure when one can TRULY enjoy a car for a long time without the worries of making never ending car payments.
And all this rant is just my opinion.
Then, leasing makes more financial sense. It's simple math.
or
"Buy a Manufacturer extended warranty and continue on driving."
Not an option for me, but probably works best for the majority of drivers. I might recommend a third party extended warranty, as they are many that are underwritten by long-term, reputable companies that provide a higher level of coverage with no or little deductable, compared to a manufacturers warranty. Plus, you're free to bring your car almost anywhere for repair, not just the dealer.
While I am not disputing that there are plenty good and reputable third party warranty underwritting companies, I still prefer to stick to the manufacturer for the reasons cited above.
My wife had an extended warranty on her car and the only time we had to use it, it was an absolute hassle to obtain an authorization for her repair claim.
If I buy, pay off my car in 3 years and then decide to sell it, I would still have a chunk of cash left to purchase another. On a Lease, no way Jose, you walk away totally empty handed.
http://www.autonews.com/html/main/stories0827/nissan829.htm
ghostwolf
The total cost of the lease/finance is precisely that, "total". Even if you subtract the wad of cash from your total loan payments, it still adds up to more money spent than just leasing it for 3 years.
In addition, you have to deal with selling it. Even if the total spent were the same, which it isn't, it's worth it not to have to deal with selling the car. Or, if you choose the ease of trade-in, you lose even more money.
It's nice to feel that wad of cash, though, isn't it? ;-)
Thanks to all who helped with the amp information.
One reason that make me afraid to buy is to commit myself for 30 grand and to see my car t-bone! you know ,damaged but not enough to be a write off.It is to complicated for me to explain what I think in the langue of Skakespire !!!I give up ...By the way Teo keep an eye on the oil life monitor !!!
I always keep my promises and I never lie. Or, was it the other way around? I can never get that straight.
I paid 21.3K for the impala. Lot of car for the money.
The lease on my intrigue was $327.00 the purchase would have been $440.00 for 60 months.
Luckily GM bought out my lease. I dodged a bullet that time. Never again.
Garypen, I drove my camaro for 8 years without a payment. So car payments are not a fact of life.
I am paying practically the same $444 for 60 month for my 2000 Regal GS.
You have apparently chosen to drive that Camaro until you die, or it does.
htwired- I gotta disagree. It's not rare instances, it's almost any instance where you were to keep the car for only 3 years, or in many cases 4 years, or less. Add up the total lease payments and fees vs. the total finance payments and fees minus the trade-in, and the total cost will be less for the lease in almost every instance. Plus, there's the added benefit of leasing as a business expense.
Nick
And yes the only way to do it is to bite the bullet for 5+ years.
For those still lacking in will power, I still think that leasing does make sense, in the proper circumstance, for many, but NOT ALL, people. Financing makes better sense for others.
I am going to change the fuel & cabin air filters soon too. Probably should service the K&N filter for the engine I guess.
have you folks checked the air pressure in your spare tire lately?
Its never black or white.....unfortunatly.
However, 0% for 5 years is even better.
Additionally, the regular debt payments are entered in credit report and are improving credit score. Especially important for recent immigrants, who do not have a long credit history.
Of course, it would be even better to pay cash for home... but who can afford it?
Ok. Stealing would be wrong.