Leases

shirleyujest said:

I just took possession of a brand new 2005 LE 4 x 4, and other than some minor issues, I absolutely love the truck.

Now, having had it for a couple of days, I actually sat down and read the lease agreement. Unfortunately, the numbers do not make sense.

Can anyone make heads or tails out of how the lease payment is calculated?

I have used the lease calculator on leaseguide.com to no avail.

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RobertArmada said:

I get a kick out of people that equate leasing a car to renting a home..Not even remotely comparable. Homes typically appreciatte, where cars tank in the first couple years. Buying a home allows you to take advantage of potential equity, and market upswings.. When was the last time a newer car had an upswing....NEVER, especially with the high incentives on new cars, the used market is trashed. And to get your investment back you have to market and handle the sale of your car, which takes time. Most companies also try to roll you from one lease to another with a heavy incentive, buying out your lease near the end or providing cash incentives to stay with the company. IE, there is something there to be had if you can continue to lease.....

Providing that you don't abuse your cars and kill them with milage, leasing is a great option, especially if you flip em every couple years. You put down little, have moderate payments and in the end you get something else. Buying you put down a bundle, have similar payments and in the end you struggle to get back say $2-$3k????? If you run up the milage, its obvious that a lease is not for you......but if you are good on the milage, its a great option.

The milage is the key...if you hammer the milage on and think that you can just buy it out at lease end you are seriously being foolish. Your armada in the end will cost far more then a straight up purchase.

I leased my Titan, $34k truck, put down $2k, pay $275 a month, 12k a year. I am dead on with the milage as I only drive like 3 miles to work. If I had purchased the truck, I would have had to put down say $5k+, financing $25k over 5 years and had payments of like $450+.....in the end I would have none of my $5k back... Just my 2 cents.....I'll take the lease deal all day long.

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