Oppo, I need your help!

"Chris McMays" (chrisatautoking)
12/31/2014 at 20:07 • Filed to: None

So, it's almost time for my mother to get a new car. I'm trying to convice her that leasing is better than financing, but besides the two reasons that I already have, I'm stuck.

What reasons other than that you get a new car when the lease is up and that the payments are typically lower can you guys think of? I'd like for her to be able to drive something nice, and the only way I can think of for her to afford something like that is leasing.

Thanks, guys. You're the best! Have an Aventador for your time:

DISCUSSION (12)

Deal Killer - Powered by Focus > Chris McMays
12/31/2014 at 20:14

Well, other than the two you mentioned, another reason is that most, if not all, maintenance is taken care of under warranty. Basically, the only thing she'll have to do is get the oil changed and rotate the tires and other minor checks & inspections before the lease is up. If she doesn't put that many miles on a car, leasing may be a good alternative for her. My neighbors lease their cars, just so they know their monthly payment, and they don't have to deal with older cars that can break down on them.

yamahog > Chris McMays
12/31/2014 at 20:18

As long as she doesn't pull a my mom and buy a used SLK350 on a whim, you're probably OK. I would just read her that last sentence of your second to last paragraph and hope for the best.

KusabiSensei - Captain of the Toronto Maple Leafs > Chris McMays
12/31/2014 at 20:21

If you can get a lease and are absolutely positive that she won't exceed the mileage limit, then that's not a bad way to go.

If there is even the small possibility that you will exceed the mileage limit, then buy the car, or buy a different car that you can be happy with the payments on for 4 years.

It also depends on your state and how they do tax on lease payments.

'Wägen, EPA LOL > Chris McMays
12/31/2014 at 20:29

I'm usually pretty anti-lease. You build no equity in the asset for one and there are very few ways out of it if you need to (alright apparently my sister claims she can just turn her car in at any point for no penalty, but she lies about pretty much everything to pretty much everyone - so grain of salt and what not).

Louros > Chris McMays
12/31/2014 at 20:39

Leasing is generally not better than financing. There are very few scenarios where it makes more sense to lease than to finance.

shop-teacher > Chris McMays
12/31/2014 at 21:00

Does she drive a lot? Does she keep her cars for a long time? If the answer to either of those is yes, then she's better off buying, financially. Keeping a car after it's paid off, and being free of payments, is a beautiful thing.

TheEdibleSnuggie > shop-teacher
12/31/2014 at 21:16

Unless you're like my 2006 Fusion where it seems like every trip to the shop is a $700 - $1000 hit to my wallet. As much as do like not having a monthly payment, I'm starting to think that maybe leasing would just work out better for me. Can't beat having a car that's ALWAYS in warranty and the service contract...

shop-teacher > TheEdibleSnuggie
12/31/2014 at 21:27

Depends on how many trips you're making to the shop. If you only have to do that once or twice a year, it's still a lot cheaper than car payments. My '06 Sierra just needed $550 worth of work, but it hasn't needed anything but maintenance in 40k miles.

Personally, I like the idea of leasing a new car every few years. It sounds really nice, and if you can afford that, great! Leasing and financing both have their place, sometimes one is better, sometimes the other is better.

Chris McMays > shop-teacher
12/31/2014 at 21:55

She drives about an average amount; 13-14,000 miles per year. She doesn't tend to keep her cars too terribly long, either — her current car is a 2010 Lexus RX Hybrid.

Chris McMays > Deal Killer - Powered by Focus
12/31/2014 at 21:56

Ah, yes, warranty coverage. I'm making a list of pros and cons for both leasing and financing, and I'll need to add that to it.

Chris McMays > KusabiSensei - Captain of the Toronto Maple Leafs
12/31/2014 at 21:57

If it's a 15,000-mile limit, she most likely won't. If it's a 12,000-mile limit, she probably will.

shop-teacher > Chris McMays
12/31/2014 at 22:36

Oh, that's a tough one, most leases are for 10-12 k miles per year, and the overage charges are HUGE. But, she's not keeping cars long enough to make buying the vehicles make sense either. I think you're right, in her case leasing probably would be better, but only if she buys enough miles to not get whacked with a giant fee at turn-in.