Is it smart to lease a car?

[JLova]

Better if you can write off part of the payments....usually people with businesses can do this.

 

[Jean Jacket]

I consider myself a smart person, a financially savvy person, as well as a car person.

I would only lease a car as a 2nd vehicle, and only if I already had a car that's paid off.

If you do lease a car, make sure you do no money down (no cap cost reduction is what it's called at the dealership) and multiple security deposits to get the best price.

Also, with the way that used cars are holding their value now, it's possible to come out of a lease way ahead of the diminished value amount agreed upon at lease inception. That means you could (theoretically) buy the car at the end of the lease for less than it's worth, and sell it at market value.

This is legit.

 

[UberEatsDriver]

Someone i know i just put 2 grand down and monthly payments are like $280 or something…for a 2021….i was just thinkn why not just buy it?

Leasing and financing exist for a reason and serve different purposes. Someone who doesn’t drive much, wants a new car all the time, and isn’t doing any updates on their car would probably do better leasing since the monthly payments aren’t high.


Financing is for people who probably drive more frequently, want a car long term (5+ years), and want to freedom to customize and add things to their car as with no hassle. People who finance also don’t want to be left with a car note forever.


A lot of people with money lease cars for example because the car note doesn’t impact them financially the way it does for a person who is middle class or poor

 

[Positive Posting]

I think I might lease my next vehicle. The reason is, I might not have enough in savings to buy a new one but my credit is good. I'm not gonna be putting hella miles on the car anyways, and I really dont give a fukk what car is it, as long as it take me from point a to point b. As long as my payment is low and I can afford insurance, why not?

Anybody got any game they could share?

 

[L&HH]

 

[hatealot]

Sure I’ll let my LLC lease the car and write the payments off as a business expense.

I'm going to add this disclaimer.

If you put a vehicle under a business, if your vehicle is involved in a accident.

We run the name of the owner before issuing any payments.if it comes up as a business then we will review your policy. If its a personal auto policy then it's going to bring up case for denial

We will automatically assume your leased vehicle in your business name is being used for commercial activity. This is excluded activity on your personal insurance policy. It's written like this on most insurance policies.

Yes, you can do it and we won't know until an accident but this can be grounds of your policy being canceled and misrepsentation/fraud if you do not have the proper endorsement.

For those who go this route, make sure you speak with someone before you goes this route. This can open you up to exposure to damages to other people(bodily/property damage) depending on your state. If your claim is denied.

All it takes is one accident to realize you are not covered and owe thousands in damages.

Every state and insurance coverages vary by state.

 

[R=G]

F

Depends on what car because I have been told to never do a downpayment. It defeats the purpose of leasing, but


I prefer leasing because I want the newest model.

For just 15k miles in a year..not good enough

 

[TRUEST]

Someone i know i just put 2 grand down and monthly payments are like $280 or something…for a 2021….i was just thinkn why not just buy it?

If u r the type to want something new and shiny every couple of years then yeah, leasing might be better. But if u are smart, do ur research. Pick the most reliable car for ur budget. And buy. But buy with the intention of driving it for years!!

 

[Dreamchaser]

Typically its better to own and hold until depreciation has flatlined. The idea is buying used because someone else pays for depreciation and holding for long time. Leases will tend to cost you in the long run vs having outright ownership.

 

[International Playa]

Car payments keep middle class broke.

Imagine if you invested all your car payments every month.

Buying a used reliable car will always be the best.