when does leasing a car make sense?

[beenz]

is a "buy here pay here" dealership?

 

[The Bilingual Gringo]

is a "buy here pay here" dealership?

One of the grimiest set ups for a dealership ever. They have been outlawed in a lot of states, but basically they have in house lending, but the interest rates are INSANE, they basically cater to people that have zero or shyt credit, that will basically come in to make weekly or bi-weekly payments.

Here's the catch, if you default, they repo the car and then put it right back on their lot. I found an article on them once, I'll have to go dig them up.

Edit: http://www.latimes.com/business/buy...uy-here-pay-here-part1-storyb,0,5689256.story

 

[The Bilingual Gringo]

Leasing makes sense a lot of times. If you can afford and don't mind a car payment, it's usually cheaper, and if you like to have a car every 3 years, then I'd say go for it. You don't take a depreciation and really never have a car out of warranty.

 

[beenz]

One of the grimiest set ups for a dealership ever. They have been outlawed in a lot of states, but basically they have in house lending, but the interest rates are INSANE, they basically cater to people that have zero or shyt credit, that will basically come in to make weekly or bi-weekly payments.

Here's the catch, if you default, they repo the car and then put it right back on their lot. I found an article on them once, I'll have to go dig them up.

Edit: http://www.latimes.com/business/buy...uy-here-pay-here-part1-storyb,0,5689256.story

 

[ThumpDaddy]

I said it before but I think the only way to lease if you find one of those really cheap leases like for $159 or something like that a month. Something really cheap to help you catch up on bills and then after you pay the other bills out you can stack some money and at the end of the lease get what you really want with a really good down payment. I wouldn't lease a car with a high ass note, I would only do it if it was to save up for what I really want.

 

[MoneyTron]

Buy here pay here ain't no joke. My uncle is setting up a BHPH dealer right now and will probably make a good bit of money if he does it right.

People with bad credit need cars too.

 

[MoneyTron]

Anyway, a lease makes sense when you don't put many miles on your car or tend to flip cars pretty frequently. The deals on some cars are ridiculous right now.

 

[MoneyTron]

What about buy here pay here's? I realllly don't wanna get sucked into a car note at all...and my car has been unreliable lately, but I was thinking about a $5-7,000 buy here pay here car deal that includes a "free" two yr warranty/oil changes etc

LOL if you can avoid it, do it all all costs.

BHPH is similar to hard money lending. You don't want to make payments to dealer with a 25% interest rate. Trust me.

 

[Nemesis]

I have never personally leased a car, I am a person that believes in owning outright whatever I buy as much as possible.....I also believe in not incurring unnecessary debt

However I run my own company and I have two company cars which are leased, it makes sense because running costs and upkeep are borne by the business and not me...

if its for business it definitely makes sense

 

[feelosofer]

Its a better time to lease than ever.

I just got traded my wifes Optima for a 2014 Q35 from Infiniti and I'm paying 375 a month for a 44k car. She doesnt go anywhere and I can write it off as a business expense.

 

[chineebai]

Usually a lease is good if:

residual value is good
interest rates are low
lease is a cheaper than a competing car in the same category


you just have to do the math on it, say you keep a car for 10 years, what is the cost of leasing that car for 10 years and what is the cost of owning that car for 10 years. There are some amazing lease deals once in a while. It's good to lease when you want to change cars every so often. Overall the best deal is buy a car with straight up cash, maintain it well and sell it.

 

[Uncle Kingpin]

Leasing only makes sense if it's for a business. If they called leasing what it really is, a long term rental, people would not be as bamboozled.

 

[↓R↑LYB]

It only make sense if you're a 6 foot tall attractive black man with a 6 pack and 7 figure salary as the youngest executive in corporate history.

 

[Nemesis]

Leasing only makes sense if it's for a business. If they called leasing what it really is, a long term rental, people would not be as bamboozled.

exactly.... people are just renting cars with the added benefit of paying servicing costs

 

[HookersandIceCream]

I'm looking to lease my next car
I looked at all the options and it makes the most sense for me honestly

I prefer a luxury Vehicle
Don't don't to worry about parts/labor
Don't drive much. Will be well under the standard 12k miles a year