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pwnasaurus
Stranger



Registered: 07/16/08
Posts: 12,317
Loc: Canada
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Re: totalled my car today so I need a new ride [Re: Gumby]
#18762690 - 08/27/13 06:46 AM (10 years, 5 months ago) |
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Quote:
Gumby said: What are your thoughts on leasing a car then, pwnasaurus?
I've never fully evaluated the cost of leasing, but I would say it depends on how much you drive. Leasing has a fixed cost per month, so you have to drive a lot to justify it. You get free maintenance and a perfectly reliable car for a fixed cost. If you're only driving 10 000km a year it's probably not worth it, but if you drive 30 000 then it might well be.
Leasing is not the same concept as financing though. Even still, if you're mechanically inclined it's again probably not worth it to lease. There are more factors at play with a lease, though - financing a depreciating asset is never a sound economic plan.
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Shroomism
Space Travellin



Registered: 02/13/00
Posts: 66,015
Loc: 9th Dimension
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Re: totalled my car today so I need a new ride [Re: pwnasaurus]
#18762702 - 08/27/13 06:56 AM (10 years, 5 months ago) |
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I'm pretty sure it's the other way around.. you want to lease if you don't put on a ton of miles a year. Because then if you go over the mileage, you get completely raped. My chick got into an upside down lease that way and is still paying it off 2 cars later. But now she's almost out of it and is leasing because she only drives like 5 miles a day. I finance my cars because I put on like 25k+ miles a year, I think most lease terms are like 10-15k a year at max
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teamkiller
ghetto drama whore



Registered: 06/06/11
Posts: 8,806
Last seen: 3 months, 12 days
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Re: totalled my car today so I need a new ride [Re: Shroomism]
#18762708 - 08/27/13 06:59 AM (10 years, 5 months ago) |
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How do you invest in assets that don't depreciate? spend all ur money on bonds or whatever?
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Legend
RIP Sasha



Registered: 03/29/10
Posts: 28,336
Loc: TX
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Re: totalled my car today so I need a new ride [Re: teamkiller]
#18762714 - 08/27/13 07:00 AM (10 years, 5 months ago) |
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Thank you guys this thread has helped me tremendously as I am planning on buying a car soon.
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No sympathy for the devil, keep that in mind. [url=]Buy the ticket, take the ride. [/url]Are you lost?
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pwnasaurus
Stranger



Registered: 07/16/08
Posts: 12,317
Loc: Canada
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Re: totalled my car today so I need a new ride [Re: teamkiller]
#18762809 - 08/27/13 07:49 AM (10 years, 5 months ago) |
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Quote:
Shroomism said: I'm pretty sure it's the other way around.. you want to lease if you don't put on a ton of miles a year. Because then if you go over the mileage, you get completely raped. My chick got into an upside down lease that way and is still paying it off 2 cars later. But now she's almost out of it and is leasing because she only drives like 5 miles a day. I finance my cars because I put on like 25k+ miles a year, I think most lease terms are like 10-15k a year at max
Like I said, I haven't looked into it too much. I didn't realize there was a mileage limit on leases - in that case they are also never a good idea.
Quote:
teamkiller said: How do you invest in assets that don't depreciate? spend all ur money on bonds or whatever?
Stocks, bonds, real estate, etc. There's lots of ways. Not that saying that any of those things are GUARANTEED to appreciate, but if you invest diversely and intelligently they should overall.
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Gilgamesh18
Herbivore Man

Registered: 03/01/12
Posts: 11,671
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Re: totalled my car today so I need a new ride [Re: teamkiller]
#18762922 - 08/27/13 08:41 AM (10 years, 5 months ago) |
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Quote:
teamkiller said: How do you invest in assets that don't depreciate? spend all ur money on bonds or whatever?
Bonds are just loans and in my opnion not a good investment. Gold, Silver land and real esate are the best ways to preserve your capital and wealth.
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Gumby
Fishnologist


Registered: 06/13/01
Posts: 26,656
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Re: totalled my car today so I need a new ride [Re: pwnasaurus]
#18764032 - 08/27/13 01:52 PM (10 years, 5 months ago) |
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Quote:
pwnasaurus said:
Quote:
Shroomism said: I'm pretty sure it's the other way around.. you want to lease if you don't put on a ton of miles a year. Because then if you go over the mileage, you get completely raped. My chick got into an upside down lease that way and is still paying it off 2 cars later. But now she's almost out of it and is leasing because she only drives like 5 miles a day. I finance my cars because I put on like 25k+ miles a year, I think most lease terms are like 10-15k a year at max
Like I said, I haven't looked into it too much. I didn't realize there was a mileage limit on leases - in that case they are also never a good idea.
But if they have a mileage limit and you live in a city with a very short commute to work(say 2-5 miles), how is that not a good idea? I almost never put more than 15,000 miles on my car a year because everything I need is within about 5-15 miles.
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druqs
ALKALOIDOHOLIC


Registered: 09/11/06
Posts: 8,862
Last seen: 4 months, 6 days
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Re: totalled my car today so I need a new ride [Re: Gumby]
#18764047 - 08/27/13 01:55 PM (10 years, 5 months ago) |
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go German or Japanese.
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pwnasaurus
Stranger



Registered: 07/16/08
Posts: 12,317
Loc: Canada
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Re: totalled my car today so I need a new ride [Re: Gumby]
#18764053 - 08/27/13 01:57 PM (10 years, 5 months ago) |
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Quote:
Gumby said:
Quote:
pwnasaurus said:
Quote:
Shroomism said: I'm pretty sure it's the other way around.. you want to lease if you don't put on a ton of miles a year. Because then if you go over the mileage, you get completely raped. My chick got into an upside down lease that way and is still paying it off 2 cars later. But now she's almost out of it and is leasing because she only drives like 5 miles a day. I finance my cars because I put on like 25k+ miles a year, I think most lease terms are like 10-15k a year at max
Like I said, I haven't looked into it too much. I didn't realize there was a mileage limit on leases - in that case they are also never a good idea.
But if they have a mileage limit and you live in a city with a very short commute to work(say 2-5 miles), how is that not a good idea? I almost never put more than 15,000 miles on my car a year because everything I need is within about 5-15 miles.
Because with a lease you are paying a fixed cost for the car. Cars basically only get wear and tear (ie cost money) when they get driven. If you are leasing a car, you always pay the fixed cost.
Let's examine a situation where you drive a lot less in a given month than usual. You still pay the same fixed cost on the leased car. You pay a lot less on the car you own, however, as it isn't gaining wear and tear, and you pay proportionally to drive that car, not a fixed cost.
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Shroomism
Space Travellin



Registered: 02/13/00
Posts: 66,015
Loc: 9th Dimension
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Re: totalled my car today so I need a new ride [Re: Gumby]
#18764057 - 08/27/13 01:58 PM (10 years, 5 months ago) |
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The way I understand it, leasing is only good if you do commute less than 15,000 miles a year or so, (depending on the lease terms.. NEVER go over the mileage amount) Because then they charge you something ridiculous, PER MILE over the limit. And with leasing you generally trade your car in every 3 years, at least that's what my girl does.
I finance/buy my cars because I put on like 25,000+ miles a year, and I tend to keep them for a long time, mod them, and then sell them privately when done. A lease is a terrible idea for me.
With a lease, you never own the car.. you are basically renting it. When you are done with the lease you give it back to dealership and lease/buy another one.
I don't really know any more details or specifics as I've never leased. I've always bought cars used with cash, or my newest one was financed.
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Shroomism
Space Travellin



Registered: 02/13/00
Posts: 66,015
Loc: 9th Dimension
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Re: totalled my car today so I need a new ride [Re: druqs] 1
#18764098 - 08/27/13 02:09 PM (10 years, 5 months ago) |
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Quote:
druqs said: go German or Japanese.
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