Buy, Lease or Finance?

[Killer Whale]

So I've always saved and bought my vehicles straight up. Even though having the ability to finance a brand new dope vehicle I've always held off and saved my money. I've invested in property and have my money tied up but have a decent job and couldn't hold back when I went to the automall.......... I'm now picking up a Vehicle 5x more $ than any previous under finance tomorrow. I've never cared for owning really nice cars/trucks but I'm soo fucking stoked!
The only way I would even consider a lease would be if it was for business so I could write it off.

Do you save and buy, lease or finance?

 

[ralphc1]

So I've always saved and bought my vehicles straight up. Even though having the ability to finance a brand new dope vehicle I've always held off and saved my money. I've invested in property and have my money tied up but have a decent job and couldn't hold back when I went to the automall.......... I'm now picking up a Vehicle 5x more $ than any previous under finance tomorrow. I've never cared for owning really nice cars/trucks but I'm soo fucking stoked!
The only way I would even consider a lease would be if it was for business so I could write it off.

Do you save and buy, lease or finance?

I buy. My view is that financing is only for things you really need, not just something you want. That basically boils down to a home and a vehicle. If I can't afford to pay cash for something I have to decide if I need it or could buy something else that's cheaper. I've seen so many lose their ass financing things like boats, rvs, or homes and vehicles that are way more expensive than they need.

 

[mushishi]

My philosophy on spending is shaped by rich dad, poor dad and Dave Ramsay podcast, I.e., most things we want are doodads, and pay cash for things. I slightly modify by using credit cards for points and paying off every month.

As for big ticket items like cars and houses, gotta finance. Everything else, pay in full.

 

[Oblivian]

We financed our family vehicle because we bought new. The rate was .9%, so there really isn't a reason to pass that up. I bought my truck with cash because it was cheap enough.

 

[Konster]

Financing, especially used cars is the worst thing you can do in America. Leasing is good if you have a steady job. Buying is best if you can afford it.

 

[Seraldo Babalu]

Of these options, leasing is the least sensible. Leasing means you agree to pay a perpetual rent expense with no asset to show for it. Money is just disappearing each month for something that's not yours. Financing is less desirable than buying with cash, because you will lose money on interest. Always pay with cash if you can.

 

[RollSonnenRoll]

Is there good financial reason to lease a vehicle? Seems like the only reason to do so would be if you were transplanted somewhere and needed a vehicle for only a year or two or you just want to drive a Mercedes and can't really afford to own it.

 

[Jesus H. Sherdog]

So I've always saved and bought my vehicles straight up. Even though having the ability to finance a brand new dope vehicle I've always held off and saved my money. I've invested in property and have my money tied up but have a decent job and couldn't hold back when I went to the automall.......... I'm now picking up a Vehicle 5x more $ than any previous under finance tomorrow. I've never cared for owning really nice cars/trucks but I'm soo fucking stoked!
The only way I would even consider a lease would be if it was for business so I could write it off.

Do you save and buy, lease or finance?

I’ve always saved and bought for vehicles. But I’m curious, especially since I’m about to buy a new one myself... what is this new vehicle you had to have?

 

[west42]

I know where this thread is going.....the vehicle is a Miata, isnt it?

 

[bubbleboyjones]

So I've always saved and bought my vehicles straight up. Even though having the ability to finance a brand new dope vehicle I've always held off and saved my money. I've invested in property and have my money tied up but have a decent job and couldn't hold back when I went to the automall.......... I'm now picking up a Vehicle 5x more $ than any previous under finance tomorrow. I've never cared for owning really nice cars/trucks but I'm soo fucking stoked!
The only way I would even consider a lease would be if it was for business so I could write it off.

Do you save and buy, lease or finance?

Depending on the model I personally like buying slightly used vehicles with low miles as you can get some very good deals on cars with under 10k miles with full service history if you are willing to look hard enough. The dealerships expect you to finance these cars at a ridiculous % as the vast majority of people who are in the market for those cars don't have 15k sitting in the bank. People who have the cash to buy those cars usually end up financing a 50k vehicle so the dealership has no idea you intend on buying the car in full. This is important as you never let the salesperson know you intend to buy the car in full until you get the lowest price as they can't make much money off of you. The dealership hates people who do this.

 

[My name is]

Put enough down for 0% or pay cash.. I've made all the mistakes of high interest loans and giving the bank 1000s of my dollars it's all just money waisted especially on a car

 

[TeTe]

I'll only pay cash for used cars or finance a two or three year old car. Fuck buying a new car and taking a beating on the depreciation. Especially if I don't plan on keeping it that long.

 

[TeTe]

Is there good financial reason to lease a vehicle? Seems like the only reason to do so would be if you were transplanted somewhere and needed a vehicle for only a year or two or you just want to drive a Mercedes and can't really afford to own it.

If you don't plan on keeping cars long and constantly want to be driving a new car then leasing is worth it.

 

[mushishi]

Is there good financial reason to lease a vehicle? Seems like the only reason to do so would be if you were transplanted somewhere and needed a vehicle for only a year or two or you just want to drive a Mercedes and can't really afford to own it.

Tax write off. Some folk don’t want to deal with maintenance and repairs. Some like driving a new car every three years. Rich folk stuff.

 

[mushishi]

Put enough down for 0% or pay cash.. I've made all the mistakes of high interest loans and giving the bank 1000s of my dollars it's all just money waisted especially on a car

Any high interest loan is a waste. Most loans are a waste. Listening to dave Ramsay podcast and Robert kiyosaki, being debt free is where it’s at. That’s freedom. That’s my goal. You really are slave to your lender.

 

[ralphc1]

We financed our family vehicle because we bought new. The rate was .9%, so there really isn't a reason to pass that up. I bought my truck with cash because it was cheap enough.

You can always buy a vehicle cheaper by paying cash. The last vehicle I purchased new, the manufacturer was offering 0% for 36 months but I received a $6,000 discount for paying cash. The interest is built into the price.

 

[My name is]

Any high interest loan is a waste. Most loans are a waste. Listening to dave Ramsay podcast and Robert kiyosaki, being debt free is where it’s at. That’s freedom. That’s my goal. You really are slave to your lender.

not familiar with ramsay I'll look him up.. kiyosaki is all about debt isn't he. I'm not real sure just know he's the rich dad poor dad

 

[uptheirons!]

Of these options, leasing is the least sensible. Leasing means you agree to pay a perpetual rent expense with no asset to show for it. Money is just disappearing each month for something that's not yours. Financing is less desirable than buying with cash, because you will lose money on interest. Always pay with cash if you can.

A lease payment can be a tax write-off if you're self-employed. Also leasing is good for people who like to change cars every 3-4 years. The only reason to buy is if you want to keep the car for at least 8-10 years.

 

[mushishi]

not familiar with ramsay I'll look him up.. kiyosaki is all about debt isn't he. I'm not real sure just know he's the rich dad poor dad

Yeah, he advocates smart debt. Discard that if you want. My big takeaway from kiyosaki is to stop buying doodads. And to work on passive income streams. And at its core, money=time. Having enough to retire early is buying you years of time.

 

[hbdope]

Depends on what kind of car, what you are using it for, and your means to purchase. By financing it depending on your credit you will pay more in interest in the long run increasing the actual price of the car. I would lease an exotic or German because of high depreciation and maintenance costs increase the longer you hold the car. Try holding onto a Mercedes S550, if you don't have a high paying job the maintenance costs will make you uncomfortable.

Also tech and elecronics always changes so it's nice to keep upgrading if you appreciate new tech.

Just drove a new A4 and they have this pretty cool software that allows you to use your phone in the command console.