Reddit lease or buy luxury car. This is why I moved out of CA tbh.

Reddit lease or buy luxury car Thanks 429 votes, 434 comments. Go drive a c300, 3 series, then an A4. But when comparing buying new vs leasing, leasing wins every time. I am considering if I should buy out the lease or get a new lease. Luxury cars especially the Lexus tends to hold its value, unless you are paying cash, the 5. Reddit iOS Reddit Android Reddit Premium About This car would simply be a luxury item. Any automobile that moves on four wheels can be like rents,lease,farming etc. i. A lease is good if you enjoy luxury vehicles, having a new vehicle every 3 years, not worry about maintenance as it's usually covered, don't mind going into another lease or searching for a new vehicle when the time comes, and good deals could be had prepandemic. Nobody needs a luxury SUV. Thanks for posting, u/Chevrongingerale!This comment is a copy of your post so readers can see the original text if your post is edited or removed. It’s the same concept of someone buying a private jet for their business because they travel a lot. you live in Boston - where are you going to drive with all the Therefore, I've come to the conclusion that, unless I have a very compelling reason to buy, I'm going to lease the A7. however, when mechanical issues do happen, they are It's very possible to lease luxury cars cheaper than buying a more modest car due to the way manufactures set their residual value and money factor. I hope that you will feel well to drive their car. Option 2: Get another lease Option 3: Buy (finance) another car Option 2 is for sure the most expensive way to own a car. On a car with a sticker price of $20,700, that seems absurd to Many companies in big cities very easily buy luxury cars as business expenses. Ended up buying a used car from a different mazda dealer but they didnt say a single word about it being a lease or not when i turned it in. Rolls Royce w/ a chauffeur , easily doable in Miami or New York because first impressions are a big deal. g. I wouldn’t consider it. I lease. ) With luxury brands, it's usually best to lease or buy 2-3 years used. There's a saying "A used cheap Mercedes will be the most expensive Mercedes you'll ever own" If you have warranty for your luxury vehicle then it's a nice car to have. Since rates are high the cost of leases is up. financing a car and answer some common questions to help you figure out whether leasing or buying is a better choice for your Since these cars typically come with a 3-4 year warranty and service plan, is leasing a hassle free way to enjoy a luxury car without being stuck with costly repairs/maintenance? I understand Here’s the short answer to whether wealthy people buy or lease cars: Many wealthy people prioritize purchases over leasing for regular cars. As for buying; there's no need to 'keep 10 years'. Since the residual (or the value of the car at the end of the lease) is pre-set, you can think of a lease as financing how much the car depreciates over the 3 year period (or however long your lease is). It sounds like you maybe could handle a relatively high monthly payment. This is hands down the best lease for a "luxury" car let a lone a "luxury EV" What I've gathered is that for Tax purpose, leasing is more efficient as 100% of your payment is tax deductible as long as they are used for Business oppose to when you buy a car as business owned vehicle, there's a lot of limitation on how depreciation can be used to lower your tax liability, unless the vehicle is over 6000lb in gross weight. Their all of the cars are really very usable. If I get a new lease I've been told by the dealer who desparately wants it back that I have "equity" in the car. With the cost of repairing vehicles skyrocketing almost faster than the cost of healthcare, I'm increasingly feeling like leasing can be a good idea for people with a lower salary, as long as the monthly payment plus insurance and operating costs easily fits into your budget, you don't go over the mileage limits, and you keep the car in good condition to avoid charges at the end of the How does it look from the outside. Mind wants the practical solution, while the soul wants something that excites, and makes every drive memorable. This is in the US. Somebody else has already taken the initial MSRP hit , so we get good value out of it . Buying a CPO can make more sense if you put on very few miles per year. The best leases involve a high residual value, low money factor, good percentage off msrp for selling price , and good rebates. They do drive beautifully though. This is my first reddit. When we're talking about limited production models, then yes it is. You buy the car out on additional financing and end up after 6 years spending a total of 29K after 6 years. She's never had a "luxury" vehicle but was blown away by the experience. If it's a luxury car, or something that will depreciate heavily, or a car brand with questionable quality, or you personally like to swap cars often - go ahead and lease. There isn’t a price cap on company vehicles. I really enjoyed it but I also never bought another luxury car after that. A lease being beneficial comes down to how many miles you drive annually for the most part. Buy the Toyota, lease the BMW. For those posting: Please use the following template in your post. The one exception is that with many EVs (plug-in hybrid counts) you get an additional $7,500 credit to lease because of the federal inflation reduction act. there are good models & bad models, just like a regular-brand car. Since portions of the car market are still tight you can't negotiate a huge discount from MSRP thus paying more to rent I would lease if you don’t mind not owning the car after three years. That's not the price of the car, that's what the dealer wants to charge me for the lease alone even though the car lease in only $10,496. Scenario 1. There is no cut and dry answer to which brand is the best to lease as lease programs change monthly. Lease is about 25-35% of the sales but for luxury brands it's the majority, 55-70% of BMW, Lexus, Mercedes, Acura, Audi, Cadillac, and Volvo vehicles are leased The common wisdom says it's mostly unreliable Euro luxury brands that tend to be leased but the actual numbers disagree. Looking for a 10/36 deal. Pros: you have 2-4 years test drive of the car to decide does it fit your needs after the lease is over, you are buying a used car with known maintenance history A car purchase is always a combination of mind and soul. Used cars, pre owned cars, new cars, leases all look like bad deals right now, but unfortunately this is just when i need a car. I want to get a car, and have put a deposit on an $84k car, for a 3 and 1/2 year lease at 1. Luxury cars are meant for leasing and being passed on as a CPO with a healthy warranty to Run the numbers and you will see their leasing terms are not very competitive. That means you would pay the same for the vehicle as you would had you purchased the vehicle, $27,000. My current budget for a car is 14k and from what ive been seeing it doesn't get me much, But if i were to lease a vehicle I would be able to get a much nicer/newer vehicle that is under warranty. I posted this in the r/Cars weekly megathread, but figure I could post it here as well. . I have to confirm with the dealership tomorrow, as delivery is friday. just whip out your calculator and calculate your lease payments. In pre-covid times (hopefully again someday) there were opportunities to get a cost-effective lease deal on economy model cars based on manufacturer incentives, assuming you were flexible with your car choice and willing to go with It is almost always better to just buy these cars. If you're going to drive the vehicle into the ground, then buy it. Leasing usually means lower payments while you lease but at the cost of paying more money overall. A friend of mine suggested rather than financing a new car to lease it first and then buy it with cash or a home-equity line of credit (low, under 3% interest). Consider leasing if you’re concerned about the long term reliability and cost. It’s not about need. When it comes to the S-Class, it certainly isn't. Buying vs leasing. Seems like you are just looking for name brand recognition. Honestly, most luxury cars are better suited for leasing anyway because of the horrendous depreciation and tendency for expensive repairs down the road. At your price point if you want luxury then buying a used Lexus seems like the best choice. 3k a month. Right now Audi is offering 0% financing on some models for "best credit" customers. Only during introduction of a new model or exit of an old model will a lease on a sports car be really worth it. Mercedes C-class, BMW 3 series and Audi A4 are extremely good cars - very luxurious, very well appointed, look You sound like a lease buyer in my layman opinion. ) Price Range: $17k-$22k, but would prefer something under $20k. Mazda is probably the one that will hold value the best in terms of new car. On 2, you’re absolutely right. Leasing is more expensive in the long run, but comes with the luxury of continuously driving a fairly new car. When acquiring a luxury vehicle for business use, companies can choose to purchase or lease. That said, the rapidity with which a vehicle depreciates means it's generally not worth buying new. The personal finance reddit group is ridiculously conservative financially and I think most of what they recommend is just nuts. TL;DR: What decisions / criteria influenced you to buy or lease an EV? Hello US Reddit Community – Looking for some help and input, similar to a question also asked today about buying an EV now. You are comparing buying used and leasing new, you are getting 2 different things as a result. My last car purchase I understand that leasing is typically the most expensive way to drive a car, however what about between buying a 35K car vs. 99%, 6. Leasing makes sense for luxury buyers who want to be always in the "current" model. true. Just wanted to gather some of your opinion if its better to lease it here in CH or buy it cash. most advice I read for luxury cars is that it makes more sense to lease and apparently 9/10 people lease them Cons to leasing: it's basically just renting. I feel like that gives the best options. But I’m comparing leasing vs buying the same new car. Lease car #1 then buy out: Let's pick a basic Ford Escape using the numbers from their site. The “normal” cars don’t see significant depreciation while luxury cars do which makes the prices even out. I did think it was fun to do one time. Also check out our community-sourced Ultimate car buying wiki. and just like a regular car, you need to keep up on the maintenance schedule or else shit eventually goes wrong. Which fortunately seems to be our case more and more. Or if to lease it and after 4 years buy the car. The 1st owner took the major hit. It depends on how much you appreciate new features in a car. I would bet that skews even higher for european brands as less are typically shopping those brands with the intent to hold long-term. If having the newest and greatest is important to you, you will enjoy your BMW or Audi lease more than maintaining a 3-4 year old Lexus for the imaginable future (you could lease the Lexus as well, but all Luxury brands are available on a lease in a way they aren't for Our M3 RWD white paint and 18" aero wheels which is $43K, with $2500 down at 36/15 comes to $500 a month w/ taxes and DMV fees. This is so wrong. They didn’t buy it new. Capitalized cost is the value of the car at the beginning of the lease, and it can be negotiated. What are the pros & cons. There are cars that depreciate less than others, but there is not a single car you can buy that will fit the description you just gave. The other option would be leasing, which I don't often see discussed here. Leased car you pay a monthly payment that more or less is paying the cost of said depreciation. Once you lease, you usually continue that cycle. Or many people just lease luxury cars since they depreciate like a cheerleaders panties most are priced well with a balance of warranty Sudden need of vehicle- lease new or buy used? Yes they do, but the cost of a lease vs the cost of a purchase is not worth it. There previously was an SUV "loophole" that allowed expensing over 6,000 lbs, but it has expired. Non luxury car brands make vehicles now that can be pretty comfy and have the same amenities as luxury brands anyway. Location: (Specify your country or region) Price range: (Minimum-Maximum in your local currency) Lease or Buy: New or used: Type of vehicle: (Truck, Car, Sports Car, Sedan, Crossover, SUV, Racecar, Luxury etc. But it comes with 1 major benefit. After selling my old car, I have collected 30k On top of leasing just being bad in general, you are planning to buy the car when it may not make good sense at the end of your lease or you just may not want the vehicle anymore. Unless you are earning well in excess of $200k. Finance - If I plan to buy a vehicle at the end of the lease term, is there any case where a lease is the better choice financially? Auto I have never leased a car (only financed or bought with cash) and am wondering whether there is ever a situation where a lease can be the better path financially if I intended to buy the car at the end of the lease term. Love the car!!! In that you can opt to buy the vehicle if you love it and want to keep it (comparing it to transaction prices for similar vehicles first), trade the vehicle in toward your next car (if you leased 3 years ago, this is currently what a lot of people are doing because no one saw this value bump coming 3 years ago), or just turning it in and walking away(if the economy turns down and the car is As my 2021 Sorento EX lease nears its end, I'm actively exploring alternatives, navigating through analysis paralysis as I weigh the options of leasing or leasing to buy. 99% financing with full warranty. Generally, you'll end up with a higher-end model with quality parts. All of it made me want a new car, until I got home and drove my car and remembered why I loved it so much. My old car gets horrible fuel economy and buying a used car in today's market is like a new car. They make decent cars that cram as much tech into them, thinking having a ton of tech makes them a luxury car. Hi! I’m planning to buying a new Mercedes Benz 2024 c class sedan this weekend that costs roughly 50k. German luxury sport, 3 words that might as well be read as "40-60% discount after 5 years". The differences will be in cashflow and a some admin fees. I swear 90% of the "My car is a problem" posts A lease calculation is based on the MSRP, - Negotiated price -residual. I actually purchased an EV that has depreciated way faster than I expected it Leasing for 4 years is basically money just being flushed down the toilet, but it saves me from any potentially massive repair bills. You could do the next 3 years much cheaper by just buying a used car for about 10k and then selling it once you do have a good job. Basically without a car we can’t really move forward. At the end of the lease vs buying a new car you lost very roughly the same amount of money. They don’t own them, they are being ‘rented’ with balloon payments at the end that aren’t often exercised - recycle the lease into an up sell on another vehicle is the industry practice. You're not buying a 2015 luxury vehicle and having it reliable. (🚗-🇮🇳) Auto enthusiasts discuss carIndia scene, sedans, SUVs, hatchbacks, motor racing etc here on reddit. It seems like a a lease for a luxury car makes the most sense where long term maintenance and repairs can get pricey. Leasing a car is NOT renting a car, it is BUYING a car and deferring about half of the cost. This is the Reddit community for EV owners and enthusiasts. This should be higher up. You can easily rent luxury car in Dubai. As someone who loves cars, loves driving, loves working on them, and thinks luxury cars can be worth it, let me reiterate: German luxury cars are LEASE ONLY. No sense in buying 10k miles/yr if you won't drive the car for half of that, and at that rate it'll be years before the expensive maintenance phase of a German car kicks in. I am in NYC and I was wondering if you could tell me a good lease deal for luxury SUV. Leasing can take out the downside risk to the depreciation of expensive vehicles. If you are at the stage that you track your monthly expenses, but Leases are a luxury. You will find it is pretty similar to purchase and sell. a millionaire will not be buying a cheap car a not-cheap car's value drops significantly once that warranty is gone. You also need to consider the mileage caps when it comes to leasing. Why not lease an M4? Sure the car won’t be owned by you but honestly who cares you really want to finance a big chunk of money and pay the high maintenance every 10k miles? Lease something you want, then if it really rings own it A used car that's 3+ years older can sometimes be cheaper than the lease of the newest gen itself. Given the market conditions I expecter a higher lease rate but when they quote a money factor of . Was looking at a new C43 AMG and liked the car. And I've read you lease, not buy the German cars. Sorry if this is duplicate, but I could not find one which compares pros and cons of buying a new luxury vehicle vs buying a used (lease return, < 20k miles and max 3 yrs old) luxury vehicle. I am looking at buying a car in the Seattle area and am trying to figure out if i should buy a car or lease one because of this car market. It’s not just the purchase price, the upkeep can be triple the normal cost. It's in no way an "investment" -- that car's value will collapse like crazy from day one -- but it is possibly a defensible business expense, if you need a nice ride for client service. Realtors have nice cars, Lexuses or Benzes, for the same reason. Now there was recent law passed not sure what exactly is called, leasing company such as toyota —> they have to tell you at the time of the signing a lease —> the value of car at end of the lease will Be or remaining balance you have to pay to own a car at the end of lea I've leased and bought multiple BMW's. I don’t think there’s anything you can lease that cheaply without putting a ton of money down, which defeats the purpose. Luxury leases can be good deals (e. Not sure about the trim Questions: Since I want to hold on to the car for a short time, buying used car makes sense. BUY (especially a 1-2 yr old low mileage) Lexus, Acura or Infinity. Thanks Edited: Btw thank you for all your insights. 3T, Lexus F sports might be more powerful these days but I don't know what they're offering as of late. You know for a fact that you won't have to cover any costs beyond oil changes and tire rotations. That is not always true. lower monthly payments. 00 per month for 36 months. It would be great if my monthly payment could be $350 to $40 I used to be a 'buy outright' kind of guy and had bought my previous two cars outright and new, but here in the US I would never do anything except lease. 0 or lease 3. Only lease it if you want to get into new vehicles often and/or if you have a business, you can tax deduct the lease. premium gas, premium repair costs so maybe leasing would be a good way to trial it before buying? Or buy certified pre-owned in a year or more after worst depreciation time but don’t want to deal with possible issues from previous owner or 7%+ interest rates/pay all cash. Not comparing leasing new vs buying used (which has a whole other set of parameters that may still make leasing more cost effective but is highly dependent on a ton of factors). Owner of an old (2005) S-Class here. They’re never worth the money. One possibility is buying a new car in cash -- not something I want to do, but something we can do an afford. At the end of a lease, a car driven 15,000 miles per year will be worth less (depreciate more) than one driven just 10,000 per year. Leasing a 25K car It’s time for a new car, but I have people who tell me it would be a better investment to purchase luxury or mid-lux (Lexus, Infiniti, Genesis) over a new/used Hyundai, I love buying low mile off lease luxury vehicles. YES, LEASE a BMW, Mercedes or Audi. Don't make the mistake of replacing equity with more interest and depreciation; one good rule is to not lease any car that you wouldn't buy outright! tl;dr: If he's using a lease to get a car he can't afford, it's bad. This is why I moved out of CA tbh. 40% depreciation is common even for 3 year old cars, which is the usual time when a lease ends. the residual is the end-of-lease price listed on which you have the option to buy the vehicle. In this guide, we’ll explain the difference between leasing vs. If buying a new car, buy as much car as you can afford. We wanted out of that place so bad, but the rent was the lowest in the bay area for what we needed. My aim is to find a reliable, safe, and comfortable SUV. Leasing is pretty much the most expensive way to own vehicles. Leasing only makes sense in my mind for flagship luxury vehicles (BMW 7 series, Mercedes S class, Audi A8 etc. Lots of depreciation the first couple years, especially on fully loaded models. In general, leasing a car is almost always more expensive than buying, either with a loan or with cash. 3k down. Still, choosing a larger weighted luxury vehicle can result in larger deductions under the Section 179 and depreciation rules. And you don’t have the option to buy at the end of the lease. It really depends on how much you can afford to spend on a car, but it's generally better to lease exotic/luxury cars than to buy them because the parts and I'd travel a lot for work and rent a car with nice ass amenities like air conditioned/heated seats, remote start to where it would auto set your climate in the car based on the temperature outside, large screens, push to start, etc. You will end up paying more than what you would for an EMI, it makes no sense. They discussed the pros and cons of each option, emphasizing the importance of considering factors such as monthly payments, down payments, and the overall cost of ownership. It says "$299. We could lease a new car for $300-400/mo for 3-4 years. You are better off leasing a new one and only holding it through the warranty period. Leasing is beneficial if you want a new car every 4 years, otherwise it's worth buying and keeping for 6-8 years. Neither of the cars we leased would have been smart to buy Welcome to r/LandRover, your home to the iconic British-Indian luxury car brand and a subsidary of Tata Motors. Long term, buying slightly used and keeping the car for a long time is almost always better than leasing new because eventually you will not have a car payment with a used car, but always will if you perpetually lease new cars every 3-5 years. 83 premium, which would mean that 3 years later I need to sell it for around this price in order for buying to be a better deal than leasing. ) Even better: Your city may also offer half-rate electricity for overnight charging (mine However if you're going to keep it longer than 3 years buying with a loan is a better deal than a lease. My wife is expecting and that lined up with the lease end so looking for something we can potentially grow into. Cars I've been looking into: Purchasing an Audi A4 or an Infiniti q50 (seems when buying it is recommended to buy used cars to make it more cost efficient and avoid the instant depreciation that comes along with driving a brand new car off the lot, but I want a new(ish) car so I was thinking cars built in 2015 should be good). It's completely affordable and it replaced another similar leased car we put almost 45k miles. Deciding if leasing a car for full-time Uber is a good idea. . Granted with used car prices up, you will need to do your homework on the price you can afford. In fact, given that leases mean you virtually have no maintenance and repair costs (outside of regular maintenance or Audi Buying you will have to put more money down to get your payment around what you want vs leasing a lot of manufacturers are running deals where the lease payment is a couple hundred less than financing. I know this won't resonate well with the "buy a new toyota and drive it till you die" crowd lol. That can be a bonus. I got quoted on a custom built Subaru Outback Limited for $36520 (believe that’s just MSRP) and then with all the taxes and fees comes out to a little over $41k. It costs me a little less monthly, and if I love the car and want it, I can just buy it out at the end of the lease. I see from sites like Edmunds, Car and Driver, and others, that leasing an EV is the recommended way to go because EVs are still expensive I'm old). It’s also worth mentioning that these cars depreciate FAST. But modern CPO Euro cars are a great value for the luxury/ prestige etc. I normally buy cars, but currently bmw has a $9,900 credit for lease and I can get the $7500 fed tax rebate (which I don’t qualify for if I bought). Leasing may get you into a brand new car but you will have zero equity at the end of the lease, where as if you take out a low interest loan, which you most likely qualify for based on your income to debt ratio, you can purchase a newer model used vehicle and have about 15k in equity at the three year mark based on a $500ish/per month loan. I don't really see how financial prudence comes into the picture if one already has committed to buying new. All you are doing is protecting your downside. Yes. I'd buy an older less desirable vehicle & turn it over after the hybrid becomes more available. Remember that when you're leasing a vehicle you are covering the expected depreciation of the car, estimated using the allowed mileage and length of time. How much depreciation would you anticipate on the car and how is it like re-selling the car. The rest are better to lease or buy 3-5 years old. I've always thought leasing a car was an idiot move, unless you have lots of disposable income. And the reason is that these cars have a huge aftermarket, which means that pattern parts and the like are far cheaper than you might expect. It’s a purchase that could make sense 3 or 4 years down the depreciation curve if you’re serious about driving and know what you’re doing. They told me the mileage didnt matter if i leased or bought a new car. Unfortunately in recent years Mercedes, BMW, Audi, Jaguar, Alfa have been made as lease vehicles and their reliability isn't great after 3-4 years. It also allows someone to always have a nice car with new features; which is what most luxury car buyers are paying a premium for in the first place Currently I have a Jeep Cherokee lease on favorable terms. I usually lease when I know I'll want the car for a few years, and buy when I'm only going to have the car for a year or so or forever. 20. When you buy a car, you take posession of an asset that depreciates in value. Anyone have any Get the Reddit app Scan this Negotiating a lease is the same as buying a car. 16, but with taxes and fees the total is a little over $24,000 dollars. Car Lease vs. Going back to 2015 to get a luxury car means you can't afford one unfortunately. We’re now thinking of leasing a car,probably the Hyundai Santafe or Tucson, since we don’t need the bigger car but figured if we were going to buy we might as well get something we can grow into. By that point, there would be more used cars on the market and there might be better EV technology as well. The best quality luxury car you can buy imo is Lexus. Then take your Lexus, Acura or Infinity to a good independent shop for routine warranty maintenance. higher residual, lower money factor, etc. When your friend can continue his current lifestyle and not have to make major changes after buying a car, is when he can go for a luxury vehicle. At the end of the day leasing or buying the same car will cost you roughly the same. ) or, in some cases, work vehicles, since the lease can be written off and the vehicle will be under manufacturer warranty (assuming you follow the guidelines). You're paying for that luxury. Lease or Buy: Buy New or Used: Used, but less than 30k miles. When I was talking to the dealer however something interesting came up, the lease payments for the car alone added up to $10,496. Buying new warranties the vehicle, generally makes you subject to safety recalls, etc. So expect to pay more for the privilege of driving more miles. Huge amount of leased vehicles on the road. Anyone successfully sold their car high and bought a new car for msrp in this area and feel like you got a good deal? I have a 4 year old car that I’d like to sell but I can’t find anything to buy where I wouldn’t be buying high and selling high. I want the dealership to write me a check for $20k. At the end of the lease, you can buy the leased vehicle for $15,600. I'm super excited about living in the UAE, but my one concern is whether I should buy a car or lease one. Ultimately, they prefer buying In the US, leasing makes up about 25% of new vehicle sales. 0 turbo, the Mazda CX-90 PHEV Premium Plus, and the Cadillac lyriq. You can buy out the lease at the end, buy a CPO, buy new or lease new. The idea that an old luxury car still has new luxury car maintenance costs is actually not always true. e: I just bought a CPO 750L, because I'm waiting for the AMG E63S Wagon to become available and waiting for our house to be built. If you buy a car, you're paying into interest, depreciation, and equity; on a lease you're just paying interest and depreciation. They're set up so after 3 years you have a choice between either walking away with nothing (and losing your up-front payment), finding a lump sum to buy out the remaining value of the car, or put the value of the car into a new lease agreement and getting a new car (usually without having to find a new up front payment). Join and Discuss evolving technology, Are you looking for advice on which EV to buy or lease? has all the heated/cooled/massage seats you want, usable rear seats, good trunk size, It's very much a luxury car, you can just turn it into a surprisingly capable We're Reddit's central hub for vehicle-related discussion, industry news, reviews, projects, DIY guides, to dealerships or even the brand of luxury car you are buying. You can lease it, and then when lease is over pay off the remaining balance to buy outright. i wouldn't say that luxury cars as a whole category are necessarily that much more prone than regular cars for mechanical issues to happen. They are more inclined to lease for luxury cars. Planning to buy a car and new here in CH. That's for new cars though - buying a second hand car can definitely be a ton cheaper than leasing. CPO > Lease > Buying New That being said, I've never regretted leasing. 99% dealership used car financing would make a 4 year old lease return as expensive as an 1 year old demo/last year's model at 0. I have a budget of $50,000. The buyout is coming soon for about $21k, on carvana similar vehicles with similar miles sell for about $31k I'd sell it simply because its a jeep. I know a luxury cars for rent in Dubai at Paddock. If you buy expensive luxury cars (which can take a big depreciation hit if involved in an accident, and which are also more prone to market-based fluctuations in value), you can pass the risk of excessive depreciation off to the bank, while still retaining a "call you can't lease a used vehicle. Don’t go buy something to ‘look’ good. However buying a non-premium car and keeping it for a long time (6+ years) will be even better. Of course buying a used car and holding it is the best deal Redditors provided various recommendations for luxury car leases, including the G70, buying out the lease, the Accord 2. Worried about costs associated with luxury car. My everyday is a nice Honda Civic. Someone on Lease hackr posted today that the leased a EQE SUV for 486 a month with 15K miles MSRP 87000. All they cared about was the remaining balance and i was about 3k miles over my limit. There is not a single car, not even a preowned 911 GT3 (which would be horrendously uncomfortable anyways) that you can buy, daily, put a ton of miles on, then turn around and not lose an enormous sum of money on. Leasing got a bad rap because people were using the lower monthly payments to purchase cars they could not OTHERWISE afford. Lease is Is it generally a better option to lease a luxury car rather than buy it? A lease will always be the most expense way to own a car when it’s all said and done. Bingoo. This comment is NOT accusing you of anything. Lease for 48 months is $193 every 2 weeks. That’s pretty standard for a luxury car if you are buying new. If you are still at the stage of your financial life that you focus on monthly payment it is typically better to lease a luxury car. Type of Vehicle: Sedan Must Haves: Leather, Prefer a 'Luxury Interior' The hint being they want me to stop driving my crap car so we can grow our business relationships. The lease paperwork they showed me says vehicle agreed upon value is $70k and they’re showing the $20k as a capitalized cost reduction. Toyotas and hondas just don't offer that driving experience anywhere near to a luxury car. For example right now Acura is running an ad for an 2018 RDX with a MSRP of $38,495. You should ask Lease Hackr. That time has long passed. In the Uk it is very common for people to lease cars for 2-3 years instead of buying them outright. Appreciate it very much. Whether you own a Land Rover or simply love the sleek and luxurious design, powerful performance, and rich heritage of these cars, this is the place to connect and engage for both owners and enthusiasts alike. I get luxury cars that are 2-5 years old with low miles. People also prioritize different things. I own a 2015 Audi Q3 I'm ready to get rid of and think leasing may be the better route for me – I don't keep cars long enough to get value out of paying down and owning, like to have the newest tech/safety features, and would like to have less hassle/stress with maintenance, etc. I have a different perspective. That means after 4 years you've paid out $20,072. In addition you have to pay interest - or AKA money factor. wouldn't that be considered people can generally buy luxury cars with lesser income but they often forget to factor in other costs If your friend just needs a car to get around and can spend the next few months saving up, buying a cheap beater makes more much more sense. You are paying for about 45% of the value of the car over three years. Reply reply More replies. appreciate your opinion on it. if you know how many kms you drive, buy them accordingly and like that flashy new car, a lease is the BEST way to get a car especially a luxury model. ) compared to buying. The one caveat is that there are some hybrids that are eligible for the EV rebate. If you are looking purely at dollars and cents buying or leasing a new car is a bad bad decision. Some models should never be leased and some models are perfect for leasing. If the numbers were being reduced by $7,500 it should be much lower. 535i is a great car already. Audi is BY FAR the more inferior brand between the three. And if you want to keep the car they usually will give you a deal that’s slightly better than buying that same car off the used price. Example: A customer of mine wanted to lease a 2015 corvette. You’re paying a premium to drive the car under certain conditions, then give it back without the worry of equity. It won’t even feel like it belongs in the same convo. The car I’m leasing is worth $50k. There is no other lease with that little down that can match that for a $43K car which BTW is price range of most entry level ICE Luxury cars. 5 million dollar house lol (My wife does have a 50K Odyssey which I guess is basically a luxury car price wise). Buying used and selling generally should be less of a loss. over the LOONG term it's definitely more expensive The monthly payments would be a little bit higher than what I currently pay to the bank, but I wouldn't have to worry about maintenance (the lease includes it), stuff breaking (new car warranty, lease warranty, and so on), insurance (lease also includes it). So they go lease a new compact car with zero down and have just under $300 monthly payments for a 4 year lease. If they are plug-in, you can do a loophole where you lease them to get the EV credit and then buy them out after 3 years. Hello! I am brand new to leasing and going deep into the research of it right now. Leasing in India is terrible, unless you're going for luxury cars and going to get corporate tax benefits. And of course, I would have the chance to just buy the car at the end of the lease. Option 1: Buy (finance) the car for about $19,200. Many (especially those who are married) have a cheaper, older car as well that they use for day to day or road trips. Do you think it's possible to stay within that? Thanks. With a lease you also need to think about if the vehicle suffers any damage. What is the amount of km you get in a year? The lease says max 24,000 km. I need a luxury car to drive to court, client meetings, the office, and especially to give rides to these snobs I work with. I leased a mazda cx5 a few years ago. Always the option to buy out at the end if I want. Very confusing. Get the Reddit app Scan this That's the preferred way to own a German luxury car. I'm in the market for a new luxury vehicle (BMW X3/Volvo XC60/Audi Q5). You may be mistaken. Am I overlooking anything here? Also from my short amount of research, it seems Audi may not be the most lease friendly luxury car brand. You’re asking a bunch of salespeople if it’s okay to buy a luxury car. " That $21,557. A 55% residual is pretty average for a lease. Option 3 is surely more expensive than option 1, as you said your car is Based on this math (which I hope is right), it seems like buying the car outright over leasing costs a $27,111. I posted in r/mumbai and received an overwhelmingly negative response dissuading me from buying a Jag XJ S for cheap. I am having a lot of second thoughts. The fit a finish on Teslas is not anywhere near the level of cheaper luxury cars like a BMW 3 series or a C class Mercedes. $9,900 credit, $8,400 additional off. Lease a 2021 Cayenne: Not sure about the exact cost, bit I got $800/month for 42 months + $5000 down as an initial estimate. If Acura tanks in value, I can turn in my MDX in 3 years and walk away. That jumps to nearly 50% for luxury brands. If I buy out the lease, I realize that interest rates suck right now but I think the car is a pretty good deal considering how prices have changed. The lease car is our primary car, it costs, by far, less to operate than the 6 year old car. You can rent a car for short to medium term through services like revv but you obviously won't get a brand new car with those. Option to purchase at lease end $21,557. Wife drove an Audi Q7 last week and fell in love with the experience. Usually end up paying similar prices to a similar non luxury brand with similar year/miles. I have a friend who can’t even even make it to the 1st real car service without the up-sell occurring. 20 is your residual: 56%. As an engineer, raising a family, we really wanted to buy a house, but never felt like we could actually save enough money and pay the ridiculous rent for the postage stamp of a slum-lorded apartment we were in. At the same time, if I bought the vehicle and sold it just before the warranty ran out, I'd probably be further ahead, since the vehicle likely wouldn't have depreciated by as much as I would have spent leasing. Get the Reddit app Scan this (and the Volt is a luxury vehicle to boot. Buy something cause you truly like it. I do not want to spend more than 70k on the car if possible. Now I drive a Honda Civic even though I live in a 1. If you can get it without a loan, or a short term one, you will come out even more ahead Are you looking to rent a car for your Dubai travel? If yes, then Dubai have loots of company & they are providing this service. You are in a financial position to buy the Q7. The difference between the $12,700 and $11,400 amounts is the main reason why the monthly payment on a lease is less than the monthly payment on a purchase. 3 if possible) - Audi A5 (lease 2024 or buy 2021-2022) Thanks in advance for any advice/suggestions. Never finance a new luxury vehicle. - Acura Integra (lease or buy 2024) - Kia Stinger GT (lease or buy 2024) - Genesis G70 (buy or lease 2. The only difference is that they don't shop around too much. Buying a luxury car is never financially sound and I’m sure you already knew that. Entry level cars from lux brands like MB, BMW and Audi used to be cheap knockoffs. That amount is what it costs to rent the car. It’s something you want. The uber wealthy don’t buy cars like you and me. Sitting in our garage is a 6 year old car owned outright and a less than 1 year old car we lease. You can choose to sell that asset at any point in the future, cashing out the value. The balloon at end of lease is a nightmare and you will be tempted to lease another new car, hence on the treadmill of finance for ever. I've been looking for similar leasing options in the UAE but all I've only found Hertz/enterprise etc offering 2 month rental contracts. The lease program on sporty cars is usually terrible and not worth it. Location: South Orange County/Phoenix Metro Area (Moving there in the coming months. Most luxury car owners lease their vehicles and trade in before the maintenance costs hit. It depends on the make and model. Genesis has the most powerful engine of the bunch with the 3. The car I’m trading in is worth $20k and I own it free and clear. 00151 money factor. Do not do it! You can only claim the gst up to the luxury car tax threshold so not even saving that. So basically, you want the cap cost to be as low as possible. The payment between buying and leasing is not perspective. The answer is a yes from us. We're Reddit's central hub for vehicle-related discussion, industry news, reviews, projects, DIY guides, There's a reason 87% of all Rovers sold in 2020 were on lease. This includes trading up to a new car and substantially reducing the purchase price of the new vehicle. The way I think about it, if you want a basic car, even like a basic luxury car like a BMW or Mercedes with sportiness, leasing can be a good option. Almost all people buying new luxury cars are leasing and trading in every 2-3 years. Manufacturers know not everyone can afford cars like these so leasing and giving incentives helps broaden the market. As far as buying, a CPO with Question I had was if most people bought the car or leased it. However, if their just in the market for something more common like some of the luxury vehicles, it is more or less the same. I might be buying or leasing an E-class AMG, GT53 4-door, 850i Gran Coupe, or etron A6 (if they ever launch it) in the next year or so. Their reasoning was that they couldn't afford to buy that car and didn't want to buy a used car for whatever reason. What do you guys think? Thank you! Update: I leased. For other less expensive cars, there are lots of potential reasons. If you don't drive much then leasing a luxury car is a far better option than buying for a few reasons, the first would be everything is under warranty, this is very important on high end vehicles because the smallest things can cost alot. 00375 or 9% on a 36 month lease, even with a 61% residual value, I can seriously put the same down payment on a 6yr purchase and only be out a minimal amount of money at a much lower interest rate. But when your circumstances change, or your priorities change, you’re going to be frustrated you can’t even get 40% of your money back selling the German car. If you buy CPO that is 2 years old for example you still have 2-3 years of warranty and the car is often 30% less than msrp and further down the depreciation curve. Get the Reddit app Scan this QR code to download the app now. I read that about 50% of new Mercedes cars are leased, there's a reason for this. I think I'll pass on this offer, but I wanted to know your thoughts on getting something like an Audi A4, Jaguar XE/XF, BMW 320i, Mercedes C200 second hand. gdqgo rvy wdhru kpvyh mbckxjj evsx dkblias dqhp hylh dnfra