Leasing or Owning a Car?

[Tenacious_D]

I always assumed that nobody can really afford to go in and write a check/fork over a bag of money for a new car, therefore there will always be payments.

I always thought the same thing...until I met my inlaws. My family had always purchased used cars from auto auctions so I never knew what car payments were like. We fortunately had our in-laws buy us a car (outright) after we had E thus the reason why I no longer bitch too much about MIL on here

[SoonerTexan]

I always thought the same thing...until I met my inlaws. My family had always purchased used cars from auto auctions so I never knew what car payments were like. We fortunately had our in-laws buy us a car (outright) after we had E thus the reason why I no longer bitch too much about MIL on here

My parents do this. Of course, they only buy a decent car every 8 years or so, or small cheap cars (like 2-3k) for the kids in between. They actually financed a large part of one on interest free credit cards for a long time (just kept transferring the balance). They finally are getting to the point where they are buying nice cars in the 20-30k range...for cash. I'm impressed and I hope I can manage my finances like that.

[QUOTE=Cassy;489039]I assume you mean 100K miles . That's a lot of miles for a 2004. I'm not sure what your driving routine is and whether you still drive your car a ton but it's possible you'll go over your mileage for your lease and have to pay per mile.QUOTE]

I did mean 100k

The reason I have soo many miles is because I got it right out of undergrad so I was driving all over the state to get a job, then I had a long distance boyfriend, then I moved to Arkansas, and my parents live in PA so i was taking that car all over the country. In the past two years though, I've probably only put about 15,000 total. Which is pretty good for two years! But that is one thing I've thought of, the mileage, I would have to figure that out.

I do agree though, If I went the Honda Civic route I would buy. That car is like gold!

[Vishenka69]

It really depends. We've done both and I wouldn't say that one was better than the other. We leased an Acura after moving to PA because we had no idea what we wanted or needed and didn't have time to figure it out. Once we realized that we'll need an SUV and on average drive about 15,000 miles a year, we bought our next car. Plus the model we got is fairly new and doesn't have good leasing deals but at the end of last year we were able to get a good price for taking whatever color was on the lot. Some models tend to have better leasing options than others and some companies offer better financing for buying. Decide on what car you'd like and then see which option is better for you at that moment.

[TigerLily]

I don't know a whole lot about financial matters, but my husband and I decided that leasing was the best option for us. We were driving a 98 Buick and a 98 Cavalier. We are doing a lease on a 2011 Hyundai Sonata and we love it. The payments are only about $200 a month, which is affordable on an intern's salary. Also, Hyundais are supposed to have a great residual value. We figured that since he is a first year resident, and his residency is only 3 years we will want a different car in 3 years when his salary increases. Also, you can lease a car and then buy it at the end of the lease! Again, it might not be the most financially responsible decision...i'm not sure, but I know that we will be in more of a position to make a 3-400 car payment in 3 years than we are now!
Good luck!!

[bokelley]

We purchased the Saab, but considered leasing. The big issue for leasing that made my husband so mad, was that at least in Arkansas, we would have to pay sales tax on the sale price of the car. So for example, with the Saab we would have had to pay the sales tax of 1950 regardless of owning or leasing. He just thought it was stupid to pay sales tax on something you don't own.

[DCJenn]

I'm always a "buy" girl but given our car history I should be a lease girl. I think we've learned enough painful lessons about buying the car of your dreams only to have it be the car of your nightmares when your lifestyle changes that we are smarter now. But... I doubt it.

I guarantee that the second the DC house sells he'll be trading in the family truckster Audi A3 wagon for a BMW M5.

Jenn

[Chrisada]

I'm always a "buy" girl but given our car history I should be a lease girl. I think we've learned enough painful lessons about buying the car of your dreams only to have it be the car of your nightmares when your lifestyle changes that we are smarter now. But... I doubt it.

I guarantee that the second the DC house sells he'll be trading in the family truckster Audi A3 wagon for a BMW M5.

Jenn

Oooh.. nice! M5 is DH's dream car. All though he just sadly realized that all of the OB's have SUV's because of the snow, and he'll probably have to get one too.