Nissan 370Z Forum - View Single Post

synolimit · 06-22-2013, 08:06 PM

I always lease for the cheap payment and I never keep a car longer than a year. Lease works same as a buy. You pay a price, you owe a certain amount on it, and if you ever want to sell you just owe what the payoff is. Pretty simple.

It's more complex if you want to buy it after the lease end, depends on the residual and in some cars you lose, break even or if lucky come out ahead. Based off of what a used 2010 is, I can come up ahead as my residual is about 2k under the lowest trade in value. During trade in for 2016 I can now have a 2k down payment if I would of put nothing down this time around.

A $35k car plus tax and title etc with nothing down to buy will cost you about $673 a month for 5 years (way to much monthly!!!). At the end of 5 years you'll have paid about $40k at 2.9%. Now a lease depending on the deal will be much cheaper monthly. My lease last month would have been $413 again with nothing down for a sport model with splash guards, floor mats and trunk mat. $413 vs $673 is a big difference!! Now my residual is $22,400. So after 39 month lease ill have paid $16,100. Then I need to finance my residual and my tax on that amount for $23,800. The payment comes to $427. Almost the same price as my lease payment. At the end of 5 years ill have paid $26,600 on the residual price. Adding the lease money to the buy out money ill be in for $42,700 over the whole payment life of my car.

So whats the difference? Easy. $40k for 5 years at $673 a month!! or $42.7k at 8 years for only $413 and $427 a month. In the 370z case it does end up being more but you have a car you love that you can afford. And again with a lease you can sell it at any time, mod it if you like, do anything you want to it and turning it back in as long as the paint isn't jacked and tires are good, you're good.

The bonus with a lease is after the 39 months if I want the new 2016 I can give my car back no questions asked, again put nothing down (although ill have about 2k since the residual was in my favor) and probably pay only $382!!. If the buyer wants the new 2016 he will still owe $13,800 and based off of trade in prices he might get about $24,000 (same as the lease guy). Now that means the buyer can put down about $10,200 for a new buy (lease guy had 2k down). But his monthly will still be $489 a month which again isn't as cheap as the lease payment ($489 vs $382). Eventually a buyer will win in the long run for money spent but people who are impatient, want new cars all the time, can't afford crazy monthlys, a lease wins out!

06-22-2013, 08:06 PM	#12 (permalink)
synolimit A True Z Fanatic Join Date: May 2013 Location: Columbus, OH Posts: 5,051 Drives: 2013 Silver 370z Rep Power: 3389	I always lease for the cheap payment and I never keep a car longer than a year. Lease works same as a buy. You pay a price, you owe a certain amount on it, and if you ever want to sell you just owe what the payoff is. Pretty simple. It's more complex if you want to buy it after the lease end, depends on the residual and in some cars you lose, break even or if lucky come out ahead. Based off of what a used 2010 is, I can come up ahead as my residual is about 2k under the lowest trade in value. During trade in for 2016 I can now have a 2k down payment if I would of put nothing down this time around. A $35k car plus tax and title etc with nothing down to buy will cost you about $673 a month for 5 years (way to much monthly!!!). At the end of 5 years you'll have paid about $40k at 2.9%. Now a lease depending on the deal will be much cheaper monthly. My lease last month would have been $413 again with nothing down for a sport model with splash guards, floor mats and trunk mat. $413 vs $673 is a big difference!! Now my residual is $22,400. So after 39 month lease ill have paid $16,100. Then I need to finance my residual and my tax on that amount for $23,800. The payment comes to $427. Almost the same price as my lease payment. At the end of 5 years ill have paid $26,600 on the residual price. Adding the lease money to the buy out money ill be in for $42,700 over the whole payment life of my car. So whats the difference? Easy. $40k for 5 years at $673 a month!! or $42.7k at 8 years for only $413 and $427 a month. In the 370z case it does end up being more but you have a car you love that you can afford. And again with a lease you can sell it at any time, mod it if you like, do anything you want to it and turning it back in as long as the paint isn't jacked and tires are good, you're good. The bonus with a lease is after the 39 months if I want the new 2016 I can give my car back no questions asked, again put nothing down (although ill have about 2k since the residual was in my favor) and probably pay only $382!!. If the buyer wants the new 2016 he will still owe $13,800 and based off of trade in prices he might get about $24,000 (same as the lease guy). Now that means the buyer can put down about $10,200 for a new buy (lease guy had 2k down). But his monthly will still be $489 a month which again isn't as cheap as the lease payment ($489 vs $382). Eventually a buyer will win in the long run for money spent but people who are impatient, want new cars all the time, can't afford crazy monthlys, a lease wins out! __________________ 13 370z- Last edited by synolimit; 06-22-2013 at 08:25 PM.