Guy I need your opinion on a 370z lease!!!

mantella87

True.

Chteelers

See this makes no sense to me. After 39 months, you're gonna spend:
38 * $419 + $2500 = $18422 Total expenditure

If you had bought, here's where you'd be after 39 months (assuming 7% sales tax, 5% APR finance on 7yr loan, same down payment):
$39500 * 1.07 = 42265 Out the door price
42265 - 2500 = 39765 Financed amount
39765 * 1.03 = 41753 Loan total
41753 / (7*12) = 497 monthly payment
497 * 39 + 2500 = 21883 Total you spent after 39 months
19870 Remainder of unpaid loan
30000 Resale value of 3yr old car (based on quick survey of current '09s on Autotrader)
30000-19870 = 10130 Profit from sale of your car after 39 months
21883 - 10130 = $11753 Total expenditure

So after 39 months, you'd have spent 2/3s what your lease cost you. And your monthly payment would be roughly the same (497 vs 419).

The difference becomes more pronounced as you get further out. Assuming you'll move from your leased Z to another leased vehicle of similar value, here's how it breaks down.
5 years
Leased total cost: $419 * 60 +2500 = 27640 (even more if you down pay your next lease)
Purchased total cost: $32k paid - ($28k resale - $9k loan balance) = 13720

7 years
Leased total cost: $419 * 60 +2500 = 37696 (even more if you down pay your next lease)
Purchased total cost: $42k paid - $26k resale = 16000

jofro6

your math is off up there man... 41k over 7 years (72 months) is $597 not $497... and no where in your equation are you adding in the 5% apr. its over 600 month to finance a car out right thats anywhere near 40k

SS66

This statement is so TRUEEEEE! The written truth in a nut shell! Actually if you can't afford the monthly payments on a 48 mo loan, your living beyond your means. Anything over 48 months should be off the table of reason(s) to buy.

Chteelers

7 yrs is 84 months, so I'm correct at $497.

And I'm only a little off on APR. I used 3% APR in the math even though I said 5% APR. I did the math at 3% cause that's APR for normal 36 mo loans, then realized that the longer term loans (7yrs) have higher 5% APR, but forgot to update the calcs. The difference is only $800, so my error doesn't affect the numbers appreciably.

jofro6

yup, my bad on the months lol you are correct... does anyone do 7 year terms, ive never seen or heeard of that before from anyone. just 5 and 6 months (which is why i was thinking 72 months)

Chteelers

No problem jofro. Not sure about other banks, but I know my bank offers 7 yr loans. Not sure why anyone would want to pay for that long, but its there.

LakeShow

Take advantage of 0% financing. This never happens for a Z. Will be your best bet.

__________________
|2013 Audi S4|Ibis White/Black|S-Tronic P+|
|2013 370z|PearlWhite/Persimmon|Touring/Sport/Nav|F.I. CBE 18" CF|
|Sold|2011 370z|Gun Metallic|Touring/Sport/Nav|

MacLean

On a positive note, when you actually lease your payments will be lower & you can always get a new car every 3-4 years. On the downside you will always have a payment & you can never actually mod the car. Well you could mod the car, but you will just be blowing money by having to sell the mod parts a couple of years later.

I would have to say buy the Nissan considering that they are still offering the 0% interest until 4/30/12. The car is yours and you can put whatever mod parts you want on day one. Unfortunately when you buy the car your payments will be higher, but you actually own the car.

SS66

^^^^ Whuuut?

alb84z31t

A lease is almost always a bad idea in my opinion. Usually you have to stay under a ridiculously low amount of mileage also.

shesha

Ehh I have leased since I was 16. I am 35 now. I got to change cars every 3 years. I get real tired of them fast. I have yet to drive a car, and by the 36 month regretted not buying. I write off my lease when I do my taxes. Not 100% write off, but a portion of it.

I got the 09 the first QTR the car came out, so I got raped. I thought the new deal they offered was very fair. I guess I was wrong according to everyone here. That is why I asked your opinion. I wasn't asking lease or buy. I was asking if what they offered was a good deal.

At any rate the lease is coming to an end. I will try to sell the car on my own, as I only have 26,500 after 34 months.

Chteelers

Don't understand how you're gonna sell a leased car on your own

I wonder what the total would be if you added up all your lease payments over 19 years + whatever down payments you made at the beginning. For even small leases (300/mo with no money at signing) that works out to $68400.

kenchan

well he is the pro at leasing... he's been leasing since age 16. there must be many things we dont understand.

Chteelers

Just to clarify, I'm not trying to be combative here, just suggesting that you'd be better off buying a new car, even if you're gonna sell it again in 3 years. You still get a new car every couple years, just not raped by the lease deals.

You can get a 7yr loan (to keep monthly payments low), and sell it before its fully paid off. You just need to make sure your not upside down on your loan after 36 months.

To figure that out is easy. Just compare the expected resale value of your car after 3 yrs, to the amount you will have paid on your loan in 3 yrs. This is fairly easy to estimate using Autotrader to value current 3 year-old cars. In other words...

I buy at $40k, and I expect to sell at $28k in 3 yrs. If my monthly payments are at least $333, then I will break even.

This is simplified cause it doesn't include tax and finance charges, and assumes that current used car depreciation rates will be the same.