08-08-2014, 04:17 PM
Sully Wrote:So are we saying it makes sense to lease cars now? I though leasing wad always a bad idea?
Leasing is a good idea if:
1. The vehicle has high residual value specified in the lease.
2. The money factor is good relative to a loan interest rate. To get an idea of how the money factor would compare to an annual loan rate, multiply it by 2400. BMW quoted me a money factor of .00175 for a F30, so that would work out to an annual rate of 4.2%. Don't let a dealership fool you with a lease rate without knowing the money factor.
3. You drive less than 10000 miles per year
4. Your situation is unlikely to change enough to force you to get out of your lease early. It can be done, and different leases have different penalties/stipulations with early termination.
Overall buying used is still the better deal. But if you're buying new, leasing is worth evaluating.
2018 Ducati Panigale V4
Past: 2018 Honda Civic Type-R, 2015 Yamaha R1, 2009 BMW M3, 2013 Aprilia RSV4R, 2006 Honda Ridgeline, 2006 Porsche Cayman S, 2012 Ducati 1199, 2009 Subaru WRX, 2008 CBR1000RR, 2009 Kawasaki ZX-6R, 2000 Toyota Tundra, 2005 Honda CBR600RR, 1996 Acura Integra GS-R, 1996 Acura Integra GS-R, 1997 Honda Civic EX
http://www.aclr8.com
Past: 2018 Honda Civic Type-R, 2015 Yamaha R1, 2009 BMW M3, 2013 Aprilia RSV4R, 2006 Honda Ridgeline, 2006 Porsche Cayman S, 2012 Ducati 1199, 2009 Subaru WRX, 2008 CBR1000RR, 2009 Kawasaki ZX-6R, 2000 Toyota Tundra, 2005 Honda CBR600RR, 1996 Acura Integra GS-R, 1996 Acura Integra GS-R, 1997 Honda Civic EX
http://www.aclr8.com