Leasing is a better way to go if you like to trade offen. Every 3 or 4 years.

Lower payments, and Three options at the end of the Lease (Buy, Sell, or turn in owing nothing).

It also protects you from unknown problems in the future. For instance the Ford Exploder had bad rep from the tire and roll over problems. Those who bought the Exploder were upside down on there Trade by an average of $6,000. Those who leased had a lower payment and when the lease was up they turned the Exploder in and owed Nothing. Saving Thousand over the person who bought. Same holds true on many other cars. Such as the Intrepid, Ram PU and Lincoln Continental just to name a few.
Now lets say that our Insurance rate Triples over the next couple of years. Will our cars go up or Down in Value? Anything could happen to Lower the Value of our cars. I'm Protected from any bad news on our cars. Those who bought are not protected from unexpected bad new that affects the value of their car.

Derf Refnook

Ok I'm ready

More to Come Later

 

You are correct on the down payment. Always lease with as low of a down payment as you can. Normally First payment and Deposit is all that is required. You are better off keeping your money in the bank or investments and use that extra cash to offset the higher payment caused by a lower down payment. Or use the extra cash for multiple security deposits to lower the Money factor (interest) on your lease.


As for Owning your car, Mosesbotbol did you pay Cash for your car? If not, the Bank owns your car, thats why they have drive up windows so they can see their car every friday when you cash your check and make your payment.