kempster

I'm looking to get an 05 S and i got a deal of 2438 OTD and 425 a month including all taxes for 42 months and 15k a year

Nate07

Does not sound like a bad deal if you don't mind leasing. If you don't go over the mileage then I think it is a safe bet.

Nate

Sownman

In my opinion there is no such thing as a good lease. Why do you think dealers push people to lease ? Cause it's good for the dealership. They lease the car to you. You pay nearly the full cost basis of the vehicle. Then they get back a low milage car in good shape and sell it again for nearly the original cost basis of the car. If you return the car in anything less than excellent condition and low miles, you pay extra again.

Leasing is for suckers

fperra

That is an excellent lease if you get a decent residual. What is the buyout at the end of the lease?

Nate03

that is an uninformed opinion. doing some research on the numbers & the reality of leasing can work to the buyer/lessee's advantage. leasing can have many advantages. and with out the door depreciation considered - if there's an early loss of the car leasing can work out better than cash.

there are many threads with lease prices/deal info - search feature will reveal those.

MY04
375/month 48 months
12K miles year
0 down ( 1st months plus doc fees )

I'd have to search my own old posts but for me - at the end of 4 years or 5 with financing - leasing worked out better financially than buying with financing.

Good luck!

Sownman

Better for whom ? Because at the end of 4 years you give the car back.
Leasing was a reasonable deal when it first appeared. It offered 0 down and far lower payments. This helped people who needed a car and had no down payment. Now the down payment is no different and in some cases higher to lease than to buy. Payments are not substanially lower either.

Would you prefer to pay $350 per month for 4 years and own nothing or $450
per month for 1 year longer and own a car ?

I know my preference, but by all means if you prefer leases keep doing them. Your dealer will love you for it.

Steve

problem_child

depends on the residual value...
but ts not a steal..
lease it for 3 years instead of 4 years
the factory warranty runs out in 3 years although that should matter too much

aklucsarits

I don't know if I'd go that far. There are some cases were leases are a good option. There are good lease deals to be had, especially when there are special factory-backed leases and discounts offered. Sometimes (although VERY rarely), the terms are even more favorable than financing.

I would agree that a lot of "suckers" get roped into leasing when they shouldn't. Many people don't do the research that they should up front and lack a basic understanding of how the lease works and don't know how to determine a good lease offer from a bad one. Couple that with the fact that sometimes people resort to leasing simply because they want to drive a car that they cannot afford to buy, and it's easy to see how leasees can get stereotyped as "suckers".

kempster: You need to provide us with more info in order to evaluate the offer you were given. The negotiated purchase price of the car for the lease, the residual value of the car, and the money factor would be a good start. Other factors would include fees, penalties, required insurance coverage levels, etc.

Andrew

Nate03

better for me dude!

The cost of the car - mine - with buying it at the residual value at the end of the lease - comes to a total of approx 35.5K after 48 months...

The cost of the car for 48 or 60 months with financing comes in at approx the same give or take a few hundred dollars - if I put 10K down on the car it doesn't get much better either and I'm out the 10K for 4 or 5 years.

So I can own it either way - with the lease I happen NOT to be obligated to owning and can make my decision to own or not based on market conditions.

I've done a considerable amount of research and number crunching. An educated consumer is the dealers worst customer.

Nate03

here's a cut & past summary of my old post that sort of summarizes the comparison... This took place around late March/April of 2004

Originally posted by Nate03
I am leasing - for me it is going to work out better $$ than any financing I explored & I explored many combinations - I have gotten an amazing finance deal on MY04 - the manager of the dealership quoted me a price - the owner of the dealership came in the day I was there to close the deal - apparently there was an error in the manager's calculations and the owner said the dealership would honor the quote - now I don't think they're losing anything but I am very satisfied with every thing I've looked at to get into an S2000.

I am paying 373/mos for 48 months .... 0 down and first month 300 security and 227 docs to drive away. (The selling price of the car on the lease is 29995) That totals 17933 at the end of 4 years. The residual on the car is 53% of 33060 or 17521 - if I buy the car at the end of the lease it will cost me 35454.

To buy the car with financing - I was quoted a purchase price of 30500 - at an estimated interest rate of 4.9 - with 10K down the payments for 60 months were 454 - total at the end of 5 years 37240. With 15K down - 335 month - 60 months - total 35100. I looked at several--->many other options for buying and nothing in this case beat the lease option.

Yes I'm locked in for 4 years. I'm paying $354 more in total than the 15K down option - but I'll have the 15K in the bank (or available for mods?) for the 4 years prior to the buy out and if I choose to I don't have to buy.

If this helps great if not it was an exercise in clarity for me.

by the way - I chose the Berlina Black over the Suzuka and I'll be picking it up sometime this coming week.