NIGHT STALKER Posted April 17, 2006 Share Posted April 17, 2006 Okay, you ask to see the invoice, then you ask the salesman what the residual value will be after the lease? How do you know he's giving you the right value? Then after you get the residual value, how do you figure the price of the lease? Do I have this right? Sorry, but I forgot what you had posted on this a couple of months ago. Link to comment Share on other sites More sharing options...
dickkotite Posted April 17, 2006 Share Posted April 17, 2006 NO! Heres what you do: You get leasing out of your mind. Leasing is for suckers, and thor is a big time sucker. why rent a car and make payments that amount to 65% of the cars worth and wind up in the end with squat? Whats the deal? let me guess. You cant afford the car you really want so you are considering leasing. You can buy a chevy cavalier, but you want a mustang GT. Thats irresponsible. Do you want to end up like thor, drunk, penniless and sleeping in homeless peoples urine? just buy a brand new hyundai accent for 10k. great car, great warranty, it will get you where you want to go with no worries. So what if you dont look "cool" in it. listen dude, no offense but i wrote the book on cool, and i drive a hyundai. so its all good Link to comment Share on other sites More sharing options...
NIGHT STALKER Posted April 17, 2006 Author Share Posted April 17, 2006 NO! Heres what you do: You get leasing out of your mind. Leasing is for suckers, and thor is a big time sucker. why rent a car and make payments that amount to 65% of the cars worth and wind up in the end with squat? Whats the deal? let me guess. You cant afford the car you really want so you are considering leasing. You can buy a chevy cavalier, but you want a mustang GT. Thats irresponsible. Do you want to end up like thor, drunk, penniless and sleeping in homeless peoples urine? just buy a brand new hyundai accent for 10k. great car, great warranty, it will get you where you want to go with no worries. So what if you dont look "cool" in it. listen dude, no offense but i wrote the book on cool, and i drive a hyundai. so its all good Dick, I don't know if you meant to be funny, but you gave me a chuckle...anyway, I can well afford to purchase a car...my personal car is purchased. But, my wife leases her car...why pay $600 a month for a car when you can lease it for a almost a few hundred a month less and turn it in every three years? She drives less than 6,000 miles a year...a lease is best for her. Link to comment Share on other sites More sharing options...
Alk Posted April 17, 2006 Share Posted April 17, 2006 Dick, I don't know if you meant to be funny, but you gave me a chuckle...anyway, I can well afford to purchase a car...my personal car is purchased. But, my wife leases her car...why pay $600 a month for a car when you can lease it for a almost a few hundred a month less and turn it in every three years? She drives less than 6,000 miles a year...a lease is best for her. $600 a month? What in the hell kind of car are you buying? Link to comment Share on other sites More sharing options...
vinnys025 Posted April 17, 2006 Share Posted April 17, 2006 $600 a month? What in the hell kind of car are you buying? For 600 a month you must have bout a car for about 50K Link to comment Share on other sites More sharing options...
Thor99 Posted April 17, 2006 Share Posted April 17, 2006 For 600 a month you must have bout a car for about 50K Believe it or not, for 600 a month, you're financing 30k. Ask for the invoice, and ask what the residual cost of that vehicle is after the length of the lease. Subtract the residual from your invoice and divide by the number of months in the lease. That should be your payment, plus tax, tag, title and dealer fees. And dickie, I like the smell of urine in the morning. Link to comment Share on other sites More sharing options...
Ranger Posted April 17, 2006 Share Posted April 17, 2006 Dick is right. Never lease. Those are sucker payments. I would go a step further though. Why buy new? The damn thing just depreciates as soon as you drive it off the lot. Just buy a used car/truck and pay cash. no interest, no payments. Link to comment Share on other sites More sharing options...
NIGHT STALKER Posted April 17, 2006 Author Share Posted April 17, 2006 Believe it or not, for 600 a month, you're financing 30k. Ask for the invoice, and ask what the residual cost of that vehicle is after the length of the lease. Subtract the residual from your invoice and divide by the number of months in the lease. That should be your payment, plus tax, tag, title and dealer fees. And dickie, I like the smell of urine in the morning. Thanks Thor...you're the man. Link to comment Share on other sites More sharing options...
Alk Posted April 17, 2006 Share Posted April 17, 2006 Dick is right. Never lease. Those are sucker payments. I would go a step further though. Why buy new? The damn thing just depreciates as soon as you drive it off the lot. Just buy a used car/truck and pay cash. no interest, no payments. I agree with buying used but paying with cash? Alot of us poor folk don't have that kind of money. Link to comment Share on other sites More sharing options...
Thor99 Posted April 17, 2006 Share Posted April 17, 2006 Actually, buying is for suckers. Name another product that you spend a significant amount of money on that depreciates so drastically. After your 5 years of paying for your new car, what do you have? You have an old car, with 80-100k miles on it, worth $2-$3k. Now you start all over again, with higher payments. If you get a new car every 4-5 years, you will always have a car payment. Why not have a newer car with lower payments? Link to comment Share on other sites More sharing options...
spjets Posted April 17, 2006 Share Posted April 17, 2006 Dick is right. Never lease. Those are sucker payments. I would go a step further though. Why buy new? The damn thing just depreciates as soon as you drive it off the lot. Just buy a used car/truck and pay cash. no interest, no payments. BINGO ...and BINGO.... i used to work in a dealer.....even the salesman said leasing was stupid... they made the money selling used cars... Link to comment Share on other sites More sharing options...
Thor99 Posted April 17, 2006 Share Posted April 17, 2006 BINGO ...and BINGO.... i used to work in a dealer.....even the salesman said leasing was stupid... they made the money selling used cars... Then that salesman was an idiot. Although, used cars is where the money is. Link to comment Share on other sites More sharing options...
BwanaZulia Posted April 17, 2006 Share Posted April 17, 2006 Ok... so I am thinking of a new car. I am going to sell my old car (my beloved) and buy a new one. Options: - Lease new car, put down 25% of price (seems dumb) - Buy new car outright (sell parts of portfolio to buy) - Get home equity line of credit - Get home equity loan Thoughts? After selling my car, I should have about 20% downpayment to put towards new car. BZ Link to comment Share on other sites More sharing options...
Maxman Posted April 17, 2006 Share Posted April 17, 2006 Ok... so I am thinking of a new car. I am going to sell my old car (my beloved) and buy a new one. Options: - Lease new car, put down 25% of price (seems dumb) - Buy new car outright (sell parts of portfolio to buy) - Get home equity line of credit - Get home equity loan Thoughts? After selling my car, I should have about 20% downpayment to put towards new car. BZ BA, I will only comment on part of what you wrote. But if you are thinking of wrapping a car into a home equity loan that has a long term (15 years or so) that is a terrible idea. Link to comment Share on other sites More sharing options...
BwanaZulia Posted April 17, 2006 Share Posted April 17, 2006 BA, I will only comment on part of what you wrote. But if you are thinking of wrapping a car into a home equity loan that has a long term (15 years or so) that is a terrible idea. Since when am I BA? Well, leases and equity loans are out, that just leaves selling out of some positions (cap gains) and line of credit. BZ Link to comment Share on other sites More sharing options...
Maxman Posted April 17, 2006 Share Posted April 17, 2006 Since when am I BA? Well, leases and equity loans are out, that just leaves selling out of some positions (cap gains) and line of credit. BZ A is close to Z. Close enough in my book. From now on you are BA. Unless I don't fat finger it, in which case you are still BZ. Seriously though I have a friend that just did that. Tacked another 20k to an equity loan that he is paying off over 20 years. Sure the monthly price works out great. But he is going to be paying for this car forever. Link to comment Share on other sites More sharing options...
BwanaZulia Posted April 17, 2006 Share Posted April 17, 2006 A is close to Z. Close enough in my book. From now on you are BA. Unless I don't fat finger it, in which case you are still BZ. Seriously though I have a friend that just did that. Tacked another 20k to an equity loan that he is paying off over 20 years. Sure the monthly price works out great. But he is going to be paying for this car forever. Maybe I am all wrong TomShane (sorry the T, O, M, S, H, A, N & E all are all next to M, A, X, M and N keys), but isn't it really about paying the least amount of interest possible but without sacrificing long term goals? It has me all in a quandry. BZ Link to comment Share on other sites More sharing options...
Maxman Posted April 17, 2006 Share Posted April 17, 2006 Since when am I BA? Well, leases and equity loans are out, that just leaves selling out of some positions (cap gains) and line of credit. BZ Also I don't think leases should be considered out. Look at what Thor wrote earlier. And with the class of cars in my range, there is NO resale value. My car is paid off in 10 months (5 year loan). I have been without air conditioning for 2 years. And it is not uncommon for this thing to be in the shop for $600 worth of work. I am going to give strong consideration to leasing. I leased a car years ago. I heard horror stories about the charges when you turn it back in. The inspection was fair. The scratches it had they said no problem and didn't charge me a dime. If cars keep depreciating like they do, I think leasing is a good choice. My problem is I used to travel and racked up mad mileage. Now that I am in one spot all the time, that is not a problem any longer. Link to comment Share on other sites More sharing options...
Maxman Posted April 17, 2006 Share Posted April 17, 2006 Maybe I am all wrong TomShane (sorry the T, O, M, S, H, A, N & E all are all next to M, A, X, M and N keys), but isn't it really about paying the least amount of interest possible but without sacrificing long term goals? It has me all in a quandry. BZ Well if you are looking to pay the least amount of interest amortize both loans. For 5 years and for 20 years. That will show you how much more you are paying for this car if you do the equity thing. (Tax deduction and all). Link to comment Share on other sites More sharing options...
BwanaZulia Posted April 17, 2006 Share Posted April 17, 2006 I don't know if it will help, but I also.. - Don't drive a lot (my old car was bought 6 years ago and has 38,000 miles on it) - Baby the hell out of my car (probably less with the next one). - Don't want high monthly payment. BZ Link to comment Share on other sites More sharing options...
Maxman Posted April 17, 2006 Share Posted April 17, 2006 I don't know if it will help, but I also.. - Don't drive a lot (my old car was bought 6 years ago and has 38,000 miles on it) - Baby the hell out of my car (probably less with the next one). - Don't want high monthly payment. BZ I would buy something then if the mileage is going to be that low. 5 year loan. Put down as much cash as you can without selling the farm. When you pay it off it will still be worth squat. But with mileage that low you can keep it! Link to comment Share on other sites More sharing options...
BwanaZulia Posted April 17, 2006 Share Posted April 17, 2006 I would buy something then if the mileage is going to be that low. 5 year loan. Put down as much cash as you can without selling the farm. When you pay it off it will still be worth squat. But with mileage that low you can keep it! The car I bought in 2000 is still worth about 40% of its value, so not sure about squat. BZ Link to comment Share on other sites More sharing options...
Maxman Posted April 17, 2006 Share Posted April 17, 2006 The car I bought in 2000 is still worth about 40% of its value, so not sure about squat. BZ BZ, We have run the #'s. Keep your damn car and leave us alone. Link to comment Share on other sites More sharing options...
BwanaZulia Posted April 17, 2006 Share Posted April 17, 2006 BZ, We have run the #'s. Keep your damn car and leave us alone. I have run the numbers as well. 2 - Number of 'usable' seats in BZ's car 1 - the number of people BZ needed to carry when he bought the car 1 - number of people BZ married 9 - number of months BZ's wife was pregnant 0 - number of infant car seats that will fit in BZ's car 10 - number of months BZ has been putting off selling his 'first' baby 4 - number of doors needed on a new car for BZ's family They all add up. BZ Link to comment Share on other sites More sharing options...
Maxman Posted April 17, 2006 Share Posted April 17, 2006 I have run the numbers as well. 2 - Number of 'usable' seats in BZ's car 1 - the number of people BZ needed to carry when he bought the car 1 - number of people BZ married 9 - number of months BZ's wife was pregnant 0 - number of infant car seats that will fit in BZ's car 10 - number of months BZ has been putting off selling his 'first' baby 4 - number of doors needed on a new car for BZ's family They all add up. BZ BZ, I was not aware of these numbers. Sit tight. Let me talk to my Manager and see what we can do. You are not leaving here today without a new car. Link to comment Share on other sites More sharing options...
spjets Posted April 17, 2006 Share Posted April 17, 2006 Then that salesman was an idiot. Although, used cars is where the money is. hit a nerve huh....leasing is horrible....you get nothing out of leasing...all youre doin is renting the car...then you have to have to buy it if you want to keep it... Link to comment Share on other sites More sharing options...
afosomf Posted April 17, 2006 Share Posted April 17, 2006 I am a fan of leasing, i have leased 6 cars and i have not been charged anything for scratches... The monthly payment is much lower, just leased a saturn ion2 with only $800 out of pocket for 4 years payments at $175, only pay for oil changes and maybe for tires if i forget to rotate them. After 4 years brakes goe, then timing belt then goes... water pump then Ac... I get a new car every 4 years with low payments and minimal down If you put lots of mileage on your car..then leasing is a bad way to go 15 to 20 cents a mile can accumalate to a lot of coin Link to comment Share on other sites More sharing options...
Thor99 Posted April 17, 2006 Share Posted April 17, 2006 hit a nerve huh....leasing is horrible....you get nothing out of leasing...all youre doin is renting the car...then you have to have to buy it if you want to keep it... No nerve, just stating a fact. What do you think you do when you finance a car? Do you own that car? Nope, the bank does. In effect, you're renting that car from the bank. Sure, you own your beautiful 5 year old car with 100k on it when you're through with the loan. Now it's worth jack sh!t. Why would you want to keep it? Let someone else pay for the maintenance that comes up after 5 years. I ask again, Why not have a newer car, and a lower payment? Link to comment Share on other sites More sharing options...
Thor99 Posted April 17, 2006 Share Posted April 17, 2006 I don't know if it will help, but I also.. - Don't drive a lot (my old car was bought 6 years ago and has 38,000 miles on it) - Baby the hell out of my car (probably less with the next one). - Don't want high monthly payment. BZ Jake, you are the perfect candidate for a lease. Link to comment Share on other sites More sharing options...
Maxman Posted April 17, 2006 Share Posted April 17, 2006 Hey Thor, Since this is kind of your thread I was wondering...can I have a back rub? If so I am looking for a back rub of the no money down variety. Let me know. Talk it over with your Manager if you have to. I will wait here. Link to comment Share on other sites More sharing options...
Thor99 Posted April 18, 2006 Share Posted April 18, 2006 Hey Thor, Since this is kind of your thread I was wondering...can I have a back rub? If so I am looking for a back rub of the no money down variety. Let me know. Talk it over with your Manager if you have to. I will wait here. Sorry, that's extra. I could throw in some free undercoating, though. Link to comment Share on other sites More sharing options...
dickkotite Posted April 18, 2006 Share Posted April 18, 2006 thor you are on crack. i bought my jeep for 17.5k. i put down5k. i have like a 3.9 apr @265 a month. im putting 1000 mles a month on her so at the end of 5 years she will be mint, only 60k miles. you think is only worth 2-3k? try 9-10k. your estimate of 2-3 is grossly low. plus, what about ifyour car runs well and you get 8-9 years out of her trouble free. its not so unommon with a lease you are always paying like a pyramid scheme. you never reach ownership stage its constant $$. $600 a month for a 30k car, thats irresponsible. $600 will finance a 90k mortgage for crying ou loud. put it into a house a car is a liability. you can get to the store in a 10k car as well as you could in a40k car. leaing is for suckers. everyone knows that. Link to comment Share on other sites More sharing options...
dickkotite Posted April 18, 2006 Share Posted April 18, 2006 and another thing, what happens to the car at the end of the lease? the dealer sells it. for how muh? 2-3 k no way sonny boy. more like 10k+ or whatever. add what yu paid in leases plus what the dealer got used and the dealer makes out. if he didnt make out, he wouldt do it and leasing would cease to exist late model, used cars especially SUV's sell for a lot of dough at the dealer buy baby buy Link to comment Share on other sites More sharing options...
Ranger Posted April 18, 2006 Share Posted April 18, 2006 I agree with buying used but paying with cash? Alot of us poor folk don't have that kind of money. That's where saving up for a car and not buying more that you can afford comes into play. I drive a 2000 saturn SL. bought it in 2001 for 8K with 40,000 miles on it. Never had a problem. Not gonna get me laid or solve a mid-life crisis, but it gets me from A to B and with decent gas mileage Just think, with the money you are not paying in interest, how much more saving you will have. Link to comment Share on other sites More sharing options...
Thor99 Posted April 18, 2006 Share Posted April 18, 2006 thor you are on crack. i bought my jeep for 17.5k. i put down5k. i have like a 3.9 apr @265 a month. im putting 1000 mles a month on her so at the end of 5 years she will be mint, only 60k miles. you think is only worth 2-3k? try 9-10k. your estimate of 2-3 is grossly low. plus, what about ifyour car runs well and you get 8-9 years out of her trouble free. its not so unommon with a lease you are always paying like a pyramid scheme. you never reach ownership stage its constant $$. $600 a month for a 30k car, thats irresponsible. $600 will finance a 90k mortgage for crying ou loud. put it into a house a car is a liability. you can get to the store in a 10k car as well as you could in a40k car. leaing is for suckers. everyone knows that. If you think that your 5 year old Jeep with 60k on it will be worth 10 grand, then you're the one who's on crack. Especially that Wrangler 4 cylinder you have. That Jeep was worth 13 grand the minute you drove it off of the lot. If you want to keep the car, of course you shouldn't lease. I never said that. My point is that if you get a new car every 3-4 years, you never reach ownership stage anyway. You will always have those payments. So why not have lower payments? Ask any financial person if it makes sense to buy a large item that you know will depreciate. 100% will say absolutely not. Link to comment Share on other sites More sharing options...
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