 WK2
Premium Member
join:2006-12-28
united state |
WK2
Premium Member
2015-Mar-30 4:43 pm
[Help] Lease Opinions...2015 Ford Fusion 1.5L EcoBoost FWD
$25,240.00 MSRP
All rebates, taxes, and fees.
First month's payment down
10,500 Miles 36 Months
$219/Month |
actions · 2015-Mar-30 4:43 pm · (locked) |
fartness (banned)Donald Trump 2016
join:2003-03-25
Look Outside |
fartness (banned)
Member
2015-Mar-30 10:25 pm
You don't give much info on why you want to lease or how much you drive etc. What's your life situation like? Income? Why not just buy? |
actions · 2015-Mar-30 10:25 pm · (locked) |
walta
join:2001-05-22
Saint Louis, MO |
walta to WK2
Member
2015-Mar-30 10:39 pm
to WK2
Since you asked
I say keep your old beater and drive it into the dirt. If your old car is beyond repair for some reason buy another beater. Only go shopping for a new car after you have saved enough to pay in full and still have 6 months rent in the bank.
My guess is the Fusion will be out of production by then.
Walta |
actions · 2015-Mar-30 10:39 pm · (locked) |
MGK645
join:2003-10-15
Warren, MI |
to WK2
I'll second what fartness said.
Example - when I leased our Escape, we opted for 15k miles per year @ 36 months, at the time my round trip to work was 30 miles, then I had a job change that had me driving 70 miles round trip to work - thats roughly 17500 per year. Basically the wife and I switch cars throughout the week just to keep it under the miles - sucks.
Also to add, imho, I would never pay first months payment/put down money down on a lease. Main reason being, if you drive out of the parking lot and total the vehicle, you just lost your first payment/down payment. With a lease, insurance does not give you anything when a vehicle is totaled. Not that you would get anything if purchasing due to depreciation, just my opinion. To "Sign and Drive" you're looking at another $6/month.
As to payment amount, that sounds like a deal our local dealers were having around here, my boss went in to get one for his son, turns out that they didnt have any vehicle within 200 miles that would be that price OTD. He still got a fusion, but he's paying $279 for the same miles/months. This was 2 weeks ago. |
actions · 2015-Mar-30 11:06 pm · (locked) |
TheMG
Premium Member
join:2007-09-04
Canada
1 recommendation |
TheMG to WK2
Premium Member
2015-Mar-31 12:59 am
to WK2
I've never liked the idea of leasing a vehicle.
Buy it, and if you can't afford new then go with a used vehicle that you can afford. |
actions · 2015-Mar-31 12:59 am · (locked) |
 south1178
Premium Member
join:2001-12-17
Cleveland, OH |
to WK2
That lease seems high. I have a 2014 STX 4x4 for $299. It stickered at $39K.
I love leasing. Drive it, then throw it away when done. I hate driving old. I only drive 8K miles a year though. So leasing works for me. |
actions · 2015-Mar-31 7:24 am · (locked) |
WK2
Premium Member
join:2006-12-28
united state |
WK2
Premium Member
2015-Mar-31 9:23 am
As some of you may know, I have the 2005 Explorer.
I like the truck but I like some of the modern features of a new car. The Explorer runs good but I just wanted to see my options.
My income can cover a new lease, and I don't really go far. The farthest I go is an hour to my beach house. |
actions · 2015-Mar-31 9:23 am · (locked) |
 HikerZeus
Premium Member
join:2002-10-27
Pipersville
1 edit |
Hiker to WK2
Premium Member
2015-Mar-31 1:00 pm
to WK2
Re: [Help] Lease Opinions... )Oops changed wife's lease priceIf that were 12,000 or 15,000 I'd say that's pretty good. 10,500 is not a lot of miles. My mom just leased a Civic 10,000 miles for $149 My wife leases a Corolla LE 12,500 with Gap ins. (sometimes called lease protection) for $239 Does that figure factor in the additional protection? Some auto insurers offer it as well. Make sure you have that. Overall, it's not a bad figure. |
actions · 2015-Mar-31 1:00 pm · (locked) |
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We leased a 1996 Volvo 850 from Volvo Car Finance. The lease terms were 39 months with 1k mileage per month, for $329. Our favorite oldest daughter decided to test it's safety features by pulling out in front of an Oldsmobile doing 35 to 40 MPH. Luckily she was unhurt as she wasn't belted up (proof that you should hire a teenager while they still know it all). The car wasn't totalled but still had over $10,000 in damages. If it wasn't for my insurance agent who had the insurance check sent to him, as in Massachusetts the insurance checks were made out to the lien holder, and the body shop. If the leasing company was notified about the accident, I hate to think how much the vehicles residual value would be affected by what turned out to be almost $11,000 of damages, including frame straightening. I don't know if GAP insurance covers you if you don't have a total on the car. Fortunately we turned the car in with 38,994 miles to the local Volvo dealer, and only had to pay a little over $100 for a tire worn below specs. Since that time I have yet to consider leasing a vehicle again. |
actions · 2015-Apr-1 6:38 pm · (locked) |
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said by dbamber:We leased a 1996 Volvo 850 from Volvo Car Finance. The lease terms were 39 months with 1k mileage per month, for $329. Our favorite oldest daughter decided to test it's safety features by pulling out in front of an Oldsmobile doing 35 to 40 MPH. Luckily she was unhurt as she wasn't belted up (proof that you should hire a teenager while they still know it all). The car wasn't totalled but still had over $10,000 in damages. If it wasn't for my insurance agent who had the insurance check sent to him, as in Massachusetts the insurance checks were made out to the lien holder, and the body shop. If the leasing company was notified about the accident, I hate to think how much the vehicles residual value would be affected by what turned out to be almost $11,000 of damages, including frame straightening. I don't know if GAP insurance covers you if you don't have a total on the car. Fortunately we turned the car in with 38,994 miles to the local Volvo dealer, and only had to pay a little over $100 for a tire worn below specs. Since that time I have yet to consider leasing a vehicle again. that sounds like fraud to me.... although I cannot be sure without knowing the laws of your locale and the terms of the lease contract. |
actions · 2015-Apr-2 2:40 am · (locked) |
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rody_44
Premium Member
join:2004-02-20
Quakertown, PA |
rody_44
Premium Member
2015-Apr-2 7:22 am
Sounds like a felony here in pennsylvania. |
actions · 2015-Apr-2 7:22 am · (locked) |
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to mr_slick
I guess that it is good thing that the statute of limitations has expired then. When the car was returned at the end of the lease the dealership inspected it quite closely, even putting it up on a lift and looking under the vehicle to check for hidden damages, and pulling the wheels to check the brake pads, rotors, etc. They did not find any issues to report to Volvo. |
actions · 2015-Apr-2 12:39 pm · (locked) |
 Anonymous_Anonymous
Premium Member
join:2004-06-21
127.0.0.1
2 edits |
to dbamber
said by dbamber:We leased a 1996 Volvo 850 from Volvo Car Finance. The lease terms were 39 months with 1k mileage per month, for $329. Our favorite oldest daughter decided to test it's safety features by pulling out in front of an Oldsmobile doing 35 to 40 MPH. Luckily she was unhurt as she wasn't belted up (proof that you should hire a teenager while they still know it all). The car wasn't totalled but still had over $10,000 in damages. If it wasn't for my insurance agent who had the insurance check sent to him, as in Massachusetts the insurance checks were made out to the lien holder, and the body shop. If the leasing company was notified about the accident, I hate to think how much the vehicles residual value would be affected by what turned out to be almost $11,000 of damages, including frame straightening. I don't know if GAP insurance covers you if you don't have a total on the car. Fortunately we turned the car in with 38,994 miles to the local Volvo dealer, and only had to pay a little over $100 for a tire worn below specs. Since that time I have yet to consider leasing a vehicle again. sounds like you got ripped off on that tire Tire is a disposable wear item hence getting ripped off by them.. I would have gotten a used tire we blew out a tire on a rental they did not charge for it.. had sidewall damage and would lose air with in a day We told them better it was a blown tire and not a totaled car (avoiding a accident that happened in oncoming lanes) so they absorb the costs for the tire. They would have had to absorb the costs of the car it self then and/or go after the other party at fault. |
actions · 2015-Apr-2 8:26 pm · (locked) |
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So you would have haggled / argued with them over a $100 tire while in the mist of trying to scam them out of probably thousands of dollars on a bent frame. |
actions · 2015-Apr-2 10:39 pm · (locked) |
Anonymous_Anonymous
Premium Member
join:2004-06-21
127.0.0.1 |
SOL applies but it's a nice written confession which the SOL may start over |
actions · 2015-Apr-2 11:23 pm · (locked) |
rody_44
Premium Member
join:2004-02-20
Quakertown, PA
4 edits |
to Anonymous_
Around here, a month or so before you come off lease they send someone around with a checklist. One thing on that checklist is 32s of tread on tires. It wouldnt be there if it didnt matter.
Unless your planning on really using it i cant ever imagine it being good idea to lease a second vehicle. Than again i cant imagine why people lease. Just doesnt make sense to me. Lot of money to have nothing at the end.
At 25400 MSRP im guessing you could sell your first vehicle and add the rebates to a purchase price and guessing it would be just as cheap to purchase instead of lease. you have to remember your only going to be insuring one vehicle plus all the other costs you save by not having a second vehicle, Sure you only end up with one vehicle instead of two and probably a little longer note. But you can probably get free loaners when its in the shop and have at least some value when your done paying. |
actions · 2015-Apr-4 12:19 pm · (locked) |
HikerZeus
Premium Member
join:2002-10-27
Pipersville |
Hiker
Premium Member
2015-Apr-4 2:23 pm
"Than again i cant imagine why people lease. Just doesnt make sense to me. Lot of money to have nothing at the end." - Having the use of a new vehicle for 3 years that requires no maintenance/repair (cost to me) is a little more than nothing. Every thing my wife's Toyota needs, sans gas, but including all oil changes, Toyota does for the duration of the lease. |
actions · 2015-Apr-4 2:23 pm · (locked) |
fartness (banned)Donald Trump 2016
join:2003-03-25
Look Outside |
fartness (banned)
Member
2015-Apr-4 3:19 pm
You wouldn't need much done anyway if you bought the car new. |
actions · 2015-Apr-4 3:19 pm · (locked) |
HikerZeus
Premium Member
join:2002-10-27
Pipersville |
Hiker
Premium Member
2015-Apr-4 3:43 pm
Tru dat, over time I would. The goal for her is to keep leasing. |
actions · 2015-Apr-4 3:43 pm · (locked) |
rody_44
Premium Member
join:2004-02-20
Quakertown, PA |
rody_44
Premium Member
2015-Apr-6 6:15 pm
Well you wont need much when your buying a toyota. Im not so sure that statement holds true with all cars. |
actions · 2015-Apr-6 6:15 pm · (locked) |
fixrmanFrom a broken heart to a hole in the sky
Premium Member
join:2003-02-10
Hatboro, PA  ·Verizon FiOS
|
to WK2
Re: [Help] Lease Opinions...A lease allows one to drive more car than they could otherwise afford. If the lessee cannot write off the mileage and lease payments, it is a foolish thing to do. Once caught in the lease trap it is hard to get out: Nothing to trade in, nothing to sell privately, no equity.
The seller gets to sell the vehicle, effectively, twice. |
actions · 2015-Apr-6 10:15 pm · (locked) |
 ·US Internet
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Sometimes it also helps someone with getting a better car.
As an example, my credit union has loans to finance cars, if the car is 4 years old or newer, they consider it a "New Car" for their loans, giving it an attractive 1.89% loan. One could lease the car, then once the lease is up, buy the car via the buyout. The discounted buyout price would be easier to finance than the whole original value. |
actions · 2015-Apr-11 10:06 am · (locked) |
 Ghastlyone
Premium Member
join:2009-01-07
Nashville, TN |
to WK2
Leasing is for chumps.
You can calculate your effective "interest rate" that you're paying on a lease by figuring what you're paying on the depreciated value of the vehicle. Most people end up paying a higher interest rate on a lease usually 2-3 times as high then if they would have just bought a car with a regular 5-6year loan.
Leases are a complete waste of money. You own nothing after paying all those monthly payments. There's a reason dealerships push them so hard on people. Because they make out like bandits on them. |
actions · 2015-Apr-11 12:28 pm · (locked) |
fixrmanFrom a broken heart to a hole in the sky
Premium Member
join:2003-02-10
Hatboro, PA ·Verizon FiOS
1 recommendation |
to Strange Data
It may be easier to finance, but people end up paying WAY more for a car versus a buy. I will repeat: It is NEVER a good idea to lease unless one has an excess of funds and doesn't mind paying way too much for more car than they would normally drive, and/or they are in a business or work situation that allows them to write off the lease miles and at least a portion of the payments.
There is a balloon payment required, the residual value is usually set way too high and there are excess mileage charges to consider along with evaluation charges at the end of the lease. It is almost never economical to lease; corporations do it to avoid capital gains taxes. Individuals have no business leasing a vehicle because it really isn't in any way, shape or form a sound financial decision.
That is where the strange data comes in, resulting in a Foolish Decision™Most people who would do as suggested cannot afford to buy or lease a vehicle. |
actions · 2015-Apr-13 8:05 am · (locked) |
Dodge
Premium Member
join:2002-11-27 |
Dodge to WK2
Premium Member
2015-Apr-13 3:34 pm
to WK2
Ignoring all of the brilliant mis-information and editorial content in this thread, do you know how leases work? Do you know what a money factor is? Do you know how a monthly lease payment is calculated? If you answered no to any of the above questions, do not lease anything and go get educated on the subject first. (I know it comes across as me being a dick for no reason, but the way you phrased your question - no information - makes me think that you may not have all of the facts)
First think you need to know is what is the residual value on this particular vehicle is. Do a google search, find that on different milage allowances, edmunds has forums dedicated to this specifically. Once you know that, you need to find current money factor. Once you have those pieces, you can calculate just how good or bad your deal is. |
actions · 2015-Apr-13 3:34 pm · (locked) |
WK2
Premium Member
join:2006-12-28
united state |
WK2
Premium Member
2015-Apr-13 3:42 pm
I know a little about residual percentage and the MF.
After thinking about it, I'm just going to keep my Explorer. |
actions · 2015-Apr-13 3:42 pm · (locked) |
Dodge
Premium Member
join:2002-11-27 |
to fixrman
said by fixrman:There is a balloon payment required no said by fixrman:the residual value is usually set way too high That's a good thing on a lease as you are only "financing" the portion you are using said by fixrman:and there are excess mileage charges to consider along with evaluation charges at the end of the lease Some companies are worse than others. This seems the most common scare tactic that everyone is using. A lot of leases also have some allowance built in for damages. said by fixrman:Individuals have no business leasing a vehicle because it really isn't in any way, shape or form a sound financial decision. Leasing a NEW car makes a whole lot more sense than buying a NEW car if you are going to sell it anyways within 3 years. |
actions · 2015-Apr-13 4:16 pm · (locked) |
Ghastlyone
Premium Member
join:2009-01-07
Nashville, TN
1 edit
1 recommendation |
said by Dodge:That's a good thing on a lease as you are only "financing" the portion you are using How is a higher than normal residual on a vehicle a good thing? That means at the end of the lease, your options of getting rid of the car are extremely limited. Private sale is almost always out of the question, because you'll owe more than what other similar private sale cars are selling for. So your last option is either trading the car back into the dealer and getting roped into purchasing another car, and possibly charged for damage, excess mileage, etc or financing the "residual" for another 5-6 years. Makes no sense. Also...most people trash the shit out of their vehicles. A high residual means that, that car better look flawless when you go to sell or trade it back in. 36 month leases are few and far between. Most people that lease now days do so on 48-60 month terms. I agree, buying a car brand new with a 5-6 year loan is completely stupid. Buying a 2 year old used car that's practically brand new with low miles is best choice you can make. |
actions · 2015-Apr-13 4:25 pm · (locked) |
Dodge
Premium Member
join:2002-11-27 |
Dodge
Premium Member
2015-Apr-13 5:10 pm
said by Ghastlyone:How is a higher than normal residual on a vehicle a good thing? Amount financed = negotiated price - residual. how is it not? said by Ghastlyone:That means at the end of the lease, your options of getting rid of the car are extremely limited. Yeah, give it back, take a new one, go on your merry way. Fail to see a problem here. And if you are going to take a new one from the same manufacturer, the car has to be in a very effed up state for them to charge you anything. Especially if you time it right and your lease is up during dealership slow months. said by Ghastlyone:Also...most people trash the shit out of their vehicles. A high residual means that, that car better look flawless when you go to sell or trade it back in. Who are these "most people"? My cars usually wind up having a few dings / paint chips from too much highway driving, but other than that usually no major damage. I smoke in the car, wash it about once a month (sometimes more often in the winter) and don't do anything as far as maintenance that's not in the manual and is absolutely required for maintaining warranty coverage. All my friends are in the same boat. Oh and high residual has nothing to do with a condition of the car at the end of the lease. There is a preset "price" for any damage. said by Ghastlyone:36 month leases are few and far between. Most people that lease now days do so on 48-60 month terms. I agree, buying a car brand new with a 5-6 year loan is completely stupid. Buying a 2 year old used car that's practically brand new with low miles is best choice you can make. What?!? MOST leases are 36. German brands will offer 24. Some manufacturers offer 39 to make lease payment seem smaller. 48-60 month leases are for people with bad credit and are usually offered by scammy dealerhips. It will never be from manufacturer's finance company. Now if you have bad credit, than yeah, leasing is probably not for you, as the only way you are getting a good deal is with tier 1, 0, prefferred, elite, or whatever they call it that day. Did you ever have a lease or are you just going off the he said / she said information? |
actions · 2015-Apr-13 5:10 pm · (locked) |
fixrmanFrom a broken heart to a hole in the sky
Premium Member
join:2003-02-10
Hatboro, PA ·Verizon FiOS
1 recommendation |
to Dodge
Dodge, there IS a balloon payment required if he buys out the lease, and he will be paying, at minimum, $8103.00 for a car to drive for three years - IF the finance manager included all of the charges relative to the lease. Often, the fine print is where they get consumers. Whether or not one "finances the part you are using" , they are responsible for all of the part(s). The residual value applies to the resalable vehicle, i.e. any damage or excess wear is a chargeback. Don't try to tell me it doesn't happen, because it does - all the time. If talking about "scare tactics" as a way to justify leasing as a valid option, that talk would be coming out of a hat because there is no financial expert that will ever advise a consumer to lease a vehicle over buying. It is a waste of money, unless one can write off the mileage/payments or is trying to avoid capital gains. Leasing a NEW car makes a whole lot more sense than buying a NEW car if you are going to sell it anyways within 3 years : I'd love to see the logic in that. Show me where something one owns is worth less than something one has rented and cannot resell, everything else being equal. That's pretzel logic. If successful with that argument, I want such a person as my banker or realtor.
Manufacturers and dealers love people who are dumb enough to lease because they sell the vehicle at least twice - maybe to the same customer - with person number one eating the depreciation even if it is the same person who buys out the end of the lease term.
There are a whole lot of reasons not to lease and fewer favour of it. There is a clever pamphlet in circulation right now that Lessors will provide to potential Lessees that spells it out quite clearly. All the reasons not to lease are right there if one reads between the lines. Ask my former neighbour Jay if he will ever lease again, my aunt, Rick - and the hundreds of people who learned the hard way. Leasing is for suckers. |
actions · 2015-Apr-13 6:46 pm · (locked) |
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