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The main advantage is if you can write off the lease to your business. Maintenance was an advantage; insurance was higher due to gap insurance. Worrying about scratches/dents and going over mileage was a negative.
People will tell you to save your money and pay cash. What they don’t realize is that you might need a car NOW. You can’t drive a $1000 clunker for 4 years hoping to save money for a new car. Leasing can be a great start to ownership. Just make sure you get a decent residual and buy it at the end of the lease. This is how my son got to own his Subaru. He could never afford to buy it outright.
I leased because I needed a car but didn't know what to get. So I went with a 2 year lease. Glad I did because the Infiniti Q50 sucks bad.
Advantage is of course you are not stuck with it, there are more "incentives" to lease because dealer makes $$$ renting you a car, and good dealership usually let small nicks and dings slide. As long as it's not bigger than 2 inches... Or you don't have multiple nicks in a single panel.
And if you're self-employed, it's a nice write off.
People will tell you to save your money and pay cash. What they don’t realize is that you might need a car NOW. You can’t drive a $1000 clunker for 4 years hoping to save money for a new car. Leasing can be a great start to ownership. Just make sure you get a decent residual and buy it at the end of the lease. This is how my son got to own his Subaru. He could never afford to buy it outright.
OK. Bottom line. What was the actual total cost of this car in real dollars?
Leasing is just a fancy way of borrowing money to purchase a car with the option to purchase it at a later time. If you negotiate properly, you'll be in no better or worse condition had you purchased the on loan.
The upside is that you aren't forced to purchase the car (hence why it is an option).
The downside is that if you choose not to purchase the car, you take realize a hit on a good portion of the depreciation. But it's no different than buying a car on loan, and selling it three years later.
Leasing can be a great start to ownership. Just make sure you get a decent residual and buy it at the end of the lease. This is how my son got to own his Subaru. He could never afford to buy it outright.
That's not really good advice, that's about the most expensive way to buy a car.
I hope your son don't rent to own his furniture
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