Monday, August 22, 2011
Buying a new car?
I was just sitting here thinking about how much I would love a mid-sized SUV right about now.
Five years ago when I leased my Acura I thought I would have it for the 3 year lease term and hand it back in- HA!
Having a lease is a very tricky thing:
If you go over the miles you get slammed with charges 15cents per mile in my case.
If there is anything wrong with the car you get charged as well- luckily I would have been fine there
Leasing a car is not all bad though. If you can stay under miles or close to them and keep it looking nice then you'll be fine.
It also makes affording that high end car that much easier. Because cars with a higher value at the end of the lease term tend to have lower monthly payments than a car that will be worth a lot less than the original price at the end of lease term.
So while I most likely will never lease again (because I drive wayyy to much) here are a few things I would do if looking at a lease again:
Make sure you get at least 10% off the invoice price. Even though its a lease you can still talk down the price.
I did not put any money down, $3,000 down would have only saved me $30 a month-no thanks that's throwing money away.
If you are trading in your car, know what its worth at dealer value and do not go under that for any reason. Another car dealer will gladly pay full value for your business.
Finally, make sure the car will fit your lifestyle while you have it. If you have a 3 year lease on a sports car will you be having children or pets that will make it hard to use? Or will you live in "Tropical Albany"