[wtwo3]

Originally Posted by spazzyfry123

I was thinking the same thing! That's some crazy money for what it is.

But hell I've been hearing stories of people paying $8k over sticker for a Rav4. Wild.

You couldn't give me a Rav4 for free!

My parents have one and I despise it.

[Amazinjoey]

Don't know what it is in your country but here in sweden we could get a Polestar 2 with everything except performance pack and 25 000km per year for around 400 USD. Pretty good deal.

[Alfisti]

THose prices are not really COVID related, that's just what we pay for cars. YOu want a real eye opener, try Australia.

[Reborn_]

In my view, if you are planning to keep the car, leasing then buying (assuming financing) is just spreading interest over a much longer period (thereby increasing your total cost). Of course, payments are lower, so it has value, but in my view, that is the primary downside to leasing, and buying the car after lease, if you know ahead of time you want to keep the car for 10 years. I think the upside of leasing has been well covered.

[Alfisti]

To me the big downside is getting into a habit of churning cars every 3 years, it's a super expensive habit.

[Reborn_]

Originally Posted by Alfisti

To me the big downside is getting into a habit of churning cars every 3 years, it's a super expensive habit.

I view that as the whole point, honestly. Makes it easy for you to always be in a new car, and the automakers sell more new cars and develop a strong used car market that dealers can benefit from at the same time.

[upstatedoc]

Any update OP? Do you still have the X5? And you're looking for a daily driver? And you're willing to spend $50-$70,000 on it? I'm just trying to get the facts straight.

[originalgoods13]

Originally Posted by upstatedoc

Any update OP? Do you still have the X5? And you're looking for a daily driver? And you're willing to spend $50-$70,000 on it? I'm just trying to get the facts straight.

Yes, I am still here.

Daily driver meaning just dropping off kids to school since working from home is the new normal.

Prepaid lease of $43K on 1.49%, this shaves off $6K overall.

I am banking on the rarity of the Mustang Mach 1 6MT in 4 years to be worth more than the buyout of $26K.

Although, this one is Base model with no Premium or Handling package.

I still have the X5, I don't daily it since we live close to work. 52000 miles on an 8 yr old vehicle is not bad.

[originalgoods13]

2021 Subaru STI is sold out, 2022 won't be out til next fall.

[Amazinjoey]

TBH, Brand new ICE car for driving the kids to school is a bad Idea, I would go electric

[Alfisti]

Originally Posted by Amazinjoey

TBH, Brand new ICE car for driving the kids to school is a bad Idea, I would go electric

Banned.

[upstatedoc]

Originally Posted by Alfisti

Banned.

for life

[Maitre_Absolut]

Originally Posted by Alfisti

Let's assume the same price lease vs buy, taxes in.

LEASE:
1078*48 = 51,744
Buy out = $29,130*1.13 = 32,917
= $84,661

BUY:
68700*1.13 = 77,631
Interest @ 5 yrs and 2.5% is 1,378
= 79,009

He is more than $5K up and if the car holds value, as the Mach 1 likely will, he could offload it for $50K and spend $29K in 5 years instead of $52K in 3 years.

So to your point, let's say he does the buy out as the car is worth more, so he buys her out, 33K, sells at $50K, for a 17K delta. 52 less 17 is 35K. He has still spent 4K more in 3 years than he would have if he bought it over 5 years. Now i realise 5 vs 3 years is unfair but a) the loan cost would also be less and b) I am not even counting the extra 2 years of leasing he would need to do to get to 5 years of ownership.

It's madness.

Dude your math is all wrong and everyone called you out on it.

The difference in those scenarios is about 2k and thats because the finance rate is lower (2.5 vs 4.5) - thats not always the case.

And you should be paying more for the lease, you get a built in put option to sell at fixed price.

If the car is worth less than buyout, finance option loses. If you got into an accident during the lease that could easily be the case.

Im not advocating one over the other but you clearly don't know how it works. Its only madness because you cant do the math.

[originalgoods13]

Throw this into the mix - A Mustang GT Premium with Performance Pack, Exhaust, Mag Ride, is $10K cheaper.