Who's leasing? Who's Purchasing/Financing?

[-=Hot|Ice=-]

You couldn't lease the Boss (through Ford Credit), doubtful that you'll be able to lease the GT350. Does anyone know if Ford will actually lease it?

Good point!

It's way too soon to know for sure, but I seriously doubt Ford will lease the GT350s. Can you imagine the kind of shape they'd be in at the end of 36 months? :eyebulge:

You mean, bald tires, scratched and dinged up body, and probably an engine that feels like it's been running for 100,000 miles? :lol:

I am guessing Ford won't offer a lease due to the specialized nature of the vehicle.

Cars are expensive these days and the more financing options available the better as far as I'm concerned.

I agree!

Lease. Mainly because this is my daily driver in Canadian winter. But every day, I get more decisive about buying at the end of the lease term. I love this car!

I've leased my last four vehicles, mainly due to tax purposes. I wouldn't mind purchasing the car. It'll actually allow me to enjoy the car to the full extent if I don't have any mileage restrictions.

CASH for a toy...ONLY !!!!!....unless this is your DD..I guess

You really get to enjoy the car when there are no limitations/restrictions to how much you can drive it. I agree with you!

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[-=Hot|Ice=-]

I would not lease something like this. A BMW? Sure. But these things will not have competitive rates.

They may not now, but what happens when they start pumping them out in 2017+ and the dealer markup goes away?

 

[zebras550]

Svt cars do not have lease programs generally. Couldn't lease a s197 Shelby. You won't be able to lease a s550 either. The reason the mustang leases are not that great is because of the nature of the beast. The first thing most people do to a mustang is a nice smokey donut, then add exhaust and intake. At the end of the lease the car is trashed because the leasee has no pride in ownership of a car he/she is not planning on keeping. When you go lease a Bmw you generally aren't going to modify the vehicle and if you do Bmw will charge you a premium to return the vehicle to stock as would any manufacture.


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[MagneticA]

None of your damn business! Stay out of my wallet!

Nice thread for a DB to brag about how much money they have.

Kill it. None of anyone's business

Terrible topic. But I guess there are peeps willing to divulge that info to strangers.

My response to almost every thread created based on speculation: Who cares.

What's that saying... oh yeah: "If you don't have anything nice to say, don't say anything."

No need to include yourselves in a conversation you are not interested in. :shrug:

 

[Zeenobit]

Just as a side note: The decision to lease or finance a car in this day and age is not always solely based on the size of your wallet.

With the extreme depreciation rate of most cars these days (let's not kid ourselves; no matter how much you love it, the Mustang is a pony car that depreciates fast, unless you are driving a limited edition that is bound to sell high to a collector later on.) and limited lifetime of the car, leasing can turn out to be more or less expensive than financing depending on the circumstances.

There are many factors that are involved in the decision of whether or not you should lease a car. If you're purely looking at the size of your wallet and then leasing because you may not be able to afford a finance, you're doing it wrong and not thinking about the future.

So stop being self-conscious. It is quite interesting to know what percentage of people leased their ponies and why they did it. If you don't feel comfortable sharing that information for whatever reason, you have options! You could, for instance, just not take part in the poll. That's just one option! You have so many different options! You are a free human being capable of making these decisions. ;)

 

[osu13]

CASH for a toy...ONLY !!!!!....unless this is your DD..I guess

:doh: Whatever floats your boat. I love the people (not you particularly) who think paying all cash proves financial greatness. If I could get a great rate the money I didn't drop into the barrel can be invested for greater returns over a 36 or 60 month period then what I would spend in interest on the car.

 

[Dr Chill]

Penfed every month or 2 does a 48 month 0.99% finance promotion on 2014 and newer cars that is the best you can get and in my mind superior to having cash tied up in a car. That offer is good on cars you already own outright, or have financed at higher rates elsewhere, or are about to purchase. I recently financed 2 cars that I owned outright with that deal and now have about $100g available for investing or personal use that I didn't have before. Did I need to finance them? No, but I am much happier with the cash in my possession. Even if I just used all that cash to pay down my 3.25% mortgage, it's a win-win.

For anyone curious, a $50,000 loan at 0.99% for 48 months, the monthly payment is $1062.86 with the total of 48 payments equaling $51017.28.

Leasing a car like this is assinine as the total cost of ownership will be way higher, unless you have a business on which to write it off.

 

[zebras550]

I have leased several cars in the last 4 years simply because I get tired of cars fast and like the short term commitment. However owning a mustang is very appealing to me. I will likely lease more cars in the future but not a car I plan to customize or put my touch on. Believe it or not in some cases it's cheaper to lease a car and buy it later if the incentives are right at the time of the lease. This doesn't always work of course but it is a great option for the guy who changes cars like he changes underwear. My point previously is leasing a Shelby first off won't happen, and leasing a mustang Gt in particular would be frowned upon if you want to customize it.


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[Blk2015GT]

From past tendencies you won't be able to lease a Shelby vehicle. Historically they haven't leased Shelby/SVT vehicles due to the limited run nature and high performance aspects. It's pretty obvious why they wouldn't offer them on leases.

You can finance through a private bank or likely Ford credit (although nothing official yet on that).

 

[Zeenobit]

Penfed every month or 2 does a 48 month 0.99% finance promotion on 2014 and newer cars that is the best you can get and in my mind superior to having cash tied up in a car. That offer is good on cars you already own outright, or have financed at higher rates elsewhere, or are about to purchase. I recently financed 2 cars that I owned outright with that deal and now have about $100g available for investing or personal use that I didn't have before. Did I need to finance them? No, but I am much happier with the cash in my possession. Even if I just used all that cash to pay down my 3.25% mortgage, it's a win-win.

For anyone curious, a $50,000 loan at 0.99% for 48 months, the monthly payment is $1062.86 with the total of 48 payments equaling $51017.28.

Leasing a car like this is assinine as the total cost of ownership will be way higher, unless you have a business on which to write it off.

That makes perfect sense if you plan to keep the car. It makes sense if you are not using this car as your daily driver. It makes perfect sense if you don't expect depreciation.

But in any other scenario, if I finance a car for $30,000 at 0.99% APR (which is impossible at least where I live), I would be paying $30610 after 48 months. But the car would be worth less than $8,000; so I've lost over $22,000, which may or may not be more than the money I would've spent on a lease (including the trade-in value of the car). And after 4 years of daily driving, who knows what condition this car will be in. Here, the safest approach is leasing. Worst case scenario is that by the end of the lease, you realize you want to keep the car. So you pay a little bit extra, and it's yours.

With a lease, you have options at the end of your term.

It's not just about the money spent. It's also about the depreciation, usage, car lifetime, your plans to mod the car, and how much you really plan on spending to maintain the car in the best shape (which may actually out-weight the money you would've saved if you financed).

Again, many factors should be considered when leasing. But the best part about leasing is that it leaves you with options at the end.

 

[R 350 gt Donson]

:doh: Whatever floats your boat. I love the people (not you particularly) who think paying all cash proves financial greatness. If I could get a great rate the money I didn't drop into the barrel can be invested for greater returns over a 36 or 60 month period then what I would spend in interest on the car.

What I love is people getting all pissy and defensive (not you particularly) over someone some one saying paying cash for a toy proves financial greatness. I'm not sure how it proves that, but maybe its the way I was taught.. you don't buy shit you can not afford. I personally can not stand $80,000 millionaires ....its the guy (you know one I'm sure) that make about 80K a year and lives like a rock star...well I personally feel that this car is a toy, not a DD, but Im not judging. I like a 4 door as my DD. (but that's me) It like buying a 10K (plus) wrist watch. I know people that finance them....I personally think its stupid...if you can not afford to may cash for it...don't buy it. Im sorry if my way of thinking offends you.

 

[Dr Chill]

That makes perfect sense if you plan to keep the car. It makes sense if you are not using this car as your daily driver. It makes perfect sense if you don't expect depreciation.

But in any other scenario, if I finance a car for $30,000 at 0.99% APR (which is impossible at least where I live), I would be paying $30610 after 48 months. But the car would be worth less than $8,000; so I've lost over $22,000, which may or may not be more than the money I would've spent on a lease (including the trade-in value of the car). And after 4 years of daily driving, who knows what condition this car will be in. Here, the safest approach is leasing. Worst case scenario is that by the end of the lease, you realize you want to keep the car. So you pay a little bit extra, and it's yours.

With a lease, you have options at the end of your term.

It's not just about the money spent. It's also about the depreciation, usage, car lifetime, your plans to mod the car, and how much you really plan on spending to maintain the car in the best shape (which may actually out-weight the money you would've saved if you financed).

Again, many factors should be considered when leasing. But the best part about leasing is that it leaves you with options at the end.

This is pure nonsense. A car doesn't lose 70% of its value in 4 years unless you put 125k miles on it or it is damaged significantly. Owning gives you far more flexibility because you get rid of the car whenever you want to, be that 1 year or however long you want to keep it. It's all about total cost of ownership over the term of ownership. The only leases that are financially favorable are those where the car has factory subsidized leasing programs like MB or BMW, or if you lease your car on your business with pretax dollars. With MB and BMW, the car depreciates by roughly the same amount as the payment you make each month, but the lease buyouts are high so you will never have equity in the car and will always be forced to turn it in at lease end where the dealer has another crack at leasing you a car.

I have owned or leased over 50 vehicles and am fully versed on the benefits of each. The only real deciding factor aside from what I mentioned is that if you put huge miles on a car, then leasing really isn't an option. Plans to mod, amount you spend on maintenance, daily use, etc are the same for buying or leasing.

Using your example above for a $30,000 car on the Ford build it site, if I spec a mustang at $30000, it gives a 0 down lease price at $429 a month for 39 months with 12000 miles a year (the best deal Ford currently offers) which totals over $18000 after bank fees. Looking at 2011 Mustang GT non-premium (a car that should have sold for around $30000 new and is now over 4 years old), the Manheim wholesale auction values are averaging around $18-20000 for cars with 40-50000 miles. Manheim prices are pretty much equal to trade in values.

That's a huge cost of ownership difference, and that doesn't even consider that you would have owned the car longer and put on more miles than if you leased it. Had you leased the car on a business with pretax dollars, the cost of ownership would be roughly 30% less than $18000, or around $12,600 which levels the playing field between owning and leasing.

As far as penfed is concerned, anyone in any state can borrow from them and get the 0.99% rate as long as you have good credit scores. At the moment the 48 month rate is 1.49% but twice in the last 2 months they had the .99% offer for several days each.

 

[osu13]

What I love is people getting all pissy and defensive (not you particularly) over someone some one saying paying cash for a toy proves financial greatness. I'm not sure how it proves that, but maybe its the way I was taught.. you don't buy shit you can not afford. I personally can not stand $80,000 millionaires ....its the guy (you know one I'm sure) that make about 80K a year and lives like a rock star...well I personally feel that this car is a toy, not a DD, but Im not judging. I like a 4 door as my DD. (but that's me) It like buying a 10K (plus) wrist watch. I know people that finance them....I personally think its stupid...if you can not afford to may cash for it...don't buy it. Im sorry if my way of thinking offends you.

Ultimately, its all relative I suppose. I mean I guess for a depreciating asset I see where people are coming from. But, the old days of paying cash on everything are long gone (doesn't always make sense). Now financing more than you can afford is another topic where I can see where people could make an argument. But, lets not assume because people finance/lease they couldn't afford it. Money, can grow easily in this market, so tying it all up on a purchase isn't always the best move. If I went by that logic..I bought a house I can't afford since I didn't pay all cash for it....though I assume since its an appreciating asset that gets a pass? :shrug: There are some things that may cross the line such as financing a watch...but even then if they made more money over that period of the loan for their watch then I don't see the problem, as they may still be ahead.

TL : DR Personal opinion is a choice, so lets not generalize all things even though it is damn hard not too.

 

[Zeenobit]

This is pure nonsense. A car doesn't lose 70% of its value in 4 years unless you put 125k miles on it or it is damaged significantly.

[snip]

As far as penfed is concerned, anyone in any state can borrow from them and get the 0.99% rate as long as you have good credit scores. At the moment the 48 month rate is 1.49% but twice in the last 2 months they had the .99% offer for several days each.

Things might be different in the states, but up here, a car does lose 70% of its value in 2.5 years, let alone 4 years. I'm speaking from experience. I had to pay $6,000 CAD to balance the loan on the finance of my previous car before I could switch to my Mustang because my car depreciated faster than I was paying for its finance. That is disgustingly bad.

With leasing, I'm happy knowing at the end of the lease, I have the option to decide what to do depending on how much my car has depreciated. Again, things might be completely different in the US compared to Canada.

 

[Dr Chill]

Things might be different in the states, but up here, a car does lose 70% of its value in 2.5 years, let alone 4 years. I'm speaking from experience. I had to pay $6,000 CAD to balance the loan on the finance of my previous car before I could switch to my Mustang because my car depreciated faster than I was paying for its finance. That is disgustingly bad.

With leasing, I'm happy knowing at the end of the lease, I have the option to decide what to do depending on how much my car has depreciated. Again, things might be completely different in the US compared to Canada.

That sucks. Canadians definitely get boned with new car pricing, and also with used valuations as you explained.

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