Join Date: Nov 2010
Location: Yuba City, ca
Thanked 1,398 Times in 1,329 Posts
iTrader Score: 0 reviews
Broaner is right on some issues but not on some.Be known I sold Dodges for 17 years.
First it is not true that you will never be upside down on a lease. In fact you are often further upside downif you do any of the following: First you are obligated for the payments for the full term of the lease, always. Second roll over from a previous upside down is part of that. You wnat out early included. You go over miles. You crash it and it is not worth what you owe on lease plus residual(reason for GAP). The only time you are equal or ahead is at end of lease and on point or better for miles.
Good reasons for lease and best methods:
IF "Money rate(lease interest) is a lot better than purchase rate. Sometimes common on good specials, but not usually otherwise.
If you are going to match miles.
You are buying a vehicle with a good residual and reseal value.
You are business with multiple vehicles and want newer ones all the time on warranty.
You are always good on miles and want a newer vehicle often and will keep them to end of lease for sure.
Know you wall always have a payment and have the necessary down for rewind.
NO 0 to one percent interest rates are available for purchase.
You can do and understand the math of both lease and purchase.
Many people are pushed into 60 month leases on the basis of lower payment to buy too much vehicle and the want out in 3 years and are $10,000 upside down, often based on negative balance from prior trade in.
So leases are fine if you fit the "profile" and can sometimes save some money or convince but make sure you are committed and it is right for you..
99 2500, Quad cab, 4x4 47RE, BD pressure lock on it, small BD 90/140 chip on the VP 44 connection plug, 17" 3rd gen wheels. 3.55 diffs. Ruenell front bumper and warn winch, Rancho adj shocks. 663k miles.