[brentmeister7592]

I have been having the conversation about buying or leasing cars a lot lately, so I decided to make a video outlining a few of the pros and cons. In some cases financing can be a good idea, and in others leasing is the right way to go.

Please feel free to share the video on your social media and let me know what you think!

[Crimson92]

There is some slightly wrong info here.

You can trade in a lease early without fees. Dealer will just look at what the car is worth vs. what you owe.

You almost always have to put money up front on a lease.

[KingOfJericho]

Originally Posted by Crimson92

There is some slightly wrong info here.

You can trade in a lease early without fees. Dealer will just look at what the car is worth vs. what you owe.

You almost always have to put money up front on a lease.

To get the low advertised payments, yes, but there is no requirement to pay any cap cost reduction. Usually they do require some basic up-fronts (first month payment, registration fees, etc).

[Crimson92]

Originally Posted by KingOfJericho

To get the low advertised payments, yes, but there is no requirement to pay any cap cost reduction. Usually they do require some basic up-fronts (first month payment, registration fees, etc).

Yeah that's what I meant.

Doesn't make sense to finance those fees.

But that's just me.

[uniqueMR]

[jmg]

Originally Posted by Crimson92

You almost always have to put money up front on a lease.

The only thing you need to put up front is the first month's payment, because you pay for the month that is coming, not the past month, and the licensing and misc small fees. This will NOT lower your cap cost.

[blschaefer1]

Originally Posted by jmg

The only thing you need to put up front is the first month's payment, because you pay for the month that is coming, not the past month, and the licensing and misc small fees. This will NOT lower your cap cost.

I’ve negotiated several ‘sign and drive’ leases, whereby dealers use incentives and rebates to cover even the first payment.

A recent example was a Mazda CX-5 deal for one of my daughters. Money factor was .00001, so free money, and she was tight on cash, good deal for her.

[nick3753]

Anyone ever have any luck getting them to drop the acquisition fee? I've lease 3 times (Audi twice and infinit once) with no luck.

[c1pher]

I think leases are great for people who like to park their cars in their driveway or garage and just look at them. Leases are not for people like me who drive their cars. It’s difficult for me to stay under 15,000 miles a year and I have three vehicles and two motorcycles.

[blschaefer1]

Originally Posted by nick3753

Anyone ever have any luck getting them to drop the acquisition fee? I've lease 3 times (Audi twice and infinit once) with no luck.

I have not. Seems to be set by the finance company and is not negotiable, just like the residual. I’ve leased with BMW, Porsche, Audi, Mazda, Subaru.