Yeah true, 5 years is a long time to lease the car, but it's just as if I own it because I'm going to be buying it. Accidents (God forbid) scratches, everything, my responsibility.. so yeah, it's like owning the car. And yeah it comes out to be 24,000 in payments, and I'll owe about 5,000 after wards, but think of it this way.. If I did a loan, how much money are you paying towards interest? I'm not losing any money here, I'm only paying 29618 or whatever it was.. you guys with a loan are paying you payment, PLUS the loan interest, which on a 30,000 loan is 1,725. So if your out the door price is 30,000, you'd pay 31,725 over 5 years.. When in 5 years I pay the 30,000. Oh well.. I prefer lease, also since I'm 17 now, by the time it's time to pay the car off, my business will be completely launched, and I'll have a much higher paying job, and will be able to afford the lump 5,000 payment easily. But I guess this is a matter of preference.

 

for 43,000 you could buy a vette :P

 

Ricky, your numbers don't make any sense at all. You say your residual is 5K? If that is correct your base rent is 410 before your cost of funds is added. Assuming you got a good rate your payment should be about 530 before tax. You may want to review your paperwork because something is not right, my guess is that the buy out is much higher, maybe 12-14K. You should check your contract. My math says your residual should be around 13,500 +/- depending on your money factor.


Nice to be 17 huh, better work on those math skills before you start building your empire.

I will assume that my numbers are a little closer to home and that you will be paying 38500 for your car, which is still a fair deal for a lease as long as yours.

 

Purchased
MSRP 31,679 + 2873 taxes and tags
Trade in 10,000
down payment 8,000
Financed the rest for 3 years
Intrest rate 4.75 %
Paymments 507.60

 

leadfoot, whoa there, wait a second.. my car total came out to be 30.618, 1000 down, so 29618. 29618 on the lease over 60 months is 400 a month.

400 a month x 60 months is 24,000, which means i'll owe about 7,000 after the lease, by what i understand, right?

 

Depreciation Fee = ( $29,618 – $12,143) ÷ 60 = $291.00
Finance Fee = ( $29,618 + $12,143) × .0028 = $116.00
Monthly Lease Payment = $291.00+ $116.00= $407.00

29,618 is the Net Cap Cost
12,143 is the Residual

 

This gave me the impression that your residual was only 5K which as you point out it is not. If you purchase the car at lease end your cost for the car will be 37K and change not the original 30,618 you claim. If you walk away you would have paid 25K for the rental of the car over the term of the lease. I don't recommend leasing a car for such a long term but you certainly can dribe a lot of car for the money. Just clarifying as you painted a pretty rosy picture there. Still the money factor is very low and that is certainly not a bad deal.

 

I plan on financing through nissan and wanted to get an idea of lease v's buy.
Total = 32,945.00
Down = 4,000.00
Credit = not the best
No trade

What kind of % should I expect? I applied for loans through several places... bad idea. Now I have excessive credit inquires on my account. None the less, I was approved by People first @ 9% up to 40k. They are the only bank to offer.

Any advice would be greatly appreciated.
As always, thanks in advance. -m

 

37k? What are you talkin abuot? The 60months term totals up to 24,000, and you minus the MSRP from the 24,000.. isn't that how it works??

 

The residual is what you will pay to buy out the car at the end of the lease. Add that to the $24K you paid to lease the car and that's the total for the way you are planning it.

 

My payments are whatever I want as bank offered such a low rate on home moratage loans, 4.75%, that I took it to buy the car. I can pay it off in 3, 4, 5 or 30 years. Adds lots of flexability plus super low interest. Basically if I need to skim for a month my minimum is like $180.

 

After your 60 months and $24000, you will owe around $13000 to buy the car. Your $24K doesn't go towards the price you paid it goes toward the depreciation, interest and paying on the car. In the end you will pay about $3k more then just buying it and financing it for 60 months.

 

Singin is correct. Your total cost for the car is:

1000(downpayment) + 24000(total of monthly payments) + 12143(residual, if you buy the car at lease end) = 37,143

In addition, depending on the tax laws, you will probably owe sales tax on the residual amount.

 

The credit inquiries are not bad as long as you have done them all within 15 days of the first one. The fico score formula takes into account that people shop around for loans so multiple inquiries count only as one if they are for the same thing within 15 days.

 

Ricky,

Dont make too many far out plans, 5 years is long. You wont know who you will be, how you think, what you like, your job, kids, want a house, boat .etc. Changes happen.

Your not getting ahead saving money with your lease setup. Ask an expert. You have estimated calculations, with nothing clear cut. Seems you read up on some things, but your missing lots of important considerations. the only winner in a lease is the dealer. they did not create leases because they were better for you, Leases are better than financing. Better meaning more money for them.

"if, I'll have, will be, its like, I guess" these are all words you used
and they are indicative of a wish/plan that will just fall into place. Imagine if things just worked out perfectly all the times.

 

Well, in the past 12 months; (#) times inquired
(3) Nov 2001/ (3) Mar 2002/ (2) July/
Unfortunately, Nov/Mar were both for refinancing my mortgage. I was fighting to get the lowest rate. I decided to wait to get a better rate, but ended up with the same. So now I'm left with a lot of credit inquires on top of the not so perfect credit. I know I can get approved for the loan, but I'm more concerned with the extortion rate will be.

Any idea of % range I should expect from Nissan Finance?
Again, I was already approved by PeopleFirst @ 9% back in July.
Thanks. -m

 

Purchased
MSRP $28996 +++=$31400.00
down payment $6000.00
Financed $25400.00 for 5 years
Intrest rate 6.99 %
Paymments $502.00

 

Let me guess.. Silverstone with kickplates and mats?

And what are the +++ charges? Anything besides tax and licensing?