Here's my dilemma:
I have a little over two years to go on my wonderful 03 Black Enthus Z.
16,000 miles now.

I have leased my last two cars, and it hasn't bothered me. Low cost of entry and I always start drooling for something new every few years anyhow.

However, I'm getting older (33) and it bugs me that I don't OWN a car.

The payoff, including tons of taxes, is $27K.

I can get a 5 percent loan through a credit union and my payment will be roughly the same as my lease, or less if I go five years on the loan.

My preference actually was to trade in the Z for a cheaper car, but it would cost me a pile.

Is it worth taking out a loan at such a high payoff level?
What if in two years I want to get a different car? Would that make the loan a waste? I don't expect the car to create equity for at least two years after the loan starts.

Advice please!

 

You sure they will even load you that much for an `03 enthusiast?

You MIGHT want to check and find that out first. I was curious about my track, and they BARELY loaned me $29k when I refinanced.

 

ouch, 27k doesnt sound great. I think if I were you I would look into having someone else take over your lease, and finance a new one. Youll get a better rate on a new one, and itll be new! Or just finish out your lease.

But to spend 27k on a car youve already spent a bundle leasing (and you can get a new one for 28k) seems to be a mistake to me.

Good luck to ya bro!

I have always been the type to never do a lease. But I suppose I have been tempted since the payments are low and I replace my car every few years (2 or 3). I always try to get a car with a high resale value because of this.

 

Technically, the payoff is $25,000 but taxes and fees mean I have to give Nissan a check for $27K.
So, yes, a new one would be $29K, but you aren't adding in sales tax and everything.

 

just because you take out a loan to buy out the car doesn't mean you now own the car...it just means that instead of ur leasing company owning the car the bank will now own the car...all you are doing is transfering ownership...it will still not be urs until it is paid off...

 

I think you can get a new Enthusiast for close to 29k out the door, at least thats my plan.

And no, you dont own it, but you own part of it, and you have more rights, you can resell it, modify it, etc. And eventually it WILL be yours. Ask my wife who paid off her car. Its nice to own it outright with no payments.

Im not bashing leasing, but I am just saying I would never do it myself.

 

Wow sorry to say but that payoff SUCKS. I got a new 2003 performance with 2K of options for around the same price.

You should try to swap out of the lease and pick yourself up a used 2003 Enthusiast for $22k-ish.

 

By the way, swapalease.com says Nissan still keeps liability with the original leasee even if you work out a transfer.

I don't see that as an option.

(Although the site also offers some form of liability insurance, but likely at a cost of $1K.)