Oink

You should start a consumer reports blog.

Gozit

We recently leased 2 new (Ford/Lincoln) cars

The first one is a Ford F150. FX4 version, fully loaded w/navigation system, 4x4, leather heated/aircon seats, etc.

With the trade of the old truck the payment is $300/month including maintenance. That means all we pay is $300/mo + insurance + petrol. All maintenance over the course of the lease is covered. Its a 3 year lease so in 3 years dad gets new truck. Without the trade the payment would've been $600/month with maintenance plan included, then add your insurance and petrol on top.

The second car is a Lincoln MKC. Again top of the line version, every bell and whistle imaginable. With the trade of old car payment is around $400/month with the exact package as the truck. Same thing 3 year lease with maintenance pack. Without the trade in the payment was going to be around $670/month again maintenance included.


So its possible to get a fully loaded car on a lease for the same price as renting an "economical" car for 30 days rolling.

Shard I think this also answers your question about leasing in Canada vs UK. From what I understand leasing a car in UK means long letting it from a rental car company, ie you can't cherry pick your car, you get what you get don't fret type thing, but insurance etc is included.

iaink

Only if you already have a pretty valuable existing vehicle to trade in to get the monthly rate down.

Then in 3 years time you wont actually own anything you can trade in, so you are going to be looking at $600+ if you want to keep on rolling in the same style.

Leasing in the UK is the same as here, You choose a vehicle, and then finance only the agreed depreciation between the initial cost and what the car company is prepared to gamble it will be worth at the end of the lease. If you use more miles than you agreed on they screw you for the extra depreciation, if you use less, then they get the benefit of a more gently used low mileage vehicle to sell on the used market, unless you want to buy it, but then only for the price you agreed up front for a vehicle that in theory should have a lot more miles. Heads you lose, tails they win.

The other down side is that the car company has all the power to decide on both the initial cost and the residual value. As a "buyer" your ability to negotiate over either the initial cost or the end of lease value is not as great as when you are purchasing the vehicle and know what the invoice price to the dealer is and can use that as leverage to get a deal or else walk away.

Gozit

True, but OP's quote of $800/month is still more than that new-lease-with-nothing-to-trade-in price of $600/month. Plus my figures are for more loaded cars. I'm sure if he wanted to go for a more economical/cheaper car it would be cheaper on both fronts.

And good to know about leasing in UK. People over on MBTTUK were insisting that you had to go through rental companies.

iaink

His rental cost includes the insurance and can be cut short with minimal notice. Your lease does not. With no credit history you probably do.

Gozit

That's true too. But take say a Ford Focus, base model. Worth some odd $16k. Lease payment without a trade and bargained for maintenance pack is $400/month. Add insurance and as long as you aren't me (an under 25 male with very expensive insurance) then you'll come out ahead of the rental.

Gozit

Yes but that wasn't stipulated in my question

iaink

But you will be married to it for 2 or 3 or more years.... Shorter the lease, the more expensive. You are right though, long term a lease is probably cheaper. But there is also a fair bit of cash up front on a lease, security deposit in some cases, options to pay for, taxes yada yada yada.

Gozit

Yep. Price I quoted was a 3 year lease. We priced a Focus out too because that's the car I want (but didn't buy it; i'm not licensed yet)

not2old

we've been fortunate over the long haul to come out clean every 30 - 40 months ownership in buying a clunker, maintenance, insurance, safety, on the road, 3rd party only insurance. At the end of it either scrap metal the old bugger or selling it. I fine tooth the expenses on a spreadsheet, that our total out of pocket all in costs is always less than $200/mth +gasoline.

Mind you its usually a 10 year old or more vehicle, insurance for me is around $60/mth, maintenance over 30 months is typically ~$1000.... brakes, used tires, bits & bobs

Its the less than $200/mth factor

iaink

Sometimes that's nearly as good as "new car smell"

not2old

dont understand that

If you're saying all up front price (no deposit or down payment) money, either a lease or purchase, tax included, all service costs, on the road + insurance & maintenance can be had for $200/mth, then I'm missing something.

Where or how can I get such a deal

iaink

I'm saying that nice as new car smell is, sometime living without it and paying only $200 a month is the better deal.

Heated seats though are a must have item

Gozit

New car smell wears off after a month anyway. Just make sure the used one you buy doesn't have a cigarette smell in it. That's a bugger.

not2old

right then, I understand it better now.

You know folks will tell you that they are buying (on the never never) or leasing a vehicle for $xxx/mth without telling you the rest of it - such as money down, admin/service fees, tax, the insurance cost, maintenance costs or any end of lease costs.

My OP was asking & looking for whether it can be done a different way for a an all-in cost for a lot less. Well, it looks like the way I'm doing it now isn't too shabby other than its always an old clunker with a 'cross your fingers in maintenance costs or breakdowns'.

I do like the leasebuster idea. Now if I can get one of those with insurance included for $200/mth, I'd be a happy camper