I am on my second F-150. The first was a 1994 Lightning that I bought my senior year of high school. Had to sell it because I could not afford the payment and college. You guessed it, I had to buy the "college car:" 1991 Plymouth Sundance (don't ask!). After Graduation I bought my current 2000 XLT 4X4. No problems with the truck, but I get bored with my vehicles rather quickly and would like something new. I don't think I can swing the payments of financing a new F-150. So I have started to research leasing one. I have heard some horror stories on leasing but I would just like to hear some experiences you have had with leasing.

Thanks In Advance

 

Just my opinion, as I haven't leased a car. If you would typically trade in your car with in the typical lease time AND you live rather close to your work then lease. If you enjoy to drive when you traveland/or you live a good distance to work then buy. Most of my co-workers have leased and the biggest complaint I hear form them is that they go over their mileage allowance.

 

If you can't afford to buy a new truck, then you can't afford to lease one either. The actual cost of ownership is usually higher when you lease. That's because you ALWAYS have a payment and you NEVER own anything. Buy something 2-3 years old with low mileage.

The goal should be to pay off your vehicle as quickly as possible, then enjoy driving it at a lower cost. I average 8 years per vehicle. Once it's paid off, I no longer need to carry 'comp. and collision' insurance which drops my insurance cost by over half. It's real nice driving a truck for 5 years without a vehicle payment.

 

My one time experience with leasing was a definite learning experience.
We leased an Expedition and lived in town during the time we started the lease. The payments were around 350 or so (back in 99), gas was at .87 and it was cheaper than buying at the time. My total milage to work and back was about 8 miles or so and I never thought at the time we would go over our 15000/year allotment.
Well, we moved out of town so my round trip milage went from around 8 to more like 40 and then to top that off, my 87 mazda 4X4 broke down and I ended up having to sell it. We lived with one vehicle until 2002.
Our total mileage when we turned the Expedition in was 75000+ and this was 6 months early. I think it ended up costing us around 6 grand. Of course I could have bought it but my payments would have jumped up to $560 and would have been financed for another 5 years.
Needless to say I didn't go that route. We turned that sucker in and got a 2002 Explorer and a 2002 Conv. Mustang.

 

Ok let me throw my .02 in here. The main reason people get burned on mileage on leases is they dont figure their actual driving habits in the beginning. Everyone jumps on the 12-15k yr plan because the payment is usually way less than going 60mos. If you drive 20k yr then the lease can be computed that way and you will have no mileage fees due at the end. If you regularly trade cars every three yrs then lease it with your correct avg mileage figured in. At turn in time you wont have a big negative equity left to roll into the next purchase, just turn it in and lease another one. This is the way the program is designed to work.

 

I agree w/ SAFEFFC. If you want to get a new vehicle every 3 years and you figure in your correct mileage a lease is a good idea. If you keep a vehicle for 5 or more years don't even think of leasing. But the statement about rolling over negative equity is very true. Most people do not pay off a brand new car in 3 years. So if you go to trade in a car that you had for 3 years, chances are you are not going to get much for it.

 

leasing CAN work in some situations.


you have to do the math for yourself. You lease for 3 years and pay X with no equity on the back end.

You buy and finance over 4 years and still have some equity.

What is the total cost output over the course of 3-5 years?

High mileage and/or long term ownership = buy
low mileage and/or wanting a new vehicle every 2-3 yrs = lease.

 

I leased a 2000 Hyundai Tiburon SE for the following reasons.
1. ) I knew the car was going to be short term 3 years max.
2.) I knew I was going to be driving a lot miles in that 3 year period.
3.) Payments were really cheap.

Plus I had no intention of keeping the car.

You should lease if you own a business cause you can write off the payment.

Leasing VS. Financing is a huge debate. If you want a new vehicle every 3 years then lease if you want ownership lease it then buy it out at the end of the lease. Saves a bit of money. (Some times)

 

you can write off purchased vehicles too.

 

I leased for all of the wrong reasons and as of know I am happy. I needed a new truck for work. I wright off about 30-35k a year so It really pays for itself.

BUT, I had just bought a new house, so I had no money down that I could access. I had a 2000 rodeo that was upside down (when it was new in 00' it was 32k it KBB's at 4k when I traded it in). I tried to sell it myself but people stayed away like it had lepracy, and the think was about to grenade. So I went down and picked the truck that I wanted no comprimise. As I spent 10 hrs a week in a vehicle I want to be comfortable.

So I leased. They gave me a great lease rate and took a good chunk off the MSRP. I had a low payment to allow me to put extra money in my house & Bank (which appreciates vs. plumets) and makes me more comfortable. Yes I howmuchamonthed it, and I know thats bad but I did it anyways. I know what the truck will cost in 3 years which would be the same if I was looking at a 3 year old truck now. BUT, I know the exact service history of this truck, I know who drove it, and did all the work myself. When I buy it out I will put money down or just pay it off.

It works for me but give me three years and let me tell you what I think then.