Negotiating a lease vs. purchase

[vincentrose]

While a lease payment might be a little less than a loan payment, with a lease, after the lease is up you lose the car. Thousands of dollars paid out and no car to show for it. Leases doesn't benefit anyone but the dealer

 

[mcb345]

While a lease payment might be a little less than a loan payment, with a lease, after the lease is up you lose the car. Thousands of dollars paid out and no car to show for it. Leases doesn't benefit anyone but the dealer

Leases are great for people that want a new car every 2-3 years. Not everyone wants to own a car, pay for maintenance like tires and brake jobs, extended warranties, deal with reliability issues and have to deal with selling it. You’d take a massive hit if you bought and sol every 2-3 years, not to mention for a pricey car like the expedition you’d be paying taxes on the full price of the car every time you bought a new one, most states you just lay the use tax for leases.

I love leasing, my kids can trash the car and I care less about it, as long as they deem it normal wear and tear it’s not my problem after 36 months! Plus you can then drive brands that are terrible to own long term, ie Range Rover, Jaguar, etc, because they’re always under warranty while you’re driving them.

Bought my expedition, but we are leasing a Volvo XC90 for those very reasons above and then 3 years down the road I’ll get one of latest and greatest crossover SUV’s, or at least whichever is running the best lease deals at the time.

People sh*t on leases that enjoy long term car ownership and the financial benefits that come along with owning a car for many years. But, just like some people want a new iPhone every year, some want new cars. I’m a car enthusiast so I want in a new car every 3 years, but I make sure to get the best lease deals out there by doing my research and knowing how to calculate the numbers.

 

[charlespsu]

We purchased our 2020 Limited with Special Edition in November. $73K list, we got them down to $66,000. This isn't itself a fantastic deal, but they also gave me more for my trade than other sites. We also got 60 months at 0%. Back in November in my area the 2020's were selling pretty quickly so I'm comfy with the deal with made.

 

[Trainmaster]

The choice to lease or buy is not a choice about cars.

It's a financial and philosophical choice. One about money and how we choose to use it.

 

[mcb345]

We purchased our 2020 Limited with Special Edition in November. $73K list, we got them down to $66,000. This isn't itself a fantastic deal, but they also gave me more for my trade than other sites. We also got 60 months at 0%. Back in November in my area the 2020's were selling pretty quickly so I'm comfy with the deal with made.

I’m very curious what kind of lease deals people are getting on something like the Stealth or Special Edition. I’d assume some people end up spending over $1000 per month.

 

[carymccarr]

Personally, I think leases are very expensive way to drive vehicles. Purchases are much more economical.

Depends on how long you own your vehicles. If you own for 2-3 years probably a lease is better.

 

[mcb345]

Looking at the outgoing 2020 models right now. Would prefer to lease for 24-months, after which I intend to purchase a 2022/2023 model with facelift, Sync4, big screen, etc.

But dealers aren't very flexible on lease negotiations. Has this been an experience for others here?

Outgoing model years (2020) were being incentivized 12-15K off MSRP last year around this time.

If you can negotiate the MSRP down, then you're paying much less for a lease because the depreciation is less. Capitalized Cost Reduction is what it's called.

Maybe I need to lay harder on these dealers.

You'd think they'd be eager to move these units, especially now that Caddy/Chevy/GMC are out with their new models, which always outsell the Expys.

But neh, Ford dealers seem to think 82k Expy Platinum is worth its asking price.

@gordonf238 - have you tried locating specific cars you’d want around the country and emailing the dealers what price you’re willing to do for a lease?

Again, check out the 2020 of 2021 “Ford Expedition Lease Deals and Prices” forum on Edmunds to make some reasonable calculations.

I’ve shipped a few leased cars from other states and it’s a lot cheaper than you’d think. $600 from Cleveland OH to TN for example. I’m a HUGE advocate of never setting foot in the dealer for negotiations once your mind is made on what to get.

 

[carymccarr]

@gordonf238 - have you tried locating specific cars you’d want around the country and emailing the dealers what price you’re willing to do for a lease?

Again, check out the 2020 of 2021 “Ford Expedition Lease Deals and Prices” forum on Edmunds to make some reasonable calculations.

I’ve shipped a few leased cars from other states and it’s a lot cheaper than you’d think. $600 from Cleveland OH to TN for example. I’m a HUGE advocate of never setting foot in the dealer for negotiations once your mind is made on what to get.

Couldn’t agree more. Why people spend any amount of time at a dealership outside of simply signing papers and grabbing keys is beyond my comprehension.

 

[dlcorbett]

I’m very curious what kind of lease deals people are getting on something like the Stealth or Special Edition. I’d assume some people end up spending over $1000 per month.

When I leased my 4x2 ltd 301, I leased for 67k ttl(66k sticker, 61k after mil, student, and invoice, rolled 3k from trade), 15k miles for 36mnths in delaware for 725 a mnth(700 but added wheel pkg which was a waste.) And 36k buyout. If I purchased for 72mnths, my monthly pmt would've been well over 900 and thats with less than 5% interest and would not have reached the value of the truck by that time. I was the second one in that area with the 4th gen expy, they were late with my truck. I was offered the first in the east coast, blk platinum swb 4x4, sticker 81k, for 72k before taxes, 36 mnth 12k miles, for 795/mnth. Looking back at it, I wish I got that truck, but I rele didn't want 4x4 and they seemed ki da pushy with the deal at the time. When I called them back at the eom, they still had the truck but wouldn't work with me over the phone to finalize the deal.

 

[mcb345]

When I leased my 4x2 ltd 301, I leased for 67k ttl(66k sticker, 61k after mil, student, and invoice, rolled 3k from trade), 15k miles for 36mnths in delaware for 725 a mnth(700 but added wheel pkg which was a waste.) And 36k buyout. If I purchased for 72mnths, my monthly pmt would've been well over 900 and thats with less than 5% interest and would not have reached the value of the truck by that time. I was the second one in that area with the 4th gen expy, they were late with my truck. I was offered the first in the east coast, blk platinum swb 4x4, sticker 81k, for 72k before taxes, 36 mnth 12k miles, for 795/mnth. Looking back at it, I wish I got that truck, but I rele didn't want 4x4 and they seemed ki da pushy with the deal at the time. When I called them back at the eom, they still had the truck but wouldn't work with me over the phone to finalize the deal.

Seems like a great deal for a Platinum as long as you aren’t putting a lot down!

The rule of thumb for a lease is typically with zero down, if you can pay $100 per $10,000 doing great. Example, $600 for a $60k car, $800 for $80k car.

I’ll add to my previous comments, don’t set foot in the dealer for negotiations and EMAIL dealers and go straight to the General Manager. They should be straight shooters, simple yes or no, have them write up the paperwork in advance claiming you don’t have time to sit down. It works. You avoid the finance guy trying to nickel and dime you in person as well.