Originally Posted by dmz
Your point about not making payment after you pay off the car is the biggest myth on car car purchase. The truth is you will always pay for a car either from the continuing depreciation and the continuing repairs and maintenence on a older car you own. What good is to own a piece of dated machinery when it looses value on a daily basis and parts keeps wearing down and in need of replacement?
The other myth is that if you drive a lot you get killed on the mileage penalty. It's all about planning ahead. I drive a lot and my lease allows me to drive 15k miles a year and my payments did not go up too much. The extra mileage is on 16cent a mile. That is only $1600 for an extra 10k miles. Divide the amount through the life of a 3 year lease and we are talking about $45 more a month than the typical 12k miles a year lease. Yeah, that is a fortune alright!
the biggest myth is mileage on figuring lease vs buying, in actuallity you just have to ask how long you want to drive the same car, period.
If the answer is 3-4 year, lease make sense other argument is moot, if close to 7-9 years, buy.
even if you want to throw in what is more savy by asking financial advisor, 99% of the time they'll tell you buy and drive until the wheels fall off none will tell you lease every 3 years. If you start arguing about that advise go back to first sentence on this post! it's not rocket science, or what people tends to make it be.