Has anyone here leased a new car?

[BigBigBear]

I made the mistake of stopping off at a Dodge dealership yesterday, on a whim, ended up test-driving a new Dakota (I drive a '97 now). It was optioned pretty much exactly the way I would do it myself.

The vehicle was pretty nice. I wasn't really determined to buy a new truck, but mine has 157K miles and so far I've managed to avoid any major work (engine, tranny, etc). I also still have about 20 months to pay it off - long story. No telling what could happen in those twenty months.

Being close the end of the month, these guys got me inside and worked up a deal - 39 month lease for about $100/mo more than I'm paying now. They're selling it for invoice, plus throwing in $3500 in rebates and giving me a fair nickel for my trade.

But I've never leased before - I've seen horror stories about people getting slammed for excessive wear, etc. My income situation is stable. I do intend to use it, for skiing/camping/rafting, but in the 5+ years I've had my current vehicle, I've never really beat it up. It's in good shape still.

I've never had a new car - it's tempting. But I sort of feel like the lease is a scary thing. Can anyone offer feedback? Thanks.

[HeyManThatsCool]

1. I've done it & it worked out great!

I never got charged for any extra fees at all.

[MindPilot]

2. Leasing: a method of being screwed by a car dealer in which

you make 30-40 monthly payments for a vehicle and then pay some more to give it back.

[driver8]

4. I leased once -- will never do it again!

For the money I spent on the lease, I could have bought a car. At the end of the lease, you turn it in and start all over again.

At the time, my wife had her own business and we leased the car for her. Sounded like a good idea at the time. I will never lease a car again.

[elehhhhna]

WARNING! Dodge is a WARNING, not a brandname.

Look up their many problems and atrocious service policies. Google it up. If you're still willing to risk it, make it a SHORT lease--not more than 3 years--as they have engine and tranny problems at about 50K miles.

READ the small print on annual mileage allowance per the lease--and be careful that you won't go over. The per mile penalties are staggering.

It can be a good solution but do your homework.

[BigBigBear]

8. Oh, I have

The major item on the recall parade is the front end ball joint issue - I got nailed with that when I drove off in my '97, to the tune of about $700. They re-designed the front end, so I'm not worried. Also, the thing will be under warranty. Part of the rebate package is a $2000 sorry-we-screwed-up-please-consider-a-new-one peace offering.

I've read every review I could find on the vehicle, and it seems to pass muster on all the aspects pertinent to my situation. I MAY consider paying for 15k miles a year ($15 a month more), so I don't have to worry. I racked up a ton of miles partially because my wife couldn't drive for a couple of years due to her illness, and we drove it to Mexico several times - 2300 miles roundtrip each time.

[elehhhhna]

3. dupe.

.

[radwriter0555]

5. MILES MILES MILES. You seem to have racked up major miles on your

existing vehicle since 97. Is their mileage ratio within yours?

Also, did you check how your insurance will increase?

And you MUST check the vehicle on edmunds.com

Failure to do so could result in a HUGE MISTAKE.

[BigBigBear]

10. The only real reason I walked out of the dealership

was so I could contact my agent and find out what insurance would cost me. If it's excessive, no deal.

I thought the salesman was going to cry when I asked for his card and walked out. But then, I like making car salesmen cry.

[miss_kitty]

19. You might be able to use that as leverage to get an even better deal

and make him cry some more.

I have a friend who was paying cash for a Mercedes and told the guy "Look. This is all I'm paying for this car." the salesman said "Andy, if I sell it to you at this price, I won't make any money." Andy said. "I don't care. That's what your other customers are for." He got the car for a little over dealer's cost (which he knew before he started to deal).

Nice to see ya posting, BigBigBear. :hi:

[gizmo1979]

6. I've leased cars since 1996

I've had no problems.Just stay under your miles keep it looking nice and you'll be fine.

[FormerDittoHead]

7. Small business people like leasing...

...because they get a new car to impress their clients and it's a direct expense without having to worry about bookkeeping the depreciation.

The only case for an individual is if:

1) you don't drive that many miles.
2) you're the kind who is always buying a new car every 3 or 4 years and as such, you're always making payments anyway.

We bought a brand new Camry in 1986 to get the 'new' car experience, and now, with over 140,000 trouble-free miles on it (so far), there's a smile with every mile...

[nothingshocksmeanymore]

9. Based on the miles on your current vehicle, a lease would be a

bad idea

Oh and hi, BBB, I've missed seeing you :hi:

[BigBigBear]

11. Hi back nothing

I've been sort of in hiding. :wave:

[nothingshocksmeanymore]

13. I know

I felt bad about that...hope you are doing a bit better as time goes by

[Floogeldy]

12. Just buy a good used car 1-3 years old

You'll save lots of money.

[SiouxJ]

14. I've leased many cars

if you are self employed it's a good way to go as you can write off the lease payments if you use it as a business vehicle.

Also, at the end of the lease, if the value of the car ends up being higher than your pay off, you can buy it and sell it yourself and make a few bucks. This has happened a few times with the cars I have leased.

The main thing to be careful of is the lease paperwork. It is easy for them to sneak expenses in there that you won't know about until it is too late. I usually go here: http://www.leasecompare.com/index and calculate the lease before I go into a dealer. You'd be surprised how many times they have tried to put one over on me. Make sure you know what your payments should be for the amount of the lease. This site and others like it make it easy.

There's another good page on that site that may help you decide whether a lease is right for you: http://www.leasecompare.com/autolease101_1.php

[LiberallyInclined]

15. it's all about the mileage...

you say your '97 has 157K miles on it, which works out to almost 20,000 miles/yr.- IIRC most leases don't allow that type of mileage without paying some pretty high per-mile penalties.

however- you say you've never had a new car, so you obviously bought your current vehicle used, so not all that mileage is yours...maybe your annual mileage is more, maybe less- that's something you have to determine, because it's the excess mileage penalties that can really screw you on a lease.

[BigBigBear]

16. No, not all my miles

The guy who had it before put 76K on it in three years (and HE leased), I've put 80K on it in five, and that's with some extentuating circumstances for about two and a half of those years.

Also, I've since moved, and now have a 5 mile roundtrip commute to work. Yes, roundtrip - if I wasn't such a slug I'd walk it on nice days.

I also have a second vehicle - my wife's Grand Cherokee.

[PittPoliSci]

17. ever hear of a smart buy?

my friend chris has this deal called a smart buy on his new truck he got. what it is is that you make a monthly payment of about 300, then you keep the vehicle for 4 years. after then you have the option of trading it in, which has the benefits of a lease, or continuing with your payments until it's paid off. it lowers the payments some, but it kinda streches out the amount of time it would cost to pay off the vehicle.

[Schema Thing]

18. Buying a new car, is throwing money away eom

[miss_kitty]

20. Not if you pay cash!

I bought my 92 new in 91. Still have it. Still love it. And it only cost me what I signed the papers for. No financing and shit. And I didn't buy some hidden problem that wasn't under warranty. :)

[LiberallyInclined]

22. Yup.

as soon as you drive it off the lot, it can lose 10% of it's value.
a low-mileage used car is almost always a better way to go.

my wife came from a family that alwys bought new cars- her father's mentality was that with a used car, you're just buying someone else's problems...
my parents started off with used cars, as that was what they could afford, but started buying new cars when my aunt and uncle started working for chrysler and were able to get my parents "green sheet" and other deals on new chryslers. (I got to learn to drive in a '72 charger se with a 440/4bbl.- that was a FAST car)
after we were married, i was able to show her the value in shopping around for the best deal on a good low mileage used car, and we haven't had any major problems with our cars, and we've saved a bunch.
we also always pay cash.

[RebelOne]

21. Bad move. Don't do it.

Leasing a car is only good if you own a business, so that way you can take it off your taxes.

[BigBigBear]

23. Well, I just did an abbreviated calc of my taxes

and I'll be in the hole this year.

Think I'll wait until after tax season and to see if I get a raise.

Damn - that was a nice buzz, while it lasted.