my truck is a lease... an RCO.... heres the deal me and dad worked out on my truck.
we worked them down to $17,000 with 4,000 in rebates, down from $22,125 < sticker
then, we told them i wanna lease it. From everything I read, a car payment should be no more than 30% of your monthly income. if its more than that you will have trouble paying it. So. I got my truck, with the following deal specs:
$247.68 a month lease payment/$3,000 a year for 3 years.
I own the tital. i have it in my possesion, however the bank holds a lien against the truck.
heres the deal at the end:
you make 35 payments of $247 (in my case) and the final payment is $11,100 which, at the end of my lease i can decide to either turn the truck back to the dealer, (sell it to the dealer for $11,100, which is a deal for them, or buy it out at $11,100 and keep the truck.
Now, I MUST admit in MOST cases leasing and then buying is a bad idea and not financially reasonable. However in my case, I feel that buying my truck after the lease ends is the way to go. Its not so much that I have added all kinds of stuff to it, its more along the lines of, I know the truck, I have had it since it was new, I know what its been thru. I have also taken EXCEPTIONALLY good care of it. Why throw all that work out hte window? I couldnt replace my truck, for the amt of my buy out. my truck actually is worth more than $11,000 from my research. so why give them a like new vehical for such a low price? So I am buying my truck after lease ends.
What does that mean financially?
Means my payment goes up $20 a month, and I end up paying sticker price for my truck. is that really the way to do it? no. but money is a lil tight, but i can still swing the ranger. and buying something else is a gamble, since u never know what your REALLY buying. atleast with a new vehical u have a warranty, with a used vehical your kinda phucked.
Would I lease again? yes! keeps the payments low. the absolute WORST thing you could do is put down money, or a trade on a lease. cause then your still paying more money your just paying the money up front.
also remember this equation, its not exact, but is REALLY close to reality.
on a lease, $1000 = $30 OFF your monthly payment
on a buy, $1000 = $15 OFF your monthly payment. difference is, by putting money down upfront, your still paying the same amt over the course of the loan, where as on a BUY your actually paying for the vehical and your capital (the overall amt u owe) goes down. if you have more questions, feel free to IM me on aim, or PM.
Also, since this truck is legally mine even tho it is a lease, i can do whatever the ***** i want to it.
The true measure of a man is how he treats someone who can do him absolutely no good - Samuel Johnson
Originally Posted by cucukid124
well if it falls off and you run it over.... not gonna be a hugee deal.... :P