Lease offer???

I agree. You should only really lease if you always have enough to buy it out at any time. Same goes for finance. But not a lot of people are in that position I don't think...

I only lease vehicles that I know I will have at least enough to cover the residual at the end.

 

OP, definitely better deals out there. Mine was as follows...

2018 Tacoma DCSB TRD Sport 4x4
•$0 due at signing
•$292 a month
•36 months - 12k a year miles.

Could have got an OR for the same price, but I didn’t like it compared to the sport.

 

I think he means if you can't afford to purchase the vehicle using financing (not like the other wanna-be Dave Ramsey types that proudly say "I pay cash for all of my cars!" - Those people are either very rich, lying, or bought cars when they were $3,000 and have no idea what the current price of a vehicle now is) then you should not be leasing.

I think that isn't necessarily true, the selling point of leasing is that you don't need to put down (any/large amount) money for a lease to get a somewhat reasonable payment. Only YOU can make that decision, based upon your mileage, financial situation, credit rating, and other life circumstances.

So enough talk! Are you going to Longo or not? Go get 'em tiger!

 

Correct, I should have said to afford the monthly buy payment vs the lease payment. The reason I always say this is because people will lease a vehicle they cannot afford to buy at the monthly buy payment and this is when people start getting into trouble because they are over extending themselves.

 

Ohhhh yeah... you speak the truth! I see some people at work that brag about signing 60 month leases at $500+ per month. My head spins at that... It's really hard to keep a poker face (since we are at work, not really my business to comment about co-workers' poor financial decisions) and say "Yeah, nice! Congratulations on your new car!"

 

Thanks to everyone really helpful it seems like you can’t really go wrong with a Tacoma since it’s resale value is one of the best out there

 

My response and point apparently went over your head. You did a good job pointing out the obvious; you pay the difference between negotiated price and the residual.
My point is leasing a vehicle that deprecates quickly and is less reliable (Audi, BMW, Mercedes) makes sense. Purchasing a vehicle that keeps its value and is reliable makes sense.
Just because the car has a lower residual doesn’t necessarily mean the payments will be more. The MF, incentives and room to negotiate play a big factor. There’s more room to negotiate a luxury car vs a non-luxury car. Honda, Toyota, Nissan dealers may make a few hundred off each car sold. Luxury vehicles may net a thousand or more per vehicle.
Obviously all leases work the same way. Some vehicles it makes more sense to lease than others.

 

my friend owns several dealerships

my initial curiosity was simply why would any1 lease with such apparent disadvantages

he explained that its ALL in favor of the dealer.................much i suspected

that essentially the leasee pays out equal to the vehicle msrp

the govt provides a tax dodge..................' Quick depreciation ' legal!!!!!!! actually

subsequently sells the vehicle ( in these days & time INFLATED !!)

bottom line in $$$$$$$$$$ = 2X in favor of the dealer

35-40k vehicle = to 70-80K $$$$$$$$$$ back to the dealer

good grab if U can get it

 

lots o ' IFs "

lots o ' Maybe's "

dollar wise NOT what was finally explained to me by a dealer

the actual amount of money out of pocket by the leasee

 

Lease or purchase is always on favor of the dealer, that’s why they stay in business.
I’ve never paid equivalent to the MSRP for a vehicle I’ve leased. Your payments are pre-determined to be the difference between negotiated price and residual + MF and taxes. The residual is never $0. Please explain your statement.

Reading through your whole post, none of it makes sense. It sounds like you’re just talking out of your ass. How does someone leasing a $35-40k car put $70-80k in a dealers pocket?
I’ve never owned a dealership, but I am pretty sure dealerships don’t make x2 the MSRP of each car they lease. If this were true the dealerships would be millionaires.

 

excatly what i said was

leasee pays more for same vehicle than h weould if it were bought 10-15% off

govt pays dealer on a legal tax dodge ' Quick Depreciation '
( same paid out to rent to own companies !!!! )

then dealer sells same vehicle very close to old price

the equivalent dealer gets paid from 3 sources

I Never said lease pays out 70-80% to dealer............what i said explicitly was dealer 3 hands
gets $$$$$$$ from 3 sources that add up to 2X

NEVER said U would pay 2x

straight from a dealer source....................NOT out the jazz