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Discussion Starter · #1 ·
Alright, so I have a 2013 2LT RS with 15.000 kms on it with all the toys except for the NAVI and the push start
Ive had it for 1 year and 3 months, the lease is for 3 years total.

I gave 4.000$ as down payment, monthy payments are 350$, the total price for the car was 27.000$ cant remember exactly the cents,but close to that.

Honestly I do not LOVE the car, I like SUVs more, liking the Santa Fe Sport 2.0T, but that Is another subject...
I amjust wondering if financially Is better to refinance the car,buy it and maybe sell it, so I don't lose those 4.000 I gave for down payment. What do u think?

Forgot to mention that I am from Canada, BC.
 

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If you're not absolutely sure you want to keep the Cruze, wait until the lease ends and then go get what you really want. Leasing is the biggest rip off left in financial markets.
 

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Discussion Starter · #3 ·
The only reason I did lease is because I was under a Work Permit Status, for 3 years, so companies would not finance cars to me, only lease, and for 3 years tops... It was the wrong decision, yes, I know it, but anyways... it is what it is.
 

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Buying out a lease early is extremely expensive. Leasing isn't a simple interest but uses the older Rule of 78s. What happens under this method is that early payments or terminations end up with huge amounts of interest payments. Rule of 78s and simple interest work out to within pennies of each other when paid as scheduled. The other issue with leasing is the effective interest rate is well over 50%. I actually computed it once and that was enough to swear me off leasing forever.

Bottom line - you need to review the lease terms closely to figure out what your options are. Better yet, have a lawyer do this as there are "legal" terms that don't mean what they say.
 

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Discussion Starter · #5 ·
Mmm I see, but even few dealership had offered me to buy out my lease, so I get into one of their cars... so it is also a matter of just losing what I have paid so far, and decide to buy a new car, or wait and keep putting money in a car that I am not going to keep.... mmmhmmmm
 

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ive never leased a car but from the little research ive done leasing doesn't seem like a bad deal if you tend to buy a new car every few years any how. the reason i say this is from what ive seen, a monthly payment on a lease is cheaper than a monthly payment on a loan. and if you sell the car (that you got a loan on) after 3 years then you never even owned the car anyhow.not to mention down payments on a car you buy are typically a lot higher than a lease.

with that being said I own all my cars outright and pay for them in cash and still have to disagree with the statement "Leasing is the biggest rip off left in financial markets." Depending on the individuals life stlye it can often be cheaper.
 

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The only people for whom leasing makes financial sense are those who need a late model car for their business.
 

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The only people for whom leasing makes financial sense are those who need a late model car for their business.
Or people who don't ever put miles on a car and want piece of mind that they will always have a B2B. That and a early buy out for the newest and greatest model. One of the major factors in me not leasing is the fact that I have my car for 15 months now and I'm already 31K into the B2B. At this rate I wil never be able to sell my car for what I owe on it.

You are also right about the contract and having to get outside help to check it for creepy crawlies and back door loop holes and victim assisted noose.
 

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i dont believe anyone NEEDS a late model car for their business just as much as i don't believe Tiffany (daddys girl) NEEDS a new car every three years but wants are needs in our materialistic society. Therefore leasing does make sense depending on your life style.
 

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Discussion Starter · #10 ·
I am about average with how much I drive cars, I have had the car for 1 year and 3 months, and I just have 15.000 kms. I do agree with the fact that lease is good for some people, and not so good for other. My wife and I drive the same car, we only have one and that is the way we want to keep it, we like having new cars every few years, yes, it gives me peace of mind knowing that if she has to take the car to a work trip she will be fine (most likely) because shes driving a brand new car, that peace of mind we pay when we decide to lease and change cars every 3 years, but the thing is also that I have not leased a car that I want to keep for long time, when I have the money to get a car that I really love, ill just buy it, but since i can not afford to have a big SUV v6, Chevy Tahoe, I just think that the better idea is to lease cars... sometimes I feel weird about making a monthly payment and after 3 years I have nothing.... but the truth is that I drove a new car for 3 years and i made really low payments, and that is helping me save to get a house(we moved to canada 3 years ago) so, we drive a nice new car, I dont worry about replacing tires, or fixing anything because of the 3 year warranty, and when the warranty expires I just go for a new car. sounds logical to me if i do not want to buy used cars, which I dont like, never done it and it is just no me, i am not a handy guy who fixes itsown engine if it breaks down..... anyways, thanks for the help guys and keep comments coming, I would like to know what you guys think.
 

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Truthfully I kinda like paying 3 years and having no car vs 3 years in owing $14k on a car valued @ $9 on it's best day if it were stolen. If I leased my car I would have no reason to even mod it outside of window tint. I maybe would have swapped spark plugs but that's about it. Lease an ATS and you aren't even paying for oil changes for the whole lease just about. Gas & go literally and wash it every now and then.

As for used cars, you used to be able to find one and cheaply fix all the issues. Now it's all computers and geared around the fact that the original buyer is gonna lease and get a new one in 3 years or so. I usually pick a car 2 years old and 20Kish miles so powertrain is still in place. So far I got 1 good used car from 3 used car purchases.
 

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Short and sweet. Do not buy the car you're not very fond of. You will not be happy in the end. As long as you are paying for it get what you want. Cars are losing proposition from the very second you purchase them. It is just to what degree do you want to take the financial hit.
 
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I bought a 1 year old 2013 Cruze LTZ that had 23,000 miles on it, for $15,000 USD. This car new, sold for at least $25,000, sticker was probably close to $27,000. It still has 13,000 miles left on the GM bumper to bumper warranty, and 77,000 miles left on the 100,000 mile drive train warranty. If I drove < 10,000 miles like you, this car would be on bumper to bumper warranty for almost 16 months, and would be on the drive train warranty for 3.5 years.

To me, the $10,000 in depreciation , for loosing out on the the three full years of bumper to bumper warranty(based on your yearly mileage) , buying used for me... is a fair trade off. That is... you wont see me buying a new car, or getting into a three year lease on one.

Now, I typically drive over 12,000 miles a year, and a lease would likely never make sense for me, for that reason alone. I also new car smell gives me a headache, so I don't personally see the value in driving a brand new car every two to 3 years.
 

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i dont believe anyone NEEDS a late model car for their business ...
Real Estate Agents. They frequently have passengers and the "newness", cleanliness, and overall quality of their car makes an impression on potential home buyers.
 

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Real Estate Agents. They frequently have passengers and the "newness", cleanliness, and overall quality of their car makes an impression on potential home buyers.
This, my shirt has a 350z he owns but leases I believe one of the Infiniti sedans for that reason.
 

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Not sure why we are being critical of people wanting new cars every 3 years, or critical of leasing. My experiences with leasing have been positive, other than needing to keep the mileage within the contract.

If you really, really hate your car and want to get out of your lease, then find out what it will cost and do it. But if you don't hate the car, financially it's better to keep it through the end of the lease. Sometimes the lease company or dealers will offer to end the lease early, but typically that's limited to 2 or 3 months.

Buying the car off lease can work - but the price is typically too high. Better to buy a different off-lease car than the one you already drive, because then you have some negotiating power.

Good luck . . .
 

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Not sure why we are being critical of people wanting new cars every 3 years, or critical of leasing. My experiences with leasing have been positive, other than needing to keep the mileage within the contract.

If you really, really hate your car and want to get out of your lease, then find out what it will cost and do it. But if you don't hate the car, financially it's better to keep it through the end of the lease. Sometimes the lease company or dealers will offer to end the lease early, but typically that's limited to 2 or 3 months.

Buying the car off lease can work - but the price is typically too high. Better to buy a different off-lease car than the one you already drive, because then you have some negotiating power.

Good luck . . .
Reason it's frowned on is the typical lease is a person who is knowing the car is not theirs and can dog it for 3 years(to an extent) and let some other sucker deal with what they caused out of warranty. Reason you gamble on a off lease performance oriented car like say an STi.
 

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If you want to replace your car every couple of years, by all means lease. Just be aware of your driving distance to ensure you don't go over the limits and hit mileage penalty charges. If you keep your until the wheels fall off, don't lease.
 

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Discussion Starter · #19 ·
I really appreciate all your comments, it helps, it really does. Sometimes I wonder if I did something wrong by leasing, but I do understand that it is what best suits my situation, who ever says leasing is cheap, well it is not, I do not think it is supposed to be cheap... cheap is to buy a used car and work on it, but that is not for everybody.
 
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