QuestionWow! Thanks for the info. you clearly have a handle on this subject.
It's so complex, I'm trying to decide what to do. I'm pretty sure I want to lease because that keeps the payment where I want it and I hate dealing with car repairs on older cars.
Here's my situation. I have an 02 Hyndai Accent that I want to replace with a small truck. My Accent Blue Books at about $3000 as a trade in and $4500 as a private sale. And I owe another $2800 on it, so I would like to sell it privately and get at least $3800 - 4000 for it (giving me $1000 toward a lease).
If I wait until March/April, I will have an extra $2000 I can put toward it from a tax return. On the other hand, I wouldn't mind keeping that $2000 for other things.
The bottom line is I need a small, four-door truck that I can lease for $225 - 250. I've researched the trucks in the class I am targeting and my top four are (in order of preference): Toyota Tacoma ($19592 at invoice), Chev. Colorado ($19177 at invoice), GMC Canyon ($18824 at invoice), and Nissan Frontier ($20249 at invoice).
The Toyota holds its value the best, then the Frontier, the other two are average. We bought a Sienna for my wife last year and have really liked Toyota in general.
I read that to figure an initial offer you should start with 3% above the invoice price, but never go higher than halfway between invoice and MSRP.
Then there's the 2006 Vs. 2007 factor and what's better to begin a lease on right now. So, I am really confused if I should try and lease now and maybe pay a little more or if I should wait until March/April.
When do you think I might get the better deal or what course would you recommend if you were in my shoes?
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The text above is a follow-up to ...
-----Question-----
Have a few questions about leasing:
1. Do manufacturer rebates apply toward a lease?
2. Is it possible to lease a used vehicle?
3. A co-worker told me that they only lease vehicles with high re-sell values so that at the end of the lease they can sell the vehicle privately and make enough money to make a down payment on another lease. Is this possible or does it make sense?
-----Answer-----
Hi Doug
1. Leased vehicles do qualify for applicable factory rebates unless the lease financing rate has been lowered in exchange for the rebate . Be sure to ask whether you will be receiving the rebate or a special lease financing rate; insist on being shown exactly how the rebate or special financing rate will be applied to your lease.
2. Yes you can lease a used vehicle, subject to model year and miles, lease rates on used vehicles are very high and when you compare the final numbers you will find financing is the better way to go,.
3. Sorry to say your co- worker dont have a clue, you can lease any new vehicle and at end of lease its a very small percentage of consumers that will benefit from the buy- out, to resale making a profit.
Doug, visit my website and pick up a few pointers , and should you have further questions i will be only to happy to answer
http://www.usedcartips.org/
Regards
Ray
AnswerHi again Doug
When you post a question through Allexperts its posted within 24 hrs unless you checked the make private box and i noted just before answering this second question that Ron Misko answered with detailed information, Ron really says it all and there is nothing to add...
http://experts.about.com/q/Tips-Buying-Cars-1410/index.htm
The first question you asked was answered by myselv Ron and Clark and i noted were all really giving the same answers except Ron is also an expert writer like yourselv and gives more detailed information which makes his book an excellent value explaning details, Hey Doug, with the money you will save reading Ron's book you should buy a few for X'Mas presents...
We have fun on allexperts and its a pleasure answering questions to someone whom takes the time to really try to find out how the system works.
Regards
Ray
