Anyone lease a car?

[neeeeeeeeeek 10]

I currently get a car allowance  as I don't think much of the choice of cars in my bracket. Trouble is the car can has to be under six years old and that is coming up so I am considering leasing a car.  Any one do it?  Any recommendations or advice?

 

My monthly millage varies I guess I do 15k a year or there about but I might end up doing loads less or loads more if things change!

 

  Is all servicing usually included?  Then you pay a one off fee at the start? 

 

Do any include insurance? I live i an expensive insurance area of town!

 

Can you lease cars that are used at a cheaper price?  I don't mind it not being  new.

 

I want something decent but reasonably economical,  BMW 325d or similar would be good, pretty quick but still 40/50 mpg if I am nice to it! Open to other mid performance cars but when I trawl through Autotrader for 2015 /2016 cars I always seem to end back with BMW! 

 

No point in leasing a 1.4d focus or similar as I can get one of those as a company car, are there any makes that offer really good deals generally? 

 

if I have the cash am I better off sticking with private ownership and buying a 2015 / 16  car that I can keep for 2 or 3 years?  My 530D has been great but depreciation, general servicing and the odd servicing expense it has made me wonder if a lease would be a better idea.

 

Sorry for the rambling post

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

[Janus 28]

Someone I know leased a car through work. When he told me  the cost in this particular case it sounded like a mugs game. 

[tzijlstra 11]

There are a million factors involved. If you get an allowance, chances are personal lease is a good option. Swing by the Volvo dealer (new at Penistone Road).

[neeeeeeeeeek 10]

Never heard of personal lease, thanks, shall check it out

 

[ez8004 10]

3 hours ago, Janus said:

Someone I know leased a car through work. When he told me  the cost in this particular case it sounded like a mugs game. 

It really depends. With my work it's a salary sacrifice scheme, so the payments are made from untaxed income which in my case is a 40% uplift in payments. It isn't for everyone. 

[Janus 28]

As  tz  says there are a lot of factors. Maybe not a million, but quite a few.

 

I think one lesson is ensure you understand the deal.   Don't just think "well the insurance is taken care of, or I won'the have to worry about servicing costs". Do the maths.

 

Just to share a real example. Not the best example but an example none the less.

 

I bought a 6 year old Toyota for £4000. I have had it 6 years. Obviously it not worth 4k now, but I still have the car and it still going strong and is reliable.

 

So this guy (in my previous post) signed a 3 year lease agreement arranged by the employer at £700 per month (£8400 per  year) At the end of the 3 year lease he will have paid over £25,000  and he has to hand the car back.  No car and 25k gone! 

 

Just be careful what you sign up to.

 

 

 

 

[ez8004 10]

8 minutes ago, Janus said:

As  tz  says there are a lot of factors. Maybe not a million, but quite a few.

 

I think one lesson is ensure you understand the deal.   Don't just think "well the insurance is taken care of, or I won'the have to worry about servicing costs". Do the maths.

 

Just to share a real example. Not the best example but an example none the less.

 

I bought a 6 year old Toyota for £4000. I have had it 6 years. Obviously it not worth 4k now, but I still have the car and it still going strong and is reliable.

 

So this guy (in my previous post) signed a 3 year lease agreement arranged by the employer at £700 per month (£8400 per  year) At the end of the 3 year lease he will have paid over £25,000  and he has to hand the car back.  No car and 25k gone! 

 

Just be careful what you sign up to.

 

 

 

 

And what car did this guy lease? Not the same model as yours no doubt.  

 

It's a rubbish example without fundamental details. 

Edited December 26, 2018 by ez8004

[Jon26 10]

I leased a car in 2006 as it seemed like a good deal but it was only for 2 years. Prior to this and after I've always bought but kept them for 5 or 6 years. Overall leasing seemed cheaper however the only  negative for me was it had a "fixed end"  date this meant I had to make sure my new car would be there by the time the lease car went back. 

[Cyclone 10]

9 hours ago, ez8004 said:

It really depends. With my work it's a salary sacrifice scheme, so the payments are made from untaxed income which in my case is a 40% uplift in payments. It isn't for everyone. 

It's a taxable benefit though, so the tax is recouped by HMRC anyway right?  You can't take the cash instead and still have it tax free, and if you take the car then your tax code is changed.

I've done calculations quite a few times to see if leasing made sense, and against buying a 2/3 year old second hand car it's massively more expensive.

If you're comparing it to new, it's more likely to be comparable.

 

Given the OP and the requirement to be under 6 years old, I'd probably keep taking the money and buy exactly what I just said, 2/3 years old, change it every 3/4 years as it heads towards 6 years old.

More choice, more flexibility, and pretty much guaranteed to be cheaper than leasing new for a like for like make/model.

[craig12 10]

leasing cars . unbelievable , but then again nothing suprises me in this day and age , we,d all be better off if we just stopped spending on stuff that's not needed to impress the neighbours and got back to reality, put your money back in your isa  that goes for the latest I phones , as well 3 yr contracts on phones , its all coming back to bite ya , the world has been propped up on 10 years of world central banks wanting the middle class to be indebted up to their eyes , 

the us dow jones stock market has just had its worst one day sell of since the great depression back in 1929 and its worst week in history , forget leasing cars , goverments will always throw the distraction , look here don't look here , be very carefull what you purchase , cut the debt , pay off what you can , live free of debt

become your own central bank

Edited December 26, 2018 by craig12

[Cyclone 10]

You can't take it with you you know.

 

Leasing doesn't mean you don't have the assets to buy, it's just a question of which is the better way of buying.  Personally I've always concluded that buying was better, but it might not be for everyone.

[ANGELFIRE1 10]

Is a lease the same as a PCP or a PCH. Personal Contract Purchase, Personal Contract Hire. Both of these seem popular.

 

Angel1.