mommy2env
Active member
Okay, me and dh are looking to buy a car. We cant afford anything over 20k, and we have in mind a used Sienna. We went down to a dealer, and the guy helping us out suggested that we just lease a new one. I always thought that leasing didnt really make sence in the long run, but according to him it does.
He said that by leasing a car for a couple of years, and opting to buy at the end of the lease, we would end up having to finance a lower amount (because the car would depreciate). In financing a lower amount we would save on the interest. Please help me figure this out, we would be first time buyers and I am having nightmares, I dont want to be taken a fool with high interest rates.
My question to you is:
What is better lease or buy?
Do they apply all you have paid during the lease to your purchase price?
How much can a car depreciate in a couple of years?
Thanks for any suggestions.
He said that by leasing a car for a couple of years, and opting to buy at the end of the lease, we would end up having to finance a lower amount (because the car would depreciate). In financing a lower amount we would save on the interest. Please help me figure this out, we would be first time buyers and I am having nightmares, I dont want to be taken a fool with high interest rates.
My question to you is:
What is better lease or buy?
Do they apply all you have paid during the lease to your purchase price?
How much can a car depreciate in a couple of years?
Thanks for any suggestions.