NTers who lease their whips? Vol: new whip every 3 years

Always find it funny when people tell others not to lease.

Usually it's always people with lower incomes making the suggestion.

I own my own business so I take advantage of the write off and I drive a nice car.

2013 BMW active hybrid.
20k a year mileage allowance (buying additional miles is fairly cheap)
Had to put nothing down at purchase out of pocket.

Payment $650 a month.

Everyone I know that has similar income to me leases. Most people I know who make more money than me lease also.

Since I got my car last year I've had it serviced a few times as well as two popped tires (shout out to run flats) and haven't had to pay a dime.


Bought my work truck cash and have already had multiple additional expenses out of pocket due to maintence.

Not sure who gave you guys the mindset of comparing leasing to renting a home.

As a real estate investor I can tell you it's completely wrong. You lease nice cars because you know it has no value. You buy it an may end up stuck with a car worth less than what you owe if you try an re sell etc.

Owning a home you can create equity and appreciation. That's why you should buy a home rather than rent.

At the end of my lease all I have to do is turn my car in and get something else.

Thinking leasing isn't smart if you have the credit and means is a flawed mentality.

Higher networth individuals do it for a reason.

Again, this is all if you want a nice car. I do know people who have a lot of money but could care less on what they drive and buy cars for cash 25k and under.

If you weren't into luxury cars you're telling me you'd still be leasing? My roommates pops is a regional director for a company and is a Benz fan so him leasing makes sense because buying luxury is dumb IMO. But if you're not into luxury I don't see te benefit of leasing a Kia optima or a honda accord or something like that. These pretty much only require oil changes and tires/brakes every once in a while.
 
I'm good off of renting a car. Rather pay to own instead of throwing money away for car after car.
 
U can trade ur lease ANY WHERE. And you can do it a year in.. 2 or til the end of your term.
 
If you're spending 15K on a 2001 anything, you've already lost :lol

not necessarily I would drop that easy on a 94 Supra or 96 300ZX TT in good condition

Much better research could get either of those for under 10K, even as close as 8K. And I think that's much better option than the example FlyNY gave. Unless you're just straight up getting a new vehicle, that's what I'd roll with.
 
Guys, I'm in a little bit of a jam.

Bought a 2011 Camry with 45k miles in February with a $15k loan. Almost instantly put 5-6 VERY BAD scratches on it while trying to get snow/ice off. Worst two span across the back of the trunk.

Getting more and more involved in a band, so I would like to honestly downgrade to an older car that can hold my drums in a hatchback. I'm thinking Subaru Outback/Forest, Volvo wagon, xB, Honda Element. Plus I just don't need a damn 2011, I'm 25 and I can get something just fine from 2007-2009.

Any advice? Basically trying to downgrade from a $15k car with bad scratches to something in the $9-11k range. Should I just stick with what I have, or can this be done without losing much money?

If you really want to sell it, the time to sell it is definitely now before the 2015 Camry's roll out. Unfortauntely, I can see you only getting like $10-$12 for it if you sold it privately but you'll only be under a few grand.

Going to open up my own business soon. Was thinking of leasing my next car and calling it a "company" car b/c everyone says that's the thing to do. Did some initial research and I would use actual deductions, not mileage b/c I don't drive this much.

Its so confusing to me though. I know I'll be able to write off things like gas, car washes, maintenance, etc. Would I be able to write-off 100% of these maintenance costs or a percentage?

I know I can write-off the interest on the monthly payment. Does that mean if my monthly payment is 200.00 w/ 2% interest I could write-off $4.00/month?

Yup you can write off pretty much all of the costs (fuel, gas, maintenance). Have clients that lease cars just to write that **** off. Not too sure of how to exactly going about doing this but I can look into it for you.
 
How does trading in a car you're still financing work? They pay off your loan and apply anything left over to the new whip?

Ie. you see a car that's being sold for 20k, you owe 14k on your current car, dealer offers you 12k. Would they even let you trade in tr whip?
 
Much better research could get either of those for under 10K, even as close as 8K. And I think that's much better option than the example FlyNY gave. Unless you're just straight up getting a new vehicle, that's what I'd roll with.

you find me a good conditioned 300ZX TT or Supra for $8k and I will buy them both cash right now
 
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How does trading in a car you're still financing work? They pay off your loan and apply anything left over to the new whip?

Ie. you see a car that's being sold for 20k, you owe 14k on your current car, dealer offers you 12k. Would they even let you trade in tr whip?

pretty simple; you get $2k to go towards the new car
 
Depending on bank and how much negative equity you can roll over. They may require some down payment. 6k negative equity is pretty bad, that's easily an extra 100 a month just towards the monthly, if they even approve it. Push to get a bit more from dealer to earn your business. Get the lowest possible price for the car u want.
 
Always find it funny when people tell others not to lease.

Usually it's always people with lower incomes making the suggestion.

I own my own business so I take advantage of the write off and I drive a nice car.

2013 BMW active hybrid.
20k a year mileage allowance (buying additional miles is fairly cheap)
Had to put nothing down at purchase out of pocket.

Payment $650 a month.

Everyone I know that has similar income to me leases. Most people I know who make more money than me lease also.

Since I got my car last year I've had it serviced a few times as well as two popped tires (shout out to run flats) and haven't had to pay a dime.


Bought my work truck cash and have already had multiple additional expenses out of pocket due to maintence.

Not sure who gave you guys the mindset of comparing leasing to renting a home.

As a real estate investor I can tell you it's completely wrong. You lease nice cars because you know it has no value. You buy it an may end up stuck with a car worth less than what you owe if you try an re sell etc.

Owning a home you can create equity and appreciation. That's why you should buy a home rather than rent.

At the end of my lease all I have to do is turn my car in and get something else.

Thinking leasing isn't smart if you have the credit and means is a flawed mentality.

Higher networth individuals do it for a reason.

Again, this is all if you want a nice car. I do know people who have a lot of money but could care less on what they drive and buy cars for cash 25k and under.

So you wrote this essay basically to say only high income people can afford to lease cars but you say you get a tax write off from it...
 
More for your trade and less for the creation you want = less financed. Allows u to somewhat make up some of that neg equity.
 
If you're spending 15K on a 2001 anything, you've already lost :lol

not necessarily I would drop that easy on a 94 Supra or 96 300ZX TT in good condition

Much better research could get either of those for under 10K, even as close as 8K. And I think that's much better option than the example FlyNY gave. Unless you're just straight up getting a new vehicle, that's what I'd roll with.

Where are you getting a 94 supra for under $10K?
 
How does trading in a car you're still financing work? They pay off your loan and apply anything left over to the new whip?

Ie. you see a car that's being sold for 20k, you owe 14k on your current car, dealer offers you 12k. Would they even let you trade in tr whip?

14k loan on current car to trade in and dealer offers 12k

In this situation. No, they will not. That loan has to be paid off during the trade so the dealership can get the title. You'll have to pay the 2k out of pocket. In this case nothing will go towards the new car.
 
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nevermind I read his scenario wrong; I read it as $12k owed and $14k for the trade

yes so you add in $2k to the new cars price
 
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How does trading in a car you're still financing work? They pay off your loan and apply anything left over to the new whip?

Ie. you see a car that's being sold for 20k, you owe 14k on your current car, dealer offers you 12k. Would they even let you trade in tr whip?

Yup you're still able to trade in your whip but the negative equity is rolled into the new car you're financing. For example, say if you want to finance a $30000 car and you have a car that you're trading in and a dealer gives you $13000 for your trade but you owe $15000.

Basically you're negative equity of -$2000 would be applied to the MSRP of the car.

Basic formula: $30k
-$13000 ( trade in)
+$2000 (negative equity)
=$19000 selling price (not including taxes and fees)
 
How does trading in a car you're still financing work? They pay off your loan and apply anything left over to the new whip?

Ie. you see a car that's being sold for 20k, you owe 14k on your current car, dealer offers you 12k. Would they even let you trade in tr whip?

14k loan on current car to trade in and dealer offers 12k

In this situation. No, they will not. That loan has to be paid off during the trade so the dealership can get the title. You'll have to pay the 2k out of pocket. In this case nothing will go towards the new car.

Wrong, they'll still take the trade in. They'll just roll the negative equity over to the lease/finance.
 
How does trading in a car you're still financing work? They pay off your loan and apply anything left over to the new whip?

Ie. you see a car that's being sold for 20k, you owe 14k on your current car, dealer offers you 12k. Would they even let you trade in tr whip?

14k loan on current car to trade in and dealer offers 12k

In this situation. No, they will not. That loan has to be paid off during the trade so the dealership can get the title. You'll have to pay the 2k out of pocket. In this case nothing will go towards the new car.

Wrong, they'll still take the trade in. They'll just roll the negative equity over to the lease/finance.

What I stated is basically what you stated. Just a different why some dealers go about it. Either way he is 2k in the hole.
 
Can you throw tints on a lease? And not get charged?

Say I lease a car and throw some 10% tints on there. Can I just get it removed when it's time to turn the car back in?
 
Also what meant by nothing will go towards the new car, is that there will be no down payment. He will be getting out of a upside down car loan going into another upside down car loan.
 
Yup you're still able to trade in your whip but the negative equity is rolled into the new car you're financing. For example, say if you want to finance a $30000 car and you have a car that you're trading in and a dealer gives you $13000 for your trade but you owe $15000.

Basically you're negative equity of -$2000 would be applied to the MSRP of the car.

Basic formula: $30k
-$13000 ( trade in)
+$2000 (negative equity)
=$19000 selling price (not including taxes and fees)

When would you say it isn't worth doing?
 
Lol. 6k rolled no questions asked? I don't think so. Your credit plays a huge role in this. The bank makes the decision based on the specific case.
 
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