Leasing- Good, bad or ugly?
- Thread starter BenH
- Start date
Each to their own on this matter. I love the idea of getting a new car every three years or so, but never owning that car means that I won't have any equity if I wish to sell it or get another model. I'm sure there are options out there but it feels very much like renting a house instead of buying.
When there's practically brand new Cupra's, 280's with 5k-10k on the clock going for £10k less than a brand new price, why lease?
When there's practically brand new Cupra's, 280's with 5k-10k on the clock going for £10k less than a brand new price, why lease?
They're that price because they're an old model now.
I'm on PCP right now. NEVER AGAIN. The depreciation, the unknown market etc all means you could make absolutely nothing. If I have a lease for £6000 for 24 months, I know exactly what I'm paying and I can't lose any more, unless I want to hammer the mileage (which is the same as PCP and/or cash).
PCP/other loan payments for an equivalent car are ALWAYS higher. So you have equity, sure, maybe. But it's a false-equity, because you've just put more money in the car.
A lease company could buy 50 cupras for £20k a pop. The exact same car would cost £25k from a broker with the most discount possible.
True true, all the while you're paying back the money on your purchased car, you're constantly losing on depreciation. Leasing definitely makes sense, I'm just a bit nervous of making the jump. I guess it's because I've always owned my cars, or bought them rather than leased.
I owned my previous car. I have PCP'd my current car and I was 100% anti-lease. Pshht, you're never gonna own it, why bother. Then I realised I don't own my current car. And if I was to save up cash to outright buy my cupra, I'd be able to put away say £300 a month. That's 83 months, saying the car costs 25,000. I'd need to save up for 6.9 years in order to buy a cupra out right.
Ain't gonna happen.
I might as well just lease it right now for £250 a month.
Of course, people that can't look after their car (kerbing alloys etc) shouldn't lease...as it can be costly to hand back.
For me the lease was the fact that I could sell my **** corsa, use a bit of money I've saved and that's the lease paid for, we live in an uncertain world and I didn't want to tie myself down on a pcp or HP or get a loan with no guarantee of future income/the future car value. This way I can live safely knowing that no matter what happens that lease is paid for and while I still have the ability too, I can save just as much as I would of borrowed from the bank meaning in 2 years I have the money to repeat the process or, like you say, buy a car with 10k off market value, or buy a people carrier for all the children I may have in the next 2 years. Without that safety barrier of knowing I'm not going to end up on some bailiff tv program, getting a 25k car was never an option for my circumstances
I have been following this thread for quite a while, unfortunately I didn't get on the cheap Cupra deal but as an example I bought my 2015 1.4 ACT FR on the 0% finance deal using £15K deposit that I had in my old car. Despite having very low mileage (less than 4K miles) my car according to WBAC is currently worth £12685.00 and having paid £18350 for it after a reasonable discount this means that over 19 months of ownership has cost me approximately £298.00 per month so in real terms had I managed to get the Cupra deal it would have actually cost me less for a lot more expensive car.
I have been trawling the Lease sites looking for deals as I remember someone saying that their were some offers on VW Golf R and GTI as I understand that the new Golf is coming out very soon so their should be some deals out there but whether like the Cupra deal everybody is getting on the band wagon and picking them up cheap they seem to be disappearing very quickly. Based on my experience PCH seems to be the way to go rather than PCP or outright buy especially if you like me do not do a lot of mileage and only if you can get a good deal.
if you buy a brand new car then sell it after a year and a half to a company like that you will obviously loose cash, you might as well just hand WBAC 3k
have you got many wives ?![[B)]](/forums/styles/seatcupra/oldforumsmileys/shades.gif "Cool [B)]")
Haha not currently but yanno, 2 years is a long time I could end up on one of those programmes with my girlfriend where we have like octuplets
if you buy a brand new car then sell it after a year and a half to a company like that you will obviously loose cash, you might as well just hand WBAC 3k
All the dealers now use a combination of CAP/Glasses and WBAC when valuing trade ins, I was told this when approaching different dealers when I bought the Leon, I also looked at high spec Focus Titaniums but even with Ford Privilege discount I couldn't get anywhere near the deal for the equivalent Focus. It is a lottery when buying a new car you will always lose money on main stream cars so taking the PCH route seems to be the way to go, yes you never own the car but you don't have a lot of cash tied up in the deal. Used Leon's FR's 2015 vintage seem to be going between £13K to £14K so WBAC estimate although low seems to be the going price bearing in mind that they are not going to make money on a new car sale.
I still have a small amount of finance on the car but as it's 0% it doesn't make a lot of difference whether I pay it off or leave it until early next year in the hope that some good leasing deals come up.I was looking at the new Ateca but they don't currently do the 1.4ACT engine with a DSG box and diesel for me is a no go due to the mileage that I cover. Also the leasing rates for the Ateca are really high so at the moment are a non starter but things may change.
We have two FR 184's
The 14 plate was bought on VW finance at 50% down and the rest at zero% over three years.
The 16 plate is leased over three years with 250 deposit and 220 quid a month.
At three years old both cars will have done about 45k miles with the purchased one being worth about 40% of purchase price......we will probably keep this car as long as it is reliable
The leased one will go back with an overage mileage charge of around 1000 quid which will have been recovered via 45p/mile business usage.
I wouldn't ever buy another new SEAT, only lease them and flip them at 3 years.
The 14 plate was bought on VW finance at 50% down and the rest at zero% over three years.
The 16 plate is leased over three years with 250 deposit and 220 quid a month.
At three years old both cars will have done about 45k miles with the purchased one being worth about 40% of purchase price......we will probably keep this car as long as it is reliable
The leased one will go back with an overage mileage charge of around 1000 quid which will have been recovered via 45p/mile business usage.
I wouldn't ever buy another new SEAT, only lease them and flip them at 3 years.
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Yeah that's why I leased, i can't be bothered being left with something that'll drop value like there's no tomorrow and the added uncertainty of reliability made me lease instead, only 11 more days till delivery
Get my FR Titanium on Monday on lease, not having to care about depreciation is a big selling point and I'm getting a 25k car for 8 and then swap it up. I've got it at 15k miles, if I owned it there'd be so many better cars out there if I tried to sell it after 2 years with 30k miles on
FR titainium isnt a 25k car, its a 20K car so your paying nearly half of it in 2 years then walkin away. nothing wrong with that just another way of looking at it
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