Do You Lease Your Car?

Better off doing finance that way pay car off in 3 years then sell on. There is always a catch with lease mileage damages etc

Leasing is a great idea if you always want to have a relatively new car on your drive and you like to choose unreliable cars like performance cars, executive cars etc so that when the warranty ends so does your lease. Then the car becomes the problem of the next owner you just walk away. Generally though if you want to save money you buy s/hand maybe 3 years after purchase but a relatively simple car with strong reliability and low repair costs. Also cars with long transferrable warranties like Kia or MG make a lot of sense so the first buyer takes the huge hit in depreciation but you can still have 4 years warranty on a car that only cost 40-60% of its original value. However such long warranties can reduce depreciation.

It's a bit like tv's, many years ago televisions were really unreliable as it was new technology and it made sense for people to rent televisions because of constant repairs. However then televisions become a lot more reliable and renting made no sense. Leasing cars makes good sense for unreliable models but less sense if you buy a decent car in the first place and plan to keep it a long time.

Lease is only worth it if you've got your own co. so you can offset this cost against your tax bill.

For the ordinary working person lease does not make any financial sense to have such a liability hanging over one's head