If you buy old cars you will feel that it is a total waste of money.
If you buy new cars, then leasing
may suit you. I know from my own experience that I'm financially better off over a five year period leasing, but then both of my Omega's cost over £20K each just to purchase, as they were both only a few months old when I bought them. Our other cars, purchase prices in excess of £46K each, cost £2K less to lease over the five year period than the financed one, but you do walk away with nothing at the end of it.
Omega Elite No.1 was around £22K to buy, kept for five years and then chopped in for another nearly new Omega 3.2 Elite. I got around £2K trade in as part exchange. The finance cycle started again so, after another five years, I owned a car that was worth peanuts and I was about £42K lighter over the ten year period.
I still own Omega No.2 so it now costs very little, so it is not worth getting rid off. All of the figures above were plus the usual running costs.
By comparison, the lease car was, no deposit, no tax, no insurance, no nothing. All you had to do was stick fuel in it. It was changed annually, with each one having a purchase price in excess of £46K, and I was about £2K better off over a five year period. But, you do have to look after them, which is not a problem for me, and you do walk away with nothing at the end of it.
So, for someone like me, who buys new or nearly new cars, there is not much in it, but for someone who buys cars a few years old, it will break your heart knowing that a large sum of money is being taken off you each month.
Should add that this was through a car company scheme, not a High Street garage.
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Topic: Private car leasing (not business) (Read 6406 times)