Everyone knows that buying a car is cheaper if you are going to keep it for a while. We've always bought a car and kept it for 8-10 years. After the car was paid off we always continued making the payments, but into savings for a down payment on the next car.
However, now that we are retired, we have extra money in our budget for some splurges. We saved as much as possible for a very long time to get to this point and want to spurge here and there. One of our splurges is that we want to get a new car every 3 years or so. So the question is if you have already decided to get a new car every 3 years is it better to buy or lease?
We've been retired a few months and are putting only about 700 miles per month on our cars so the mileage limitation wont be a problem.
I don't know that much about leases but from what I understand you are only paying for the depreciation from new to 3 years old (or the length of the lease) plus some factor for having the dealerships money tied up (similar to paying interest on a loan).
Can anyone who has leased give me some pros and cons and tell me what to look out for?
However, now that we are retired, we have extra money in our budget for some splurges. We saved as much as possible for a very long time to get to this point and want to spurge here and there. One of our splurges is that we want to get a new car every 3 years or so. So the question is if you have already decided to get a new car every 3 years is it better to buy or lease?
We've been retired a few months and are putting only about 700 miles per month on our cars so the mileage limitation wont be a problem.
I don't know that much about leases but from what I understand you are only paying for the depreciation from new to 3 years old (or the length of the lease) plus some factor for having the dealerships money tied up (similar to paying interest on a loan).
Can anyone who has leased give me some pros and cons and tell me what to look out for?