eyedrop
Posts: 36
Joined: Sun Sep 25, 2016 10:46 pm
Delivery Date: 04 Oct 2016
Leaf Number: 312554
Location: Black Canyon City, AZ

Lease vs cash vs finance?

Fri May 14, 2021 11:29 am

I found a new 2020 SL Plus with 12 miles selling for an advertisement price of 32k. Dealer says I can get it for only $30k if I lease.

I told the salesman I drive a ton, 30k miles a year and he said leasing would still be a better option for me vs buying cash.

The dealer doesn’t know it yet, but I will ultimately be trading in my 2017 S550 for it, which is valued at $ 38k.

I plan on using the fed tax credit to its fullest extent.

How should I go about this purchase? Lease vs cash vs finance?

Thanks…
Current EV's:
2020 Leaf SL Plus
2020 Bolt EV

Prior EV's:
2015 Leaf S
2014 Model S P85D

LeftieBiker
Moderator
Posts: 16966
Joined: Wed May 22, 2013 3:17 am
Delivery Date: 30 Apr 2018
Location: Upstate New York, US

Re: Lease vs cash vs finance?

Fri May 14, 2021 12:06 pm

Generally, buying is the better route IF you can get the full Federal credit. If you can't, then leasing and then buying off lease is usually best. Just run the numbers for both scenarios. $2k in additional bonus cash is unimpressive, BTW. Typical lease deals on Leafs they want to move these days give you about $10k in bonus cash, applied to the down payment. Of course, the car is already discounted...
Brilliant Silver 2021 Leaf SV40 W/ Pro Pilot & Protection
2009 Vectrix VX-1 W/18 Leaf modules, & 2 lithium E-bicycles.
BAFX OBDII Dongle
PLEASE don't PM me with Leaf questions. Just post in the topic that seems most appropriate.

eyedrop
Posts: 36
Joined: Sun Sep 25, 2016 10:46 pm
Delivery Date: 04 Oct 2016
Leaf Number: 312554
Location: Black Canyon City, AZ

Re: Lease vs cash vs finance?

Fri May 14, 2021 12:50 pm

Thank you for your reply. My fear is leasing will cause me to exceed mileage allowance, which causes fees. And I’m not too familiar with releasing or residuals. But it seems leafs depreciate fast.

I’m the type to buy and use for 7-10 years. I would like lowest TCO total cost over that period. Even if it means paying more today.

I think maybe buying in my case is best? I wonder if there is even room to haggle?
Current EV's:
2020 Leaf SL Plus
2020 Bolt EV

Prior EV's:
2015 Leaf S
2014 Model S P85D

hbquikcomjamesl
Posts: 103
Joined: Mon Mar 01, 2021 10:01 am
Delivery Date: 30 Dec 2020
Contact: Website

Re: Lease vs cash vs finance?

Fri May 14, 2021 1:39 pm

Actually, it all depends on how long you plan on keeping it.

Which is to say, if you're planning on being the one to have it hauled off, long past its life expectancy, to its final rusting place, then buy. And don't finance any more than absolutely necessary.

If, on the other hand, you change cars more often than some people change their underwear, then by all means lease.
--
James H. H. Lampert

LeftieBiker
Moderator
Posts: 16966
Joined: Wed May 22, 2013 3:17 am
Delivery Date: 30 Apr 2018
Location: Upstate New York, US

Re: Lease vs cash vs finance?

Fri May 14, 2021 1:41 pm

Lease mileage limits are meaningless if you buy the car when the lease ends. If you don't, then the overage charge can be thought of as a fee for having a choice whether to buy in a few years.
Brilliant Silver 2021 Leaf SV40 W/ Pro Pilot & Protection
2009 Vectrix VX-1 W/18 Leaf modules, & 2 lithium E-bicycles.
BAFX OBDII Dongle
PLEASE don't PM me with Leaf questions. Just post in the topic that seems most appropriate.

eyedrop
Posts: 36
Joined: Sun Sep 25, 2016 10:46 pm
Delivery Date: 04 Oct 2016
Leaf Number: 312554
Location: Black Canyon City, AZ

Re: Lease vs cash vs finance?

Fri May 14, 2021 3:19 pm

It seems to me that with leasing, you are betting the dealer will be wrong about the depreciation, in hopes you can buy the car for less than what it’s worth after the 3 years. Is that correct?

Seems again I’d rather not worry and just buy. More simple
Current EV's:
2020 Leaf SL Plus
2020 Bolt EV

Prior EV's:
2015 Leaf S
2014 Model S P85D

LeftieBiker
Moderator
Posts: 16966
Joined: Wed May 22, 2013 3:17 am
Delivery Date: 30 Apr 2018
Location: Upstate New York, US

Re: Lease vs cash vs finance?

Fri May 14, 2021 3:52 pm

If you get the full tax credit and can afford to buy, that's usually best if you are sure you want to keep the car. Leasing is for more complicated situations.
Brilliant Silver 2021 Leaf SV40 W/ Pro Pilot & Protection
2009 Vectrix VX-1 W/18 Leaf modules, & 2 lithium E-bicycles.
BAFX OBDII Dongle
PLEASE don't PM me with Leaf questions. Just post in the topic that seems most appropriate.

knightmb
Posts: 951
Joined: Mon Jan 12, 2015 7:41 pm
Delivery Date: 26 Feb 2021
Leaf Number: 306291
Location: Franklin, TN

Re: Lease vs cash vs finance?

Fri May 14, 2021 4:27 pm

Make sure you have enough income to use the full tax credit also. Nothing burns more than the IRS telling you that only half or 3/4 of your tax credit can be applied to your filings... :evil:
2020 Leaf SL Plus - (Manufacture Date March 2020)
2013 Leaf SV (8 faithful years of service before trade in at 75,679 miles)

SageBrush
Forum Supporter
Posts: 6266
Joined: Sun Mar 06, 2011 2:28 am
Delivery Date: 13 Feb 2017
Location: NM

Re: Lease vs cash vs finance?

Fri May 14, 2021 5:04 pm

If Prescott is hot Arizona, think twice about a LEAF
2013 LEAF 'S' Model with QC & rear-view camera
Bought Jan 2017 from N. California
Two years in Colorado, now in NM
03/18: 58 Ahr, 28k miles
11/18: 56.16 Ahr, 30k miles
09/20: 54.3 Ahr; 38k miles
-----
2018 Tesla Model 3 LR, Delivered 6/2018

LeftieBiker
Moderator
Posts: 16966
Joined: Wed May 22, 2013 3:17 am
Delivery Date: 30 Apr 2018
Location: Upstate New York, US

Re: Lease vs cash vs finance?

Fri May 14, 2021 5:19 pm

SageBrush wrote:
Fri May 14, 2021 5:04 pm
If Prescott is hot Arizona, think twice about a LEAF
Certainly think twice about buying one, or leasing one with the intent to buy it.
Brilliant Silver 2021 Leaf SV40 W/ Pro Pilot & Protection
2009 Vectrix VX-1 W/18 Leaf modules, & 2 lithium E-bicycles.
BAFX OBDII Dongle
PLEASE don't PM me with Leaf questions. Just post in the topic that seems most appropriate.

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