Buying vs. Leasing

[pluckem]

I have done all of the different buying styles, Used, New, and Leased. I would agree that a good used, 1-2 year old vehicle is the best option. The problem is that those are not easy to find. Lots of pickups in the 80-100,000 mile range, not so many with less than 20,000.

Id have to say there are some markets where the 1-2 year old vehicle is not the best option. Specifically, the Chevy and Ford 1/2 ton pickups. There have been way to many incentives and manufacturer sponsored rebates at times of the year where you can get a pickup new off the lot for close to the same or better price of a comparable in the used market.

Also some lenders will have lower rates on new vehicles vs used so have to pencil out that factor as well.

 

[ndlongshot]

I've never bought new. I'm one of the guys in the slightly used camp. And I'm going to be in the market in the next year/ 18 months again. Whats all this rebate talk? How good are we talking? Can someone give some real life examples, or time of year to be negotiating?

I tend to agree with pluckem. I've been keeping my eye on the market for the past year or so, and anything slightly used with under 80k miles is damn near the price of new and I just wont pay that. But can't justify new vehicle (in my mind) either. Have too many other hobbies so I was considering trading down or just buying a slightly newer model to squeeze another 50k miles out of.

 

[Bfishn]

I've never bought new. I'm one of the guys in the slightly used camp. And I'm going to be in the market in the next year/ 18 months again. Whats all this rebate talk? How good are we talking? Can someone give some real life examples, or time of year to be negotiating?

Best time to buy new is when the new models hit the dealers lots and they need to get rid of last years models. A year ago I bought a 2015 GMC Sierra SLE double cab Z71. MSRP was $45,000, paid $32,000 after rebates/incentives. I plan to drive it until the wheels fall off, 15 years or so.

Getting 10-15k off holdovers is definitely doable if you are patient. I gave up on the used market when i was looking.

 

[Retired Educator]

this has been true at times the past few years. Buy a new $45,000 pickup with an $8000 rebate or a 1-2 year old pickup with 20,000 miles for $37,000. Pretty easy decision.

 

[pluckem]

I've never bought new. I'm one of the guys in the slightly used camp. And I'm going to be in the market in the next year/ 18 months again. Whats all this rebate talk? How good are we talking? Can someone give some real life examples, or time of year to be negotiating?

I tend to agree with pluckem. I've been keeping my eye on the market for the past year or so, and anything slightly used with under 80k miles is damn near the price of new and I just wont pay that. But can't justify new vehicle (in my mind) either. Have too many other hobbies so I was considering trading down or just buying a slightly newer model to squeeze another 50k miles out of.

On the F-150 front you should be able to get 11-14K off of the window sticker factoring in different variables.

Get on the F-150 specific forums and you should be able to find the threads about current sale prices.

The key is to understand the difference between the manufacturers incentives/rebates and then the negotiation of profit with the dealership. The rebates and money coming from Ford won't effect the dealerships profit much, because ford will be cutting a check or credit to the dealership for those rebates.

So the time of year and month will determine the incentives coming from FORD directly. It seems to be a game they play to keep investors happy and move excess inventory.

Some details I have on a 2016 F-150 Super Crew with 2.7 eco, bought August of 2016.
$49,025 MSRP
$7050 in various rebates/incentives from FORD
$4856 discount from dealership

So $11,906 off of the window sticker price, and this was on a requested dealer build, (not existing inventory on lot). I would imagine you could have squeezed a bit more out of one come November when dealers want previous model years off the lot, but then you also might get stuck paying for some build options you don't want or not getting some you do want.

 

[Hookin8easy]

Leased my first tundra, payment around 400, buy out was 24k, got out of that after 2 years, sold it outright before I released to buy out a new one. When I sold my 2 yr old with 20k miles I cleared 9 grand, put down on the new one and bought out after the lease to keep. Not familiar with other manufacturers leases but the toyotas are not a bad situation at all

Had I went to purchase from the get go would have been roughly 700 month 6 year, lease was 400 a month for 3, then 435 for 4. Was a better fit for me, had no intention of release to begin with