Ian964

I just moved to SC and fiance wants to get rid of her SUV and get a fun car. I've convinced her to get a boxster.

We pay close to 500 now for her SUV.

Can you lease a used boxster?? What would a good price be and where should I look.

We could buy one for 25-27 but we would rather lease.

Vampyre

At the end of your lease you have nothing. I would buy the car and get a extented warranty on it. That way in a couple years you can sell it and get something else or have something to show for 3 years of payments

Leasing is like renting. You never really owned the Porsche if you lease it, you just rented it. Plus you can't do any upgrades or make it custom


If you must lease, I am sure you can get an new one for $500 a month.

Ian964

Well thats what I thought too but she bought her car and right now she has more left in payments then the car is actualy worth!!

So if she was leasing not only would she have saved money every month but wouldn't be stuck with a car with a negative value.

Doug&Julie

But...either way, she has to get rid of a car she has negative value on, right? Leasing won't help with her current car's negative value, and if you trade it in you'll be worse off than trying to sell it outright. So I guess I'm still not seeing the benefit of leasing here?

But I am a fiscal idiot...

delhi

well if you own a business you can write off some of the lease payments.
alot of Porsches are leased these days. very seldom bought out.
In fact most luxury cars are leased. By tinkering with the residual value of the car itself, mfg is now able to lower the lease payment of a luxury car so that even joe blow can get into one.
leasing works for those who likes to get into a new car every few years. it's like renting an apartment/house.

jcnesq

There is a market now for lease takeovers. I hope it works because I have just listed my '01 Boxster S, which has 24 months remaining on the lease. One of the pluses of leasing is that if the car increases in value, you have an option to buy it, but if it drops, the leasing company takes the loss. These days a lot of used cars have values less than the residuals, as clearly my loaded Boxster S will.

The lease takeover deals start becoming a great deal for someone who wants a car for a couple years at a great price and no money down. In my proposal, the car was just serviced (30K miles), the next 12 months license is paid (Calif), I give the new guy $3K cash and transfer my security deposit, and he/she just pays the remaining 24 lease payments and gives the car back to the leasing company (or negotiates a new price at the end, which they won't even discuss 24 months before the end).

I'm primarily trying to explain this process, which is new to me, but don't mind if someone's interested. One of the sites that accommodates these deals is leasetrader.com

carrageous

Another site is www.swapalease.com, which I've been following as I'm toying with the idea of picking up a used Boxster lease through my corporation, just for fun. Some advantages, financially, of doing it that way, at least for me.

What's interesting is that you can take over a lease for a 2002 Boxster for $366 (currently) or a 1999 for $550 (same months left, same miles left). Clearly, some people are better at negotiating leases than others. But there are some real bargains. Example, there's currently a 2002 Turbo with 1200 miles a month, 26 months for $960 a month. Or you can lease a 2002 C2 for the same money. Wouldn't have to think long about that one.

One question on registering the car: do I understand it right that if I register the car (in Texas) I have to pay sales tax on the current value? Seems a lot to pay for 24 months. Any thoughts on that?

Dain

jcnesq

Don't know about Texas, but in California sales tax is paid on each monthly lease payment, not the car's value (another possible benefit from leasing v. purchase).

carrageous

Thanks, Jim.

It's worth a call to the appropriate govt office to ask. I would hate to have to pay 8% on $40,000 just for 2 years driving!

Or maybe not. I need a new ride.

Dain

MM951

I'm not too smart with this leasing business, other then that my mom always told me to stay away from it..

couldnt you get a loan and pay the loan monthly? Cheaper then leasing and you still get the car, right?

MoreIBNR

Cheaper in the long run if you eventually want to own the car. The big advantages of leasing are - smaller down payment, and smaller monthly charges because you are only paying for a portion of the value. For instance, if it is a $50,000 car, and the residual after 3 years is $25,000, you are only paying off the $25,000 in those 3 years - about $800 per month @ 10% interest, but would cost $1600 per month to buy. Of course then you would own a car, but if you don't have the extra 800 per month, then leasing is all you can do. Of course you could just pay it off over a longer time period, like 7 years, but then you have a 7 year old car. With leasing you always have a newer car, don't usually have much in repair costs, etc.

Jowever, I have never been a proponent of leasing - especially for me. I would find the feeling that I wasn't driving "my" car to be overwhelming, always wondering if they were going to charge me for that scratch or whatever.