Overhaulin'

Should I buy or lease car?

Hi, Im 17 years. so, Im gonna be 18 years. im gonna buy a car next year. actually I want to buy 2006 mutang GT used one. but I don't have enough money to buy it. I heard that lease is cheapter than buy. is it true? and, It's about $20000. 1. which one is cheaper? 2. Do I have to pay another money except car's price?(when I lease a car) 3. usually, how much the insurance price in Mustang? Thanks :)

Public Comments

1. Get a cosigner cuz youre too young and probably wont have credit. So, BUY a car, my old friend was a salesman, he told me you will actually end up paying more by leasing it. I forgot how, he was talking percentages and terms and..yeah he lost me lol.
2. save your money and pay cash for a car, if you lease it, it's like paying rent for an apartment, at the end of the lease you own nothing. if you buy a mustang with a V8 engine the insurance is very expensive, if you buy a V6 it's much less.
3. Leasing is a horrible idea, and anyone that tells you otherwise is retarded. Good luck finding financing at 18 yrs old, unless you have a co-signer or a great job. Remember when you lease, you are "renting for a long time". if there is a scratch/dent, you pay for it when you turn the car in. You drive over the allotted miles, you pay for it when you turn in. Im no insurance uy, but a young man under 25 leasing a sports car will be horribly expensive on insurance
4. the insurance for someone your age is going to be high as hell. Your looking at 150-200 a month for insurance. When you lease the car they want money down for it. All the leasing is different. Most of the time it is like $3,000 when you Sign the lease plus the monthly payment. Leasing is a waste. It is the same as renting. So if you don't return the car in the same condition you got it in then they charge you. Also you can only drive so many miles if you go over they charge you per mile.
5. At 17 a Mustang isn't a great idea! Get something more affordable and cheaper on the insurance, other then the cost, you'll be a magnet for cops! Save some money and spend it on something else.
6. Leasing is usually reserved for new cars only, and the best deals apply to merchandise that the manufacturer of the car is highly motivated to sell, since they have built too many of them . Leasing works by predicting the depreciation of the car and having the buyer pay down only this depreciation, rather than the entire price of the car. When used car values dropped off a couple years ago, most banks got out of leasing, since they were losing big bucks when the cars came back to them. Leasing also requires strong positive credit, which you will not have on your 18th birthday. In fact, you will need to bring along a qualified co-signer to get ANY car loan. Unfortunately, unless you have an amazing income and a really strong co-signer, you will get only a modest loan on a modest car, maybe half what you are looking to spend. I am sorry to report that the newscasters are correct, as easy credit is now history. Hopefully, you have a parent or close relative willing (and qualified) to co-sign for you, and hopefully you have good enough an income to budget for a car payment. Don't hold your breath on the Mustang, though. Not to mention, 20K is out of line for a GT about to have its fourth birthday (since the 2010 Mustang is out, the 2006 is actually four years old). Sorry!
7. If you can't raise enough cash to buy, and you have an assured source of earnings on monthly basis, then go ahead and lease. Of course you will have to pay the insurance cover on top of the lease and the amount will depend on how the insurance company assesses the vehicle.
8. If you can't raise enough cash to buy, and you have an assured source of earnings on monthly basis, then go ahead and lease. --------------------- Uh, how does that work? Lease requirements are MUCH STRICTER than buying!