Just went on ford.com to see what my options were to buy a ford escape. $30K MSRP vs $23K paid over a 4 year lease (42K miles total) - $3k down and ~$380 a month for 48 months.
This does not make sense why would anyone leave this over buying it if the difference is only $7k. Hopefully the pricing team knows what they are doing...
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Remember to add an extended warranty to that price if buying. Extended warranty starts at year 4, and costs about $3000 for 5 additional bumper to bumper coverage. This will not cover new tires, rims, or battery.
It's 2-3 years. But point still taken.
@1jwc+1rlrV0FP Leasing is just another way to fleece the customers, by giving them the option to return the vehicle every 3-4 years. You get to pay for the biggest vehicle depreciation (the first 3 years) over and over again with leases. The good thing is that you can drive a new car every 3-4 years, but make no mistake, you are paying for that.
@1uhb+1rlrV0FP - Your explanation makes sense. The other factor you should also point out: part of the lease monthly payment, $100 per month goes to the new UAW contract and another $100 goes to JF and Family!
What I do...finance cpo vehicle that was 2 year lease, under 50k mileage. Negotiate price down. Negotiate price down again. Negotiate 4 years and 75 k miles as a ford premium care service plan to cover major repairs while vehicle during term of the loan.
Leasing is smart
Cars dont hold the value especially f**d.
Lease and throw it back.
Because the residual value of our vehicles is horrible due to quality issues impacting the auction price, fleet volume and risk in leasing that FMCC has to price for. That's why we haven't been in the leasing game for a while.
Leasing a vehicle isn't a smart money decision in the first place.
No one wants our vehicles. But even if they employees.
I leased a Chevy. Love it.