Buying and Selling Vehicles - Is 2K down and $350/month a fair price to lease a Hyundai Veracruz?

I've never explored leasing a car and the only data collected thus far has been:
$2K down and $350/month to lease a Kia Sportage and
$2K down and $350/month to lease a Hyundai Veracruz

for the same price I figured go for the Veracruz but $350/month seems kind of high? Both are dealer quotes.

Is that what I can expect to pay?

TIA,



-MC

Need more info: purchase price of car, lease term, buyout price,....

No option to buy

my choice of either a two year lease or three year lease

when the manager gave me the numbers, he didn't provide any other info. Since this is my first time exploring a lease, I didn't know what to ask.

I wouldn't be comfortable with this little information. Keep in mind, though, that I'm jaded and wouldn't lease a car in the first place.

I second Mitch's opinion of car leasing :thumbdn: ; it's a major cash-cow for dealerships.

Some interesting reading:

http://biz.yahoo.com/pfg/e16buylease/

I'm more of the kind of guy who'd buy the previously leased car when you returned it to the dealer.

Yes, and people tend to take much better care with leased vehicles so they don't get whacked with extra fees at turn-in time so they are often cream puffs.

thks for the feedback, I need to look into this a little more and will post any earth shattering information I may uncover

happy holidays,



-MC

Unless you own an oil well you might also check fuel economy figures; that sucker is rated at 16 mpg city. :eek:

If you lease a car, you must be sure to understand all the terms of the contract. For instance, there will be mileage limit which you must remain under to avoid a large charge for excess miles at the end of the lease. That limit is negotiable and is directly related to the monthly lease rate. The more miles you are allowed, the more you pay each month.

You really are just RENTING a car for 2 or 3 years !!

Another way to look at it is your are buying the car - and selling it back at an established price.

During the lease you are responsible for all repairs and damage, and can only drive it a certain mileage, or you are fined.

Unless you drive less, and take extremely good care of the car, buying it usually better. any damage has to be fixed - scratches, upholstery etc...

Price it both ways....

Saw an interesting take on leasing regarding INSURANCE, i.e. if you wreck the car the insurance company is going to pay you what the car was worth, NOT what you might still owe on the lease, which could have a spread of quite a bit. Same is true, of course, for people who finance expensive vehicles for six years and are "upside down". :coffee:

I've heard there's a whole new insurance niche opening up to cover the gap between car value and loan value for those who have financed a car long enough to have a significant upside-down period.

Makes sense; always new financial stuff being thought up. I was pleasantly surprised the last time I rented a car that I didn't have to settle for the rental company's overpriced insurance, but could use a third party insurer for much less. :coffee:

Hi, MC, I live near Vienna- we're almost neighbors.

If I can suggest: Consumer Reports has a free guide that can help you with the decision making when it comes to lease vs. buy. It's at this url:
http://www.consumerreports.org/cro/cars/new-cars/buying-advice/guide-to-new-car-buying/0702step0.htm

You can also check out how the Sportage and Veracruz stack up when it comes to reliability, overall worthiness, cost and frequency of repair, etc. Some of those services are pay-to-play, but in my opinion well worth it. I'm a touch jaded, and assume that car dealers are out to rob me: CR's information can help you avoid costly mistakes and navigate the car salesman's tactics.

Good luck with it!
Dave O