Vengenz

Trying to gauge how many people own, or lease their late model F150s?

JaredC01

I'm leasing mine, but will probably end up buying out the lease once it's up. Not having to pay personal property taxes for 3 years, monthly cost savings, and buyout cost... Hard to say no.

SilentSteel

Leasing here. Going to buy her out when the lease expires. I leased because I wasn't sure I wanted a truck. Thought about upgrading to a 250, but I'm pretty well invested in this truck.

CobraO

I've never leased, but if you are going to, you should check out prices in Michigan. Don't know where you are located, but when we lived up there, everyone leased their vehicles. Here is a quick example.

https://www.brightonford.com/specials/new.htm

We moved to Texas and NO ONE leases their vehicles. There are exceptions, but it was going from one side of the fence to the other as far as new car sales.

Good luck!

Losing Money

SomeRandomGuy

JaredC01

There are fees, and the monthly cost is based on a few factors... The total amount you pay on a lease, is what the expected depreciation would be on the vehicle after the amount of time of the lease is up. Usually, if you're planning on a short lease (1 or 2 years), the total monthly cost is higher than say a 3-year lease, because most of the depreciation comes in the first two years of the vehicle. You also have a certain percentage rate that you pay, which can basically be converted into an APR rate. This rate it negotiable, as is the cost of the vehicle (there are usually less deals on leases, however).

Also, lease monthly costs aren't nearly as inexpensive as purchase monthly costs... Where normally you'll spend roughly $18 per month per $1000 borrowed on a sale, you'll spend roughly $40 per month per $1000 leased. This means that putting more money down can drop your payment SIGNIFICANTLY. The big key here, is since you're paying the depreciation value, instead of the vehicle value, the total amount you're paying on is considerably less than buying (as an example, the depreciation estimation for my vehicle was right at $12,000 for 3-years, so I pay for $12,000 and not $41,000). You also have sales tax that is rolled into the monthly lease payment (in addition to the $40 per $1000), which is based on the state and county you live in, and can either be based on the initial sale cost of the vehicle (before they subtract the depreciation), or can be based on the monthly payment amount.

As far as personal property tax goes, you don't actually own the truck, the leasing company does, so you don't pay any property taxes on it. If you decide to purchase the vehicle after the lease, you'll have to pay personal property and sales taxes on the value of the vehicle AT THAT TIME, meaning it doesn't backtrack to when the vehicle was new.

Ricktwuhk

There is a reason why Michigan leads the country in leasing via Ford - employee (and retiree) and employee family purchases via A/Z plan. This gives higher rebates for leasing than buying, as well as a almost non-existent money factor rate. We bought a Ford Fusion Energi in September, and leasing had a rebate of just over $10,000 (went up to just over $11,000 the next month). That included Ford taking the $4,000 tax credit, so it's more like just over $6,000. Regardless, we will save about $2,000, after fees, if we buy the vehicle at the end of the lease, as compared to buying outright.

It should be noted that you get the Ford rebates where the vehicle is registered, not where you buy it. So any rebates in a listed price for Michigan you won't get.

The other reason that Michigan is high in auto leases is that a certain level of white collar auto worker gets X leases per 6 months / year at a very reduced price, so they can basically get a new vehicle all the time. It used to include insurance, so the kids drove the new vehicle with the auto company eating the risk, and the parents drove older vehicles.

RobTx

We have 1 lease and 1 purchased F-150

djfllmn

iTrader: (1)

I am on my 3rd F150 lease. Plan to keep leasing, i love a brand new truck every couple years