Correct, +1. How long should be the determining factor.

For me, leasing would never work unless it was a car meant for just driving for work. Atlanta is a "sprawl" city and anything less than 10K a year allotted would have me paying fees for sure. I recall when I getting my 300M serviced before I sold it, this guy turned a lease in on a truck and ended up owing about $1500 for over the miles.

Also, you can't modify the car with a lease. So, only a car meant from A to B like a Prius or something would work for me. It's all about what you want and how long like you said.

I prefer to buy used, but it's preference.

 

I'd like to throw my .02 in.

If you like to get new(new to you) cars frequently leasing is not the way to go. You are pretty much stuck with that term. As the payoff is usually your payments, plus residual. Also, buying new is not the way to go, unless its a Honda.

Right now I am 26 years old, and I have had 42 cars. Averaging about 4 cars per year. The cars vary in cost and prestige. From El Camino, to 911 , to Z06 etc.(I'll spare you the complete details) And I only lost $$$ on one car, as I paid top dollar for it as it was hot at the time(01 M3), and the market crashed back in 01.

Buy niche cars, that are used and in good condition, and you can flip cars as much as you want. Been doing it since I was about 17. 3 years? might as well marry the car Especially never buy a AMG Benz new, unless you plan on keeping it forever. Their depreciation works out well for me though.

Once the SRT-6 sells, I'll drive the CLK55 for a bit more. Then I'll go 911 hunting, I still miss my 99 C2.

 

i have leased cars in the past. but now i only buy. bought a new nissan, got an ok deal, paid cash and have 93k miles on it as a daily driver. still looks and runs new. still has the original tires even! all highway miles only money has been fluid changes and a fuel sensor. im planning on driving that in the ground.

wanted something nice for the weekends so.... i saved, put a chunk down and got a NEW C63 for 53 plus 6 percent state tax. payments are 600 per month for 60. i plan on driving this on the weekends only and not driving it hardly at all in Dec, Jan, Feb. i probably wont put 6k miles a year on it so i hope to have it as a nice weekend/dinner car for well past the loan term. after all its an AMG so i think i will be more than happy with it as a saturday night car for a LONG time.

you have to drive them a long time to get your money worth if you are worried about that stuff. i am. some are not. so if flipping is your thing you just have to figure what you feel is an appropriate hit on your money and live with that number if its worth it to you.

if you think you will keep it i would do my best to save and get a loan not a lease.....

 

That assumes he wants the car for 60 months. I guarantee the car will be upside down in value at the 36 and 48 month mark so he will be having to pay to dump the car after 36 months. Leasing gets a bad wrap. I would never again buy an AMG car especially the C class version. my C36 flopped in value, my C32 was even worse and the C63 will be no different. In 36 months look for mid to upper 30's for its value. From there in down to the teens!

I dont see a need to spend 1100-1200 a month for the right to own a C63 in 60 months. An 840's lease payment seems Excellent to me. MB will lose money on the deal I bet.

 

I agree with much of what eagle lex just said, but let me just add the following:

-> In a good economy (of years past for example), leasing was much more attractive for many ppl, since you could lease a much more expensive car rather than trying to be able to afford to buy one; i.e. the leasing rates (money factors) were much lower than the auto financing rates (auto loan APRs) and terms.

In a recession like we're currently in where interest rates are very low and the auto mfgr's are struggling to makes ends meet, the banks and auto mfgr's are forced to become much more aggressive in order to sell cars. The auto mfgr's have been forced to sell cars at steeper discounts, while the banks are forced to lower auto financing rates to stimulate sales. Right now, it may actually cost less to buy a car than to lease the same car. While the economy is still in the toilet, at least this, in terms of buying a car is all great news for consumers, imho.

-> It is true that if you tend to get bored of your car in 2-3 years, it may be better to lease, and if you tend to drive your car into the ground, then it is better to buy. However, I feel that for those ppl that are somewhere in the middle of these two groups, it all depends on your driving habits, your priorities (e.g. driving your car under warranty, technology preferences, etc.) and again, the economic conditions...which right now, are guiding many ppl like myself (who always used to lease) to BUY!!!!!!

I do a lot of business diving in my car (~ 20k-25k mi./year), but up until my past 2 cars, I have always wanted to move up to something better with the latest technology, faster, sportier, etc. So, I leased my Lexus cars I've driven (2 RX's and 1 older SC Coupe), my Infiniti's (G35 and FX35), and even my BMW 335i (although I did a high mileage, 20k mi./yr., 3-year lease). However, after driving my tuned BMW 335i for almost 3 years (and understanding how the economy has affected the auto leasing/financing programs), I decided I would BUY my next car, whether it was another BMW or something else.

Well, the rest is history, and I know I made the right decision to buy my '09 MB C63 AMG, and the fact that I'm only paying ~ $60 more/month than what I was paying on my BMW 335i lease...well that's the icing on the cake!