I have never leased before, and have always paid cash for cars in the past. I also have never driven a ‘fancy’ car before – my last two new car purchases were a 2007 Honda Fit and a 2000 Honda CX (no power steering, yet!) [Currently, we are a one-car family with a 2007 Prius that belonged to my spouse before we met]
We are considering leasing a VW ID4 or a Ioniq 5 or leasing or buying a Tesla Model Y.
I have read a lot on this board, and folks are adamant that downpayments for leases are bad news, because of the risk that your car is totaled in the first year. But, philosophically, how is that different than a total loss on a new car you paid cash for?
Given how high money factors are these days – I was quoted .00391 for a 2024 Ioniq 5 SE, .00342 for a Ionic SEL SE (8.21% APR), both for three year 10k leases, and .0035100 for a Tesla Model Y – why is it better to finance document fees, acquisition fees, taxes, registration if you have it in cash (earning 4.5%?)
Why wouldn’t it be advantageous to do one-pay, if available?
My assumption is that for the VW or Ioniq, I would not want to buy out the lease, because the newer versions will have Tesla-style chargers in two or three years.
One other question – we have driven 8,000 to 8,500 miles annually the last two years. Is a lease a worse deal for us because there is no ‘buy back’ of unused miles?
Thanks for your help!!!