New To Land Rover, HSE or HSE LUX?

[uhur]

The $599/m lease quoted above is a low mileage lease with significant down payment/cap cost reduction required upfront, doesn't include tax/dealer fees and is based on a pretty basic HSE model (@ $54,500 MSRP)...
...nothing special at all, actually

 

[uhur]

The $599/m lease is low mileage, doesn't include tax, fees etc and requires a high down payment/cap cost reduction, with an average money factor, on a rather basic HSE model (@ $54,500, or so, MSRP)
...Pass...

 

[gfcronus]

The $599/m lease is low mileage, doesn't include tax, fees etc and requires a high down payment/cap cost reduction, with an average money factor, on a rather basic HSE model (@ $54,500, or so, MSRP)
...Pass...

Which probably translates into about, what, $30,000 or so over the three years of the lease? For a car you can probably drive only 10,000 miles per year? Maybe 12,000 miles at best? So at the end of three years, you're $30,000 poorer on a car you couldn't drive that much and have nothing to show for it in the end? No wonder car dealerships love leases.

Reminds me what they say about lotteries: that they are a tax on people who are bad at math

 

[uhur]

Well,
when I chose the model/equipment I liked with minimum cash out of pocket, bumped the mileage to 15K per year, the $599/m turned into 850, or so...
That said, leasing is just fine, and depends on individual life circumstances, finances, car ownership patterns etc.
...when leasing, one has to know all the "ins and out" very well, because it is a lot easier to be taken for a ride (i.e. allow the dealer to make "too much" profit, front and end).
Back to HSE vs LUX debate, yes indeed, one could lease an HSE for $599/m (sort of) with all the parameters met

 

[eastLR4]

I think that's the point of the Money magazine article (again, I don't remember if it was Money magazine I read it or some other publication): if you have to make major life changes to afford the monthly payment on a 3-year car loan, then you can't afford the car. (Sure, you might be able to make the monthly payments, but you'd have to sacrifice potentially important things in life to do it, like saving for retirement, children's education, etc.).

Likewise, according to the same article, if you have to stretch to a 4-year or 5-year loan in order to "afford" the monthly payments, then, technically, the car is too rich for you.

That's not to say that there shouldn't be any 4- or 5-year loan options for people who want to do it that way....just that financial experts say that when looking for a new car, ask yourself if you could pay it off in three years without having to sacrifice/delay one or more of the critical things in life (food, shelter, clothing, education, retirement). If the answer is yes, then take whatever loan terms you want.

In a way, it's kind of like interest-only mortgages. If you see a property you like but can only afford it by taking out an interest-only mortgage, then the it's just too expensive for you.

I'm not trying to lecture anyone or give out financial advice here. It's just that in this thread (HSE vs. LUX), I've noticed one or two folks (or more) who seemed to be defensive about having opted for the HSE, saying that it wasn't a money issue over the LUX, but then later reveal that, oh yeah, I didn't actually buy it, I leased it, and oh yeah, leasing saved me about $80 over my current car payment, etc., etc. "De Nile" ain't just a river in Egypt, folks.

There's nothing wrong with leasing. If you want something hassle free it pays to lease - literally. It does "cost more" but you get something for that extra price: the simplicity of knowing "I'm getting out of this car at this set price after X months and getting in a new car".

Same as renting an apartment right? It doesn't always make sense to buy.

(Although I will buy the LR4, with a 5 year loan)

See, to counter your example, I took a 60 month loan for my Nismo 350Z. I ended up paying it off fully in 3.5 years. I could have afforded a 36 months loan but went "safer" (longer loan) so I had extra savings left over. I paid more interest than I had to but that interest was not paid for nothing. It gave me room to save in case of ... whatever.



Bottom line, there are no hard and fast rules when it comes to other peoples money.

 

[UGAgirl97]

Bottom line, there are no hard and fast rules when it comes to other peoples money.[/QUOTE]

Amen!! Beautifully put EastLR4..... Welcome to the forum! You will love this truck! Be sure to post pics when you get it!!

 

[eastLR4]

Bottom line, there are no hard and fast rules when it comes to other peoples money.

Amen!! Beautifully put EastLR4..... Welcome to the forum! You will love this truck! Be sure to post pics when you get it!![/QUOTE]

Oh, I will. Buying a home now and close at the end of July. My credit shall remain untouched while the mortgage company completes their due diligence.

Will buy the truck shortly after I close on my new home, and I'll have plenty of pics to show for it.

I was thinking about going into the dealership asking for something other than what I really want. I figure if they know what I'd like (white on black) they'll keep that particular color combo at the highest price and I'd be at a disadvantage? I will have to work on my negotiation skills.

 

[uhur]

Be classy, upfront and honest with your LR dealer, and they'll become your friends.
Jerking them around is never a good idea(..dunno about Nissan negotiating strategies, never owned one)

 

[LRnewbie11]

thats where the negotiations come in. I wont go into the details specificallly but I was able to negotiate a lot more than what they were advertising in the deal. Its no different than negotiating for a purchase.

 

[LRnewbie11]

Which probably translates into about, what, $30,000 or so over the three years of the lease? For a car you can probably drive only 10,000 miles per year? Maybe 12,000 miles at best? So at the end of three years, you're $30,000 poorer on a car you couldn't drive that much and have nothing to show for it in the end? No wonder car dealerships love leases.

Reminds me what they say about lotteries: that they are a tax on people who are bad at math

you dont have anything to show for it other than......wait for it......wakt for it oh yeah anlther new car ay the end of your lease. I think we have established ad naseum that there are pros and cons to both leasing and buying. So, do we need to continue this nonsense or maybe gfcronus would like to dive into everyone's personal finances As well and tell us where we got it wrong. I mean why stop at the vehicle transaction. Im sure he's got some more pearls of wisdom he has gleaned from a fancy elitist financial periodical. (thats a magazine for you idiots out there...dont worry he puts me in that group too)