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Prices Paid: Buying & Leasing Experiences Volkswagen Passat Prices Paid and Buying Experience
3257 messages, Last post on Aug 20, 2008 at 8:59 PM
You are in the Prices Paid: Buying & Leasing Experiences Forum. Your Hosts are car_man & kyfdx
| I am too interested in Passat prices, but I feel that discussing lease deals in response to questions is pertinent to the process of buying a car. And as you said, buying only has one advantage over leasing, that being "... under MOST circumstances you would have saved money by buying via conventional financing over leasing..." That sounds like a pretty BIG advantage to me, and the purpose of this discussion is to help mamamia123 ascertain whether or not they are getting a good deal, ie: saving money. So I think the lease discussion is germane to the questions on the board. IMHO mamamia123 should strongly consider purchasing the vehicle and taking advantage of the current interest rate incentives from VW. Eventually you then own the car and don't have to worry about getting zapped with a bunch of mileage and wear/tear fees when you turn in the car. | |
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I would love to be able to answer all of the above however; as I've said this is an individual question, and you have really responded to most of the negative stuff...you have your own reasons for doing what you are doing which is all that really matters. Having said that...I do have one very serious concern...The only Volkswagen Credit *subvented* programs in place right now deal with 5 Speed Transmission cars. And it is across the board, New Jettas, Passats(except 4Mo), Beetles and Golfs. The Residual on a 39 Month (Special Time frame along with 42Months)is 55% with a Factor of 0.00245. This is Based on 15,000 Miles and an Acquisition Fee of $490. This is not available for Tiptronic Passats, and I believe that you are looking at a Tip...So be CAUTIOUS... |
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if he thought leasing was a prudent financial move, do you really think you would get an honest answer? The numerous fees and poor interest rates in most every lease makes serial leasing more expensive than financing a car over five years at 8% (Especially if you keep a car for another year or two w/o payments!). After three years of buying a car, you can also "simply walk away"--but you will be able to apply your thousands of $$$ of accumulated equity to your next purchase. Better yet, instead of leasing a car in the $30-40K range as many do, smart people can scale back a bit and finance a $20K car over perhaps four years. Why would anyone want to let $15,000 drain out of their pocket over three years--and then sign up for another round and another and another... Buying a home and buying a car are considered smart; renting a home and leasing a car are not considered smart. Cars DO depreciate. But that's the point--they depreciate the most in their first few years--which means that the lessee gets to pay for ALL of this steep depreciation while reaping NONE of the benefits of ownership. To bring it around to the topic at hand: Everyone interested in leasing a Passat should take another look at buying a Passat over five or even six years. If the payments are still too high, they should consider buying a less expensive auto. |
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| If I could show you a lease example where it is cheaper to lease and finance the residual vs conventional financing at 8% would you then forever worship my financial godship? | |
| Hopefully it will take you a very long time to track down this super-duper leasing/financing deal--that way you won't be leading as many people into your Leasing Pit of Hellfire... | |
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Its interesting, my lease offer for a loaded Passat (MSRP 26,450$) with 1500$ down and a 2000$ trade-in for 39months at 259$/month has gone from an "amazing deal" to a horrible "satan" like financial deal according to some on this message board. It's good for me to hear from both sides. Oh well...Im going back to the dealer tommorow, I will get more details about the lease (negotiated price, residual and money factor), if things look "good" I will probably sign the paperwork...Ill keep you guys informed. Thanks, david |
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Wow...what a lot of activity there has been on this subject. Couple of points: Leasing can be a tricky minefield to negotiate. Here are some groups of people that leasing may be preferable to: 1. Mr. KeepupwiththeJoneses - The person who has to keep up with the latest and greatest in everything. This person, regardless of their choice of financing or leasing, will want to get a new car in 3 or 4 years, so leasing may be a better way to go, especially if they don't have a lot of money to put down. 2. Mr. NegativeEquity - Leasing is a much easier format to "hide" negative equity without the customer having to pay a large amount out-of-pocket. 3. Mr. Only"OK"Credit - If your credit is in the middle ranges, you may have to pay large interest charges to finance a car. However, you may be able to qualify for a lease, and then you're paying the same lease rates as Bill Gates would pay. Mamamia, the only advice I'd like to give you is that you should re-think putting as much money up-front as you are doing. One of the major reasons to put money up-front (besides lower payments) is to keep yourself in a positive equity situation. In a lease, GAP insurance is standard, so in the event of your car being totalled, you just walk away. Think about it. Jason P.S. I'm in a Demo now, which is probably the Ultimate lease situation, and the majority of the salesman here who own cars are in leases, so I don't think leasing is quite up to the "infernal" level. Its just a more complex equation. P.P.S. I believe VW Credit just extended the lease rates to all non-4-motion Passats. |
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Hi, From what I understand all leases through VW include gap insurance. This is good. I would have put down only 1500$ for the lease and paid the 300$ a month, but I had a trade-in that was falling apart and was losing value, so I decided to throw it in the deal to lower the payments. If I didnt have this trade-in, I wouldnt have put down more than the 1500$ that was demanded for the special lease offer. I agree, one should not put down too much cash on a lease. Im going down to sign the papers tommorow and pick up the car, Im pretty happy. Im going to be riding a 26K$ for 259$ a month...according to most people I know, they all told me I got a "good" deal. Anyways, I love this car and Im just glad I will be able to enjoy it for the next few years. BTW, I got VW to throw in a Passat car cover for free (retail cost is around 220$)  david |
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Sounds great to me. Make sure its the high quality car cover, there is also a cheaper one. Enjoy your car! If you really don't want to put that money down, just have them use your trade as your downpayment and keep ALL of your money in your pocket. I've even cut people checks for their car when they didn't want to put money down. {shrug} Its up to you. Jason |
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Hi, I want to add an in-dash cd player to my Passat. Tho Ive heard that adding aftermarket stereo components to the Passat, especially head-units, can be quite a pain in the butt especially if you have the Monsoon system. Can anyone recommend an in-dash cd player that will fit and look well in the Passat? By the way, my Passat will have the Monsoon system. Thanks david |
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