If a Car Dealer DOES THIS, LEAVE IMMEDIATELY | 3 CAR LEASE Red Flags

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Although leasing a car in this market is not really advisable, there are still some good deals to be had out there, and some folks may still want to take their chances. For these consumers, Ray and Zach present 3 leasing red flags that they should know before stepping foot in the dealership, with a real-world example illustrating each one. If you see any of these, change the deal or get out!

[rntt]

$71, 000 for a Grand Cherokee is a world I don't want to live in...

[mdeluxe]

True story. Leased a car for five years. Had paperwork that said i could buy the car for X dollars plus 295 filing fees. I had temporarily misplaced the paperwork but years later still remembered the numbers.

Went to the dealer and told them that i misplaced the paperwork but would like to ourchase the vehicle.

They told me that it was a 3, 000 filing fee to acquire the paperwork and to get the paperwork they needed to run my credit. A credit application was slid my way. Warning bells sounded off. Stood up and walked away.

Ten minutes later I found my lease paperwork and called the bank who owned the lease. They confirmed that the dealershi wanted to rip me off because the car was worth ten thousand more than what I had left to pay.

I went to my credit union and financed the car through them. Done.

Morale of the story, when you are done with a lease, the dealership should be your last stop. Not your first. Do your homework and keep your records.

[joeythedime]

Whom ever flips a one year old +$80k Expedition and eats ~$6k in negative equity - kind of deserves whatever the deal is...That's crazy.

[tonyferdaise]

Another red flag was, why was this person getting the Jeep when his Ford was new.

[bobbymartin]

I was just at a Subaru dealer. I asked if they could go 15% off the selling price. They said because it’s their most popular car, there’s no way to negotiate that price. Long story short, I left the dealership.

[deetorrance]

We’ve lease our vehicles for years. A couple times we paid off the residual and kept the car for a bit. We drive only about 4k miles a year and like not having to worry about repairs, plus having updated features. Currently we have a paid off Infinity G50, but no deals out there so just keeping it until deals come back.

[XtremeTKD]

Thank you both for your helpful tips! I just got a new lease on an Acura Integra and the deal was amazing as we worked on discounting the car and negotiating the most for my trade in. 😊

[mainebiker]

Great video. U guys just explaing the exact question i had to.

[STUNN]

can you guys do a video in negotiating a lease and the maths involved in negotiation, getting a good monthly payment on a lease

[josephszot]

Thanks Ray, I never knew the car I'm leasing was also being sold to another company.

[MPWITA]

I think you forgot to mention Residual value. It can greatly determine cost to own. On the flip side, it seems like leases can be easier to know what you are getting as if you take your total of all payments and add to the residual value, can compare with the expected OTD price before financing to see what the lease is really going to cost you. On a purchase, you have the OTD and payments, but no idea what you will be able to sell it for down the road. Still, if the cost to lease is almost the whole value of the vehicle, something seems wrong. Some vehicles don't lease well, others do.

[dalenihiser]

I think you need to address the lease "money factor" and how dealers are able to mark-up the money factor to create more profit. A person needs to know how to convert a lease money factor into an APR for the sake of comparison to available interest rates. On other half the lease coin, the consumer must know what the depreciation of the vehicle is based on the agreed upon mileage and lease term. There are lots of ways to get screwed on a lease if you're not prepared.

[wendyeroche]

I have leased several cars in my lifetime..I really like the lower monthly payments.

[thisismekopokszki]

Tips on lease ending and getting a new one or lease trade in same dealership.

[oliver.]

Please, do a video about lease extension. Is it a good alternative?? When should you do it?
Plus, another thing to mention is that if you do a Lease you are stuck with high interest rate for the 36 months. Now, with the current high interest rates, you better off finance it and in a year or two negotiate better rates when rates start to come down again.

[hber]

I could sure use your advice on a "proportioning" valve for a 1996 Tacoma. Brake fluid is leaking from the valve and NO ONE will repair it because their suppliers no longer sell it, and if they can't get it from the supplier they can't offer a warranty (they won't let me walk in with "your part you bought off ebay"). This is Toyota Tacoma! One of the most popular trucks around and no one will fix it! Do you have any advice how to get my brakes fixed? Thank you

[edwsal]

Be nice to add in the possible extra cost for the increased interest rate. The Ford might have been at a lower interest rate and the Jeep higher.

[MrMustangdave]

Great video, but what I'm not understanding is the benefit of no money down as opposed to putting money down. If I put money down, I have a lower monthly payment. If don't don't put money down, I have a larger payment. According to this video, If I put money down and the car is totaled, that money is lost and I'm not getting it back, however I still maintain a lower payment if the car is totaled correct? I've never leased before so forgive my ignorance!

[salimahhossain]

Please do an in depth video on leasing. My husband leased two Honda sedans and the term on both is coming to an end next month. I want to buy the 2022 and return the other 2021 Honda, and get a newer model. I am confused whether I should lease or buy the newer one. I never knew you could sell a leased vehicle and the only option open are to return or buy off the lease: is that correct? I really need help

[Smanthers]

When I put $0 down I still have to pay x amount for acquisition fees, first payment and security deposit etc. can I pay taxes on TOP of that? If fees and everything are say $1800, can I put $2k down for fees and taxes or should I still stick with 0 additional down payment