# Lease, Re-lease Or Buy



## shaela21 (Aug 16, 2005)

I leased a 2005 Sierra and in 2 months the lease expires. Went in to see the dealership today, and I have 3 options:

Re-lease the truck for 3 years;

Lease a new 2008 4X4 extended cab with Active Fuel Management (any true thoughts on this); or

Buy my truck and finance over the next 5 years.

All the payments for these options are within $30.00 or each other. The reason I leased in the first place was to determine if this truck was for me, and having a 1/2 ton has been great. New truck = new warranty. Re-lease = a lesser warranty that I have to pay for. Buy truck = 3 year warranty (same as the re-lease warranty) and finish the last 2 years of payments with no warranty. They are telling me that over the next 4 years my current truck will start to cost money (more repairs and maintenance costs), and obviously they feel the new truck is the way to go. Either of these trucks will tow the 21RS, or even a 25 foot Outback comfortably.

So my question is this: What would you do this situation? Any advice or thoughts that I should consider? Obviously, I cannot determine if my truck will last the next 20 years with regular maintenance as stuff does go break and requires fixing.

Thanks for the thoughts.


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## recon (Jul 15, 2007)

It might be a good idea to look around a bit as many deals are out there right now as demand for SUVs and pickups is low.

Jeff


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## Ridgway-Rangers (Apr 18, 2008)

I'm thinking Jeff is right. The new trucks are getting great milage without a load. Throw a trailer on them and you are back where you started. I'm betting you could buy new for close to a lease price.







,
Brian


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## California Jim (Dec 11, 2003)

Consider getting out of the lease cycle and buy new. There are very large discounts and incentives available. Even sweeter is when the vehicle is paid off and you keep driving it for several years. The money you save will far outweigh any repairs you may have to pay for.

I've never been a lease fan as they tend to hold you in a permanent cycle of making payments.


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## shaela21 (Aug 16, 2005)

I am leaning toward getting out of the lease cycle, but the payments on the new truck are about $300.00 more a month, but I will see if I can work on that.

Thanks.


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## daslobo777 (Mar 24, 2007)

My opinion on leasing is good for people who always trade in a vehicle after 2 years or so. They lose value on it and start over with payments anyways so leasing payments are typically cheaper than buying. If you plan on keeping a vehicle then I think you should buy as you come out ahead in the long run even though you put more money out in the front end of the deal. I agree with the others that there are soooo many good deals right now if someone is in the position to buy.
Cristy


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## Airboss (Jul 14, 2007)

California Jim said:


> Consider getting out of the lease cycle and buy new. There are very large discounts and incentives available. Even sweeter is when the vehicle is paid off and you keep driving it for several years. The money you save will far outweigh any repairs you may have to pay for.
> 
> I've never been a lease fan as they tend to hold you in a permanent cycle of making payments.


I couldn't agree more. Plus, this would give you the chance to upgrade to a 3/4T or 1T if you were considering it.


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## shaela21 (Aug 16, 2005)

I agree as well. I am looking at getting out of the leasing cycle, but now I just need to find a new truck to pull the OB. I even walked onto the Ford lot today and looked, and there are some better deals there then the GMC lot, plus my FIL is a manager at the Ford dealership. Another advantage that I can use at the bargaining table. Tomorrow will be interesting.

Cheers.


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## Y-Guy (Jan 30, 2004)

The trucks and SUVs are piling up on dealer lots. This weekend one guy said that a very regular customer was flat out told they wouldn't take his 2 year old truck in on trade period. Even NADA and KBB have said their guides are way off on values as the market for them has dropped off. You should be able to get a very good deal if you want a used one (like your trade in).


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## shaela21 (Aug 16, 2005)

It is the opposite up here. There were about 5-1/2 tons on the GMC lot, and 2- 150's on the Ford lot. And the interest rates on a used truck are way too high. The axle strike is still affecting trucks in this city anyway, though the dealerships figure that they should start seeing new inventory soon. There are piles of 1 ton trucks on the lots, just not a lot of 1/2 and 3/4 tons.

I did end up making up my mind though. Today I bought a 2008 Sierra 4X4. No lease, just affordable payments (it being new allowed for a much lower interest rate) and after it is done, then I will own it. The lease cycle is gone.


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## skippershe (May 22, 2006)

Congrats on your new truck! 

Glad you were able to finally break the cycle and give up those nasty lease payments


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## Sayonara (Jul 23, 2007)

Congrats on the SOB truck and ridding yourself of the lease payments !!!


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## ramartina (Feb 16, 2008)

Unless you are way over your mileage limits or there is some damage they are going to ding you for (and they always find something) buying after the lease is usually not a great idea. They set the buy price when you originally began your lease. It always ends up being for a number higher than you could buy the same model on the open market. Dealers and manufacturers want you to lease and then buy out. Your lease payments paid for all the depreciation plus some extra. Buying it out is mostly pure profit for them.


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## KosinTrouble (Jul 18, 2005)

Congrats you are going to love that truck...

I just picked up my 2008 crew silverado 4x4 on Monday. It has the flex engine which drops down to 4cycl. Its been awsome so far. Love seeing that gas consumption drop to 9L-10L/100km!!! Way better than the old 6L gas jobby I used to have.

I decided to lease mine as I am thinking we are going to sell the 26rs in a couple years, and get a 5th wheel so I may end up needing a 2500. But I think your decision to buy was good based on your needs!

So again Congrats.

Kos


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## Collinsfam_WY (Nov 9, 2006)

Congrats on that new Jimmy! It will do a fine job towing your Outback and you have many fun times ahead of you.

-CC


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## Oregon_Camper (Sep 13, 2004)

Congrats on the new truck!!!


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