I've always bought cars, and I ALWAYS get screwed when its time to get rid of them. I can't find a buyer (at either the right time or price) the trade-in sucks, etc. In May I get the Mini, which means I must get rid of my 98 Sebring LXi. Options: Let the dealer pay me about ~$4000 less than its worth (really!!), or continue to try and sell it (no luck so far). I'm so sick of it that I have been considering leasing the Mini. I figure that a higher HP/different engine will emerge by the time my lease is over anyway and I may want to trade-up. Besides, if I am careful, I can keep it under 15K - I'm already doing that right now. Then I got the fact that there will be very little/no maintainence costs or hassles.

However, I want to "play" with the car, maybe add mods, aftermarket parts. So maybe i should buy it. Another advantage is that is "free" after you pay it off, and I know how nice it is to stop making that payment. But then, I don't want the Mini to become another VW bug, where the value of the car falls out and I get screwed once again when I go to get rid of it in maybe 4-5 years (which is about all the longer I plan to hold onto it).

Did you buy or lease? Why?

Did anyone take the Mini Select plan? I was also thinking of this to keep the payments down and get rid of it at the end of the term, hoping I can get enough to cover the balloon payment. Major fear: can't sell it for an amount close to the amount I need. (am I being paranoid about selling cars becuase of my bad experiences - or do you guys face the same issue?)

 

The only way you ever come out good on a car is to buy one that the demand is high on when it comes time to part with it. Right now, demand for the Mini's is at, what is probably, an all time high, due to the short supply. In 3 to 5 years I think the market will come down on them some as they become more plentiful.
I went ahead and bought mine outright. If I want to do something to it, I don't want to have to worry about violating some lease agreement. If, for some completely unfantomable reason, I go crazy and want to sell it tomorrow, there's no lease to try to get out of. I plan on having this car quite some time. However, if, in the future, I do decide to sell it, whatever loss I incur doing so will just be chalked up to an "enjoyment tax".

 

I went with the Owner's Choice buy/lease plan. In fact the last 3 new cars that I've bought, I've bought/leased. In 1996 it was a Chevrolet S10 Blazer, In 1999 I did a VW Beetle and a Dodge Durango. The reason I rather lease is because: you can get a new car every 3 years, you're always covered under warantee and if it turns out to be a piece of crap you can always give it back at the end of the lease. Oh and your payments are less than if you purchase. You don't have to worry about unloading your old car by trying to find a buyer. IMHO this is the way to go.

 

>>Did anyone take the Mini Select plan? I was also thinking of this to keep the payments down and get rid of it at the end of the term, hoping I can get enough to cover the balloon payment. Major fear: can't sell it for an amount close to the amount I need.

I think that fear is probably well justified. Here's an example.

With my MINI on the way I asked my dealer to run the numbers for me on the MINI Select plan. I said I'd be looking to finance/manage about $13,000 of the MINI's cost. The MINI Selection offer they came back with was: make payments of $168 for three years, then face a balloon payment of $13,860.

Two things wrong with that: one, in three years the MINI may not be WORTH $13,860 -- it'd have to retain 60-65% of its value after three years, which hardly ANY car does. So you're always "upside down." Two, I can make conventional finance payments of about $325 a month and OWN the thing outright after three to three and a half years.

So the way I see it, MINI Select exacts a heck of a price in return for a slightly lower monthly dent in your budget. Cut out one of two restaurant deals a month, suck it up, stay out of being "upside down," and own the car.

 

The bottom line: if you lease you will never, ever be without a car payment. If you're going to hang onto the car, or mod it in any way your only option is to buy. If you enjoy having a new car every few years and don't mind having a car payment every month, then leasing is for you. There is no right or wrong way to do it - it's all based on who you are, what you can afford and what you plan to do with your car.

I bought the MINI outright as I plan on keeping it forever. I doubt I'll ever get another (newer) MINI but I will definitley get more, and different cars.

 

Leasing does have the advantages of a lower payment and just being able to turn the car at the end of the lease and hope you don’t have an excessive mileage or wear and tear change. We pay cash and get new cars every two to three years as we are both high mile drivers and I just get tired of the same car after a while.

 

<< Two things wrong with that: one, in three years the MINI may not be WORTH $13,860

good point. however, the organization that publishes residual values for vehicles (forgot their name) said that the mini would retain most of its value (65%) after 3 years.

I've never leased a car, but I might consider it for my next car. I think leasing has an unjustified bad stigma ... there's excellent reasons to do it either way

 

Just looking at my own case, I can kick out $168 a month for three years with MINI Select and still owe $13,860, or kick out about another $5,000 over the same term paying back a conventional loan and own nothing. Seems like a $9,000 advantage to go the conventional route, and a no-brainer.

 

I bought my mini because I knew that I was going to take a perfectly fine car and take it apart and installed all kinds of "nasty" bits !

 

When it arrives, I'll take a conventional loan and then pay it off early. I like to modify my cars! I've only owned 2 cars in the last 15 years so I tend to buy them and run the wheels off. That's the only way to ever get your money's worth.

But then again, I'm a cheap guy too and I hate to make payments so I generally try to pay them off early even though that's not always the smartest economic decision.

 

I went with the Mini Select for a several reasons. I live in the middle of no where and I did not want to be obligated mile wise, as with a lease. I also did not want to be obligated to keep it for whatever the length of the lease may be. It is actually a 3rd car for us and I wanted to keep payments low. I can do mods to it or whatever I like. I also did not want to part with $23k all at once.
I know the flip side is the balloon payment and what the resale might be. So far I am pretty comfident that the resale will be OK. And, lastly in a year or two I might just trade it in on a convertible anyway.
Actually whatever anyone decides on how to pay for it is only secondary. The main thing is to get one!

 

i bought my car outright.. and now im having problems trying to sell it (i want the S). it might have been easier if it was leased but i dont have a job so i cant lease. if you can deal with having a basically stock car for 3 years then you wont have to deal with trying to sell it later on.
when i do get my S i am unsure if i am going to buy or lease...

 

Leasing only makes sense as a business expense write off. We bought our MINI and took a 36 month loan from peoplefirst.com (At 4.75 % APR which was the lowest rate offered by them back in September '02) with $5K cash down.

I prefer to buy cars for several reasons. I have leased once before and leasing is cheap upfront and expensive at the end. there are many hidden surprises in terms of fees and penalties when you turn in your car at the end of the contract. You have nothing to show for either. You basically rented a car for 3 or 4 years. Never again.

You will always get screwed with cars no matter what you buy. Right now I am in the process of selling my 2001 Chevy Impala LS to make room for my upcoming 2004 MCS. Have had 3 firm offers for about $1,500 under what the car is really worth.

Leasing is an option that has many ins and outs and therefore you must consider you options very carefully. The grass is not always greener on the other side (This goes for the whole concept of leasing).

Buy a car and enjoy it, put all the miles in the world and don't worry about having to turn it in pristine shape at the end of the contract. After all this is a special car = a MINI!

 

I leased my MCS as a form of behavior modification. Understand that I've owned an average of 1.4 new cars per year since 1976 I leased for 4 years to "scare" myself into holding on to a car due to the penalties imposed from early lease termination.

 

as opposed to fins "behavior modification", I've accepted that I go thru cars quickly, so I purchased. I also put on major mileage, at least 25k a year, so a lease would've been straight up dumb for me!

Cheers,
Ryan

 

I bought because I plan to mod the car pretty heavil over the years that I will own it. I would tend to think that a lease would limit what you can do to the car.

Just my $0.02. Motor On!

 

My MINI is all mine--don't know what the mileage restrictions on MINI leases are, but I certainly wouldn't have wanted to be strapped with them once I discovered how truly enjoyable it is to drive. Leasing is like renting your own car--for a ridiculous amount of money in the long term. Just my opinion, though.

In ownership,
~Kelley

 

All my past cars were bought "at" or "below" invoice price until the MINI. :evil:
Not wanting them to squeeze any more $$$ out of me, I paid CASH

No coupon book, no mileage limitation, no balloon payment!
Do all the mods and auto-x to my hearts content

 

I purchased mine with a conventional loan, but thought about the lease. My decision was made on the hope that this MINI can be my daughter's first car. Of course, that is still quite a few years away

 

I love this car. I am buying this car. I have leased my last 8 cars, some good deals, some bad deals. Leasing is less of a deal than it used to be. I always turn in my cars at the end of the lease in pristine shape and under the miles. I know that whoever gets one of my lease cars benefits. I am going to benefit now! It's a keeper :smile:

 

I bought a used Honda Accord for my wife- she was due for an upgrade. Got it on a lot, and I was paying $195 a month. Decided to put my house up for collateral, put the new MINI and the Honda on a longer term home equity loan, and now pay $250 a month for both cars. I won't have them paid off in 7 years, but for $55 more a month, I'll be driving my MINI the whole time. I can live w/ the longer payoff. I just got the title in the mail a couple of days ago. MINI is mine. Hope I can keep the house!!!

 

I bought my MCS.
I traded in my 2001 Pathfinder....
gave the dealer an addtitonal $4K...
and
drove away w/ my PS 2002 MCS.

I buy cars....
I never lease cars....
just my way :smile:

Peace,
D