Quote:
Originally Posted by Rafichicago
By leasing you are technically paying for depreciation plus use. It’s not like depreciation magically disappears. Majority of BMW’s that we all like have terrible depreciation. It comes with owning so called luxury premium brand so you can more or less predict that it’ll be worth 50% after 3-4 years or so. It makes sense for people owning business than they write that depreciation as an expense. Than comes usage. If one drives a lot it hardly ever makes sense. The way I see leasing is just like any other expensive hobby that in some cases might be easier on the wallet in some circumstances, but presenting it as some magical solution… I like having no debt and no payments. The only debt I find smart is business related. I hate consumer debt. I am and have been against it for many reasons. To each it’s own.
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What it does is present what the depreciation will be upfront so its not a variable. You drive the car for a number of years for a set cost and thats it.
Thats great that works for you, just don't present what works for you as being the only intelligent option (not saying you have done that but others do). Debt to me is a tool, if I want to aquire a $140,000 vehicle for 3 years I don't see why I would want to pull $140,000 in cash out of performing investments to avoid paying 4% interest and making monthly payments...