What would be the best choice for me finacially?

Question

My 2004 honda civic ex 2 door lease is up soon, and i dont know whether it would be better for me to get a new lease for $200 a month for 3 or 4 years...or to buy, for example a 2004 toyota corolla for $14,500 and finance it for $150 a month. but then if i buy, in 7 years or so i might get stuck with a $700 repair for something.

if i lease, more per month, but no major repairs down the road, if i finance, cheaper now, but might have expensive repairs in the future.

im young with not much money for the next several years so i need to know what would be finacially best for me.

so should i look to buy used or lease new?

and i dont want to buy out my lease.

any ideas and advice is greatly appreciated!

Answer 1

Keep the Civic. Buy out the residual and keep the car you have.

Answer 2

If you don't posess a crystal ball which tells you what's going to go wrong with your currenr vehicle, and can't afford to fix the probleb, then it's really a no brainer...isn't it.  A car is not a good investment. Chuck it and get the new lease.

Hope this helps

Cheers

Answer 3

Get another lease

Answer 4

Leasing is basically just renting a car.  Toyota is a very reliable manufacturer, so it will last you beyond 7 years.  You should finance and purchase a vehicle; after it's paid off, you won't have any more car payments to worry about.  If you got a $700 repair bill in 7 years, that's 2 years after your last car payment (if you had a 5-year loan), so $700 for 2 years is pretty good, instead of having paid $200*24 months=$4,800 for a lease in the same amount of time.

Leases are good if you like to always have a new vehicle, or drive cars you can't normally afford.  Owning is good because after the car is paid off, you no longer have payments and you will always have a vehicle to fall back on.

Answer 5

Buy the Corolla and finance it at at least $200.00 / month if you can.  The shorter the term, the higher the payments, the less you'll pay in the long run in financing charges.  Then once it's paid off, you won't have monthly payments so you'll be able to afford that $700.00 repair when it comes along.  

Also, get an extended warranty (if it's offered and you can afford it).  That may get you through much of the financing period.

Answer 6

There are new cars that you can lease for less than $200 a month.  If that is your price point, I would lease a new one and have no repair bills for the next 3-4 years.  Any car that is already 4-5 years old will eventually need maintenance and repairs + tires

Answer 7

get whatever is cheaper