There is an entirely different way to look at this equation that most people don't see. Leasing can be viewed as just another way to finance. The only way to make a truly informed decision is to calculate the imputed interest rate on the lease (us accountants know how to do that, and I would always be available to do that calculation for anybody on this board). Further, you have to have a very realistic (conservative) view of what you could sell the vehicle for on the open market at the end of the lease.
Additionally, with leasing, you pay your sales tax over the life of the lease, not up front - so you are in essence financing less.
With that information, you can calculate how much interest you are really paying over the life of the financing.
It's a very complicated topic, and my explanation probably only makes it worse. I have gone both routes, but only after very careful consideration and calculation.
-Erik
Additionally, with leasing, you pay your sales tax over the life of the lease, not up front - so you are in essence financing less.
With that information, you can calculate how much interest you are really paying over the life of the financing.
It's a very complicated topic, and my explanation probably only makes it worse. I have gone both routes, but only after very careful consideration and calculation.
-Erik
