2014 Honda civic LX price?!

[wallyuwl]

Originally Posted By: NHGUY
Lease a Dart instead.


This. If you're going to lease and not buy it at the end of the lease, there is no need to pay more for a car (Honda) that is expected to have minimal repair costs over the life of the vehicle.

 

[lawman1909]

Leasing is not debt. I am simply paying for the use of the car. Debt is borrowing money, or some other tool or object, in this case a car. But I am not in debt since I have the money for each lease payment, so in reality I am paying for the use of the car and the mileage, wear and tear, etc. I instill on the vehicle.

 

[AKhan87]

Originally Posted By: lawman1909
Leasing is not debt. I am simply paying for the use of the car. Debt is borrowing money, or some other tool or object, in this case a car. But I am not in debt since I have the money for each lease payment, so in reality I am paying for the use of the car and the mileage, wear and tear, etc. I instill on the vehicle.


absolutely love your logic, its flawless...

 

[Bandito440]

I don't have the patience to type out a personal finance lesson here, but just think of it this way:

If you finance a car for 36/48/60 months, you'll own a car in some number of years. After leasing for that period of time, you'll still own nothing. Interest rates are very low.

The cheapest car is the one you own now though. Can you keep your current vehicle running for a while? If you don't want to put yourself into debt, keep your current car until you can pay cash for the one you want.

 

[lawman1909]

Unfortunately I am leasing a Chevy cruze 2012 now. The residual is $12,900. From what I have been told by KBB, other dealers, mechanics, etc. the car in excellent condition is about $9,700 max. So buying is out of the question. Plus it has a horrible tranny that GM does not even acknowledge is a problem. First and last GM I will ever have

 

[sciphi]

Isn't that a Cruze LS with the 6-speed auto? About the worst engine/transmission combination possible in a Cruze. Slow, gutless, and thirsty. Plus it's a LS, which means it's bare-bones on the inside. That transmission does better behind the 1.4T engine, although it still manages to neuter that engine on a stock tune.

Dealers can and do sort out those 6T40's. Sounds like your dealer is one of the many who doesn't bother with warranty work, especially troubleshooting a transmission. There have been several reflashes available, and the later ones did a decent job of fixing some of the erratic shifting issues. Strangely enough, those issues mainly went away with a aftermarket tune unless something was physically amiss with the transmission itself. Just another reason to get a manual. At least the shifting issues in those can be remedied for about $45 and 30 minutes swapping out the fluid!

If you do get a Civic, let us know what you think about its CVT. I've heard good things about the one in the Accord.

 

[SEBZX79]

ThAt sounds high, I am in a car biz. Go ask for a lease on the accord it should be lower. I sell Hyundai and you should be able to lease a base 2014 sonata for around 270-280 a month with only first payment down. Elantra lease is higher...

 

[Pop_Rivit]

Originally Posted By: lawman1909
Leasing is not debt. I am simply paying for the use of the car. Debt is borrowing money, or some other tool or object, in this case a car. But I am not in debt since I have the money for each lease payment, so in reality I am paying for the use of the car and the mileage, wear and tear, etc. I instill on the vehicle.


Your statement makes it clear that you know virtually nothing about personal finance. And since you're set on leasing, it's clear that you don't understand money management and wealth building in general.

For the general buying public, leasing is an extremely bad financial move. You're making rental payments on a vehicle that you'll turn in after you've paid more than the depreciation-2 or 3 years worth of payments and nothing to show for it at the end. Since leasing isn't considered debt by the Federal Trade Commission, there is no truth in lending statement needed. Therefore the unbelievably high interest rate you'll be paying isn't disclosed to you. However, almost every other venue considers a leased vehicle as debt.

There is a reason why leases are pushed so hard at dealerships. Car companies and dealerships make more money from a lease than they do with either conventional financing or cash purchases. It is a way to get someone who can't think beyond a monthly payment into a new car (or more car than they can otherwise afford).

Broke people think "how much down and how much a month". Rich people think "how much". Which category do you want to be in?

 

[Hokiefyd]

Originally Posted By: lawman1909
So my dad is good friends with a GM at a Honda dealership and he knew I needed a new car. So we went in today and the quote they gave us (really him) on a lease was $310 a month for 36 months! What?! The way I calculate that, plus the $11,800 for the residual is a wopping $22,960! And this is for a car with an msrp at $18,900. What the heck!? Any suggestions on how I should approach him about this price? He said it was "Employee pricing".. I call bull....


I'm not going to try to talk you out of leasing. I think you've already demonstrated to yourself that the math doesn't work. I will, however, say that I think you'd be FAR ahead if you made a deal to BUY that car and drive it for a few hundred thousand miles. FAR ahead.

 

[Bandito440]

Originally Posted By: lawman1909
Unfortunately I am leasing a Chevy cruze 2012 now. The residual is $12,900. From what I have been told by KBB, other dealers, mechanics, etc. the car in excellent condition is about $9,700 max. So buying is out of the question. Plus it has a horrible tranny that GM does not even acknowledge is a problem. First and last GM I will ever have

This is the evidence right here that leasing is a poor choice.

If you don't have substantial savings and can put a fair bit of money towards a car, you may want to look at a used vehicle. We all like flashy new things, but you should really consider doing what's best for yourself. Buy something you can afford, pay it off, maintain it, and keep it. Just being here on this site shows that you're willing to do vehicle maintenance.

We have to get people away from thinking in terms of "can I afford the minimum payments".

 

[lawman1909]

It can be a good choice, especially when you look. For my mothers lease, she has free oil changes for the lease period, and 270 a month on a $25K car. And that is with 0 down. When you look, it can be better than buying used, and sometimes used is better.

 

[Hokiefyd]

Originally Posted By: lawman1909
It can be a good choice, especially when you look. For my mothers lease, she has free oil changes for the lease period, and 270 a month on a $25K car. And that is with 0 down.


To truly compare to buying, you have to look at the entire picture. What kind of vehicle is this, what are her mileage limits, etc?

 

[surfstar]

CPO

You can still get lower interest financing (TO PURCHASE) and buy through a dealership. Makes a used car transaction, more like a new car one.

But continue leasing and telling yourself its the way to go.

If you actually want to listen to advice, as others have hinted, don't lease or buy a new car every 2-3 years. This is setting yourself up for financial...what's the word you used...? ...slavery.

 

[strat81]

Originally Posted By: lawman1909
So my dad is good friends with a GM at a Honda dealership and he knew I needed a new car. So we went in today and the quote they gave us (really him) on a lease was $310 a month for 36 months! What?! The way I calculate that, plus the $11,800 for the residual is a wopping $22,960! And this is for a car with an msrp at $18,900. What the heck!? Any suggestions on how I should approach him about this price? He said it was "Employee pricing".. I call bull....


It's not a straight apples to apples comparison, but a used 2011 Civic with ~36k miles runs about $15k for an LX or EX. IOW, that residual they quoted you sounds crazy.

Don't forget that you need to pay tax - which is probably going to be around $25-$35 per month depending on your local rates.

Either way, the "deal" you were quoted sucks.

 

[yesthatsteve]

Ask the dealership if they'll sell you a 3-year-old Civic for that $11,800 residual they're quoting on the lease.

With good credit, you can get 3% or less on a 4 or 5-year loan for a used car (Bank of America gave my wife 1.9% on a CPO Accord six months ago). Zero down and 5 years at 3% on a CPO Civic LX (which you could get for ~$15k) equals a lower payment than you were quoted for a new-vehicle lease, even if you finance your sales tax.

 

[lawman1909]

Way to bend and contort what i said. Debt is slavery in some fashion since you are paying to be financed (Using a loan to buy something you CAN'T afford). However, with my situation and leasing, I already have the money set aside i would need for my ENTIRE lease period, 36-48 months depending on several factors. So while i am paying the monthly lease payments for my use of the car, I am saving to buy it in the end. Leasing is paying for the use you put on something, for instance a home or car. Debt is "purchasing" with the banks money a home or car, and calling it yours, but you now are paying far above per month what you would pay for a lease. Getting a loan doesn't make something yours; it is the banks.. all you do is pay them for your use of the car. You pay so much more for a loan than you would for a lease.....

 

[Hokiefyd]

Originally Posted By: lawman1909
However, with my situation and leasing, I already have the money set aside i would need for my ENTIRE lease period, 36-48 months depending on several factors.


If you already have the $12,000 in cash to fund the entire lease, then I whole-heartedly recommend to you to find a $12,000 CPO Civic somewhere that was traded-in on a new one, pay cash for that, then start saving or investing what would be your car payment. We found our '08 CR-V in '11; it was a one-owner trade and the local dealer from whom we bought it was also the original selling dealer, so we had the full history on the car. MSRP was about $30k, and we paid about $20k, or 1/3 off new. If you can find a CPO Civic for 1/3 off new, you're right at the amount that it appears you have in cash.

 

[Bladecutter]

Originally Posted By: lawman1909
Way to bend and contort what i said. You pay so much more for a loan than you would for a lease.....


I'm not going to get into the whole Payments vs Buy Outright vs Lease debate that everyone else is dragging you into right now.

My question to you:

What are you looking for at this point in time, from this thread?

Just about everyone has already informed you that the lease rate you're being offered is poor. Some have even offered that you look at different vehicles, which would give you not only a lower lease price, but more car than the Civic you were looking at.

So, aside from arguing with several people on here about your financial discipline, what's left in this thread that you want to learn?

BC.

 

[Mr Nice]

The new Mazda3 is a great car in the same price range as the Civic.

 

[iahawk]

There is no one answer to which is better, to buy or lease...the answer is..it depends...depends on how long you keep cars, how much you can afford, what type of vehicle you're looking for..depends on many factors.

The only caveat with the "always buy your car crowd" is that the average consumer likes to trade vehicles every 3-4 years. Saw it a million times when I was in the car business...typical guy comes in and trades a car that he still owes a ton of money on...has nothing down and rolls all the negativity equity into his new loan...for 5, 6 or even, god forbid...7 years!

So he is absolutely buried in his 'new' car with a 6 year loan...and guess what he does after 3 years? Starts shopping for a new car...this horrible cycle continues until he's so buried in his car that without a ton of money down he can't trade it in anywhere.

This is why car dealers like leases...you make it possible for that customer to get a new car every 2/3/4 years with little difficulty. We didnt make any more money on leases, we just guaranteed ouselves a steady supply of customers who weren't so buried in their trades that it was actually pssible to get them into a new car!

Best scenario? Buy your car and drive it for 15 years and put 200K miles on it (thats what I do)....but if you are one of the many who habitually trade vehicles every few years (of course, none of us here on BITOG do this!)....leasing is a legitimate option, assuming you do your homework and find a great (meaning highly subsidized, with hugely inflated residual value) lease deal.