Why is CAR LEASING so cheap?

[@DefinitelyNotAGuru]

✅ 𝗟𝗲𝗮𝘀𝗲𝗟𝗼𝗰𝗼 : leaselo.co/notaguru-car-leasing 👍 𝗖𝗮𝗿𝟮𝗖𝗼𝘃𝗲𝗿 : car2cover.co.uk (USE CODE JIM10 for £10 OFF)

[@ashb8572]

Great content as always. Well explained. It's a shame this type of video is needed for some to understand your advice/ help

[@DefinitelyNotAGuru]

Glad you liked it 👍

[@klackon1]

I purchased my last five cars for cash: it didn't save me much. Three of my friends, who are not exactly short of a quid, always lease their cars and have done so for several years. That informed me that leasing is the way to go for my next car. Your videos have actually backed up their choice of lease over purchase.

[@davehorton7712]

Hi klackon, in general I agree with you but to do the same with my new BMW X3 the cost jumps very high, the best deal I could get was £875 per month for 36 months plus £2.5k down payment, and then it would be an 8 month wait. Will look to lease if we decide on a middle of the road car next time

[@DefinitelyNotAGuru]

Thanks for sharing!

[@DefinitelyNotAGuru]

Always shop for the deals and you’ll do well

[@alanlee2751]

Great little vid Jim. There are lots of 'overheads' that a main dealer needs to cover within their profit margins, so we all need to invest time and effort is hunting down the best deal - especially with new car prices shifting ever upwards, and every dealer looking to flog us GAP insurance, paintwork protection, stain guards for the seats etc etc etc.

[@DefinitelyNotAGuru]

👍👍👍

[@koldice100]

Hi Just wanted to say thank you. I have been buying new cars mainly bmw for over 40 years. I decided to go electric after retiring. I came across of your videos and followed the link and leased a small car ie ORA I know you don’t like them but seriously a fantastic little car. It’s so cheap too I pay £120 a month and if I include what I paid upfront it’s 180£ a month for two years. So thank you.

[@DefinitelyNotAGuru]

Thank you! I do like them actually kzbin.info/www/bejne/bImsgJWClKanr7Msi=M0DQgdwCrT3Y8PeQ

[@PhilipStanley-r7t]

I am on my 3rd lease car. Would never go back to anything else. The costs can be set to suit your budget. There are often really good deals. You can add options (as long as it's not a stock car) again to suit your budget. And you get a brand new car every 2/3/4 years. Plus it is so much cheaper than PCP You are never going to make money on a car so it's all about limiting the loss

[@DefinitelyNotAGuru]

Exactly

[@jockster5525]

Happy to hear this from you, appreciate your efforts on the subject. To many people it's a different situation and one they've never considered previously...we all look for the catch ..🎉

[@DefinitelyNotAGuru]

Thanks Jock 👍

[@andrewjones5570]

Good vid Jim, clear & concise

[@DefinitelyNotAGuru]

Thanks 👍

[@robertmacintyre8065]

Great video again, Jim. I always had leasing at the back of my mind for my next car but thought it would be mega-complicated. Your videos "cleared the fog" & just recently got my first ever lease car ( which is also my first ever 'brand new' car). It was much simpler than I originally feared. Thanks again! 👍

[@DefinitelyNotAGuru]

My Father-in-law has just done the same 👍

[@timothydenyer7749]

no idea why you thought you needed to justify your comments... keep up the great work!

[@DefinitelyNotAGuru]

Thanks

[@DavidBoreham-kk9dx]

Thanks Jim another very informative deal I also think some of the comments are people who have either brought outright of financed a car on pcp without checking all the options available to them I remember one of your vid where you got a top spec skoda for less than the cost of a base spec one

[@DefinitelyNotAGuru]

Yeah, some of the comments in that Corsa video were people genuinely a bit confused and some may have had ulterior motives but quite a few were from people who probably breathe through their mouths exclusively. 😁

[@SDK2006b]

We are leasing two EV’s - A 2024 BMW iX and a 2020 Polestar 2 (Combined new value of £140k) for £850 per month. This is good value - Yes it’s a lot of money to some people, but this would be over £2k a month using standard dealer ‘purchase’ options.

[@DefinitelyNotAGuru]

Great 👍

[@kiwiqi8852]

I got the below response from one of them after I began asking them questions: "We cater to a certain type of client that pays cash, doesn't ask too many questions and in return we provide a car and don't run any checks, I'm not sure we are the right company for you."

[@DefinitelyNotAGuru]

Sorry what? one of who???

[@Soulboy63]

deals look good. I brought a Merc GLC , 2019 , love the car , but devalued 9k , 10 k miles , 18 months , that would pay the lease..Bonus is I get a new car & under warranty .I always brought 1 year old , maybe I been wrong all these years.. But values went up 15 % then down 15 % I guess ??? Just liked houses !!!!

[@DefinitelyNotAGuru]

👍

[@alanfurness8466]

As always very good sensible and informative on a subject that not everybody understands. We'll done Jim.

[@DefinitelyNotAGuru]

Not many actually. Cheers Alan

[@davidhayes4814]

Good little video. I guess that there are a few other factors too. Interest rates may alter the balance, particularly between cash purchases and leasing. The economy has become addicted to historically cheap money/finance for over a decade. Leasing is favoured too, if you do large mileages …. The traditional 8p per mile excess is hardly much of a penalty. That is why we batter rental vans up and down the M’way. On the other hand, if you have some low mileage tasty morsel in your garage ……..

[@DefinitelyNotAGuru]

👍

[@DaveElby]

Discussing with my partner the option of an EV lease vs buying used. As a Vet, she is a stereotypical Vet from a car ownership perspective. The current 2011 Seat Ibiza has a few dings, relatively high mileage and not the world's cleanest example of a used car. Vets are renowned for treating cars simply as a tool and not really taking much care of them. Could you / have you done a video on what happens at the end of a lease; pitfalls, must-do's and information about wear and tear, car condition and return terms please? It would help her understand the longer term obligations of leasing. She's concerned about upkeep and that she would not be able to return the vehicle in the condition the lease company would expect. Thanks.

[@DefinitelyNotAGuru]

Yes I have, have a search around on my channel page. There’s one on the downsides of leasing and one on our own family lease car return (VW Touran) - if the car is going to be too badly abused you’d be better off buying a used car but if it’s usual wear and tear then a lease shouldn’t be a problem.

[@MM-zc9uq]

Agreed. Clear and concise. But most brokers charge a fee, don’t they? Whenever I’ve looked / dome my research PCP comes out better. Current car 3 series 320i m sport BMW. This was £1500 deposit at 385 a month. Currently have a few grand equity - same car now stupidly priced...

[@DefinitelyNotAGuru]

Fee is usually between £99 and £300 as they earn next to nothing in commission on the lease usually. Shop for the deal and not the precise car and you’ll often get something far better for your money. Or similar to what you’re after for far less.

[@edwardedwards5402]

Great video Jim 👍

[@DefinitelyNotAGuru]

Thanks 👍

[@tommym1966]

Until I really started looking into leasing I thought there had to be some kind of catch. If you're flexible there's some amazing value to be had.

[@DefinitelyNotAGuru]

That’s the key, being flexible and going for the best deal rather than a very specific car. If you get that bit you’re off to the races 👍👍👍

[@MrWobling]

How do you deal with the other-half objection to leasing of "yes but if I own it, it doesn't matter if it gets scratched".

[@DefinitelyNotAGuru]

Grow a pair 😁👍

[@MizraPaul]

Also any VAT paid by the leasing company at the time of the new purchase is recoverable from HMRC and then they pay a percentage back to HMRC of what they sell the vehicle for at the time of defleet.

[@stevebatt9643]

I was always wondering about this. If the lease company pass on some or all of this 20% saving to the customer then this alone represents a huge saving to the customer over an equivalent private purchase or pcp or hp deal….

[@DefinitelyNotAGuru]

👍👍👍

[@davesimmons7907]

Another great video Jim. Very informative as ever

[@DefinitelyNotAGuru]

Thanks Dave

[@markmahood3093]

Also. Always ask the lease company if that's the best price. I've had multiple lease cars and about half the time I've got £10 a month taken off and once the admin fee. Anything is better than nothing!

[@DefinitelyNotAGuru]

👌

[@davehorton7712]

have use car2cover for 3 products, compared them against several others and yes car2cover represent excellent value for money, hope you get your little slice, they did say lots of people who want cover do mention you

[@DefinitelyNotAGuru]

Cheers Dave, great folks there and good products.

[@adrianwalsh896]

Well explained Jim...👍

[@DefinitelyNotAGuru]

Thanks Adrian 👍👍

[@KingSadim]

I think it depends on the deal you get for cash, the car and second hand market. I got my car for £36k nearly new, I got it on Hire Purchase over 5 years, with my £10k deposit I owed £32k at £560 per month. With second hand prices at the moment I was in positive equity and that positive margin is increasing every month. I like having an asset, paid £18,300 for my previous car and sold it for £14k 3 years later, no lease deal can match that.

[@DefinitelyNotAGuru]

You’re unlikely to repeat that in the current climate mate. Covid and the resulting shortages changed things for a bit and some people did very well but things are a bit different now. You also always need to factor in the costs you don’t have on a lease like MOTs, tyres, repairs (for a car without manufactures warranty for your entire ownership) and the fact that you’ve got a lot of cash invested in it (therefore opportunity cost is a factor). Leasing however, is not for everyone, nor should it be. It’s just another option but one that many blindly overlook.

[@KingSadim]

@@DefinitelyNotAGuru I made sure to get a car with manufacturers warranty, think I have till April 2025. I did look at lease deals but the hassle of dealing with bodywork repairs at the end plus the annual miles cap put me off. If I wanted a very expensive car then lease is how I'd go for sure. I think this is the last sports car I'll ever own, hybrids and EVs will be the only options in 2-3 years time I suspect.

[@h.bsfaithfulservant4136]

Sound info as always Jim 👍

[@DefinitelyNotAGuru]

Thank you 🙏 😉

[@utsavisgreat]

Leasing Well explained in the video.

[@DefinitelyNotAGuru]

Thanks

[@rivermoon9113]

Hello Jim, thanks for the video. If I'll choose 9 months initial payment (upfront) of 3k. Should I pay 3quid every 9 months? Sorry for silly question.

[@DefinitelyNotAGuru]

I really have no idea what you mean. You would pay 9 months upfront and then say 35 monthly payments of £X if you did a 3 year lease. Obviously the more you pay upfront the lower the monthly payments are.

[@Dentos19]

Just got my friends daughter a used Mercedes a class auto 40 k miles 10k per annum 3 payments up front ex contract car fish at £195 per month bargain 3 year deal

[@DefinitelyNotAGuru]

👌

[@Pete.Ty1]

👍👍👍.Thank you

[@DefinitelyNotAGuru]

Thank you too

[@aditya156100]

Gey Jim, is this works for someone who is new in UK. I tried couple of quotes and they ask that you must be living longer like12 months+

[@DefinitelyNotAGuru]

No, you need a credit history here

[@Tyrekickingwetdreamer]

Will it be cheaper than my £1200 renault megane

[@DefinitelyNotAGuru]

No, probably less reliable too.

[@mustafadurmaz375]

Thanks

[@DefinitelyNotAGuru]

Thank you 🙏

[@richardburton7980]

Be nice to know exactly what part you pay for when leasing a vehicle cause I’m fooked if I understand how they do it and that’s why I’m staying away from it at the minute

[@DefinitelyNotAGuru]

🤷🏻‍♂️

[@neilclarke3513]

I wonder how easy it is to lease a used car? I know it's off topic here. 😊

[@DefinitelyNotAGuru]

I did a video on it last month kzbin.info/www/bejne/q4mTlmmIYqqriLs

[@neilclarke3513]

I meant say 2 yrs old, and lease for one year to keep within manu guarantee. Thanks for letting me know there is no meat on that bone....unlike.. 😊

[@thomasrobinson4401]

👍

[@DefinitelyNotAGuru]

👍👍

[@hTyKn1]

Lease a car, pay lots of money and end up owning nothing... does not compute. rent a house, pay lots of money and end up owning nothing... does not compute

[@DefinitelyNotAGuru]

Buy a house as it goes up in value. Lease a car as it goes down in value. Listen to Warren Buffet.

[@jonron4729]

👍👍👍

[@DefinitelyNotAGuru]

👍👍👍

[@stuarto5162]

I'm paying £303 a month for a lease, it's better that I buy a car

[@DefinitelyNotAGuru]

Whatever floats your boat mate 👍

[@stuarto5162]

@@DefinitelyNotAGuru or sinks it, I can't make my mind up, it changes by the hour, I need to bite the bullet and decide, good luck with that 🤣

[@naush777]

Can I lease a car for a year? I'm waiting for the fraudster Sadiq Khan to be ousted by Susan Hall next May and stay true to her word and abolish ULEZ? Any suggestions would be grateful.

[@DefinitelyNotAGuru]

You can probably find a deal but I doubt it’ll be any good. 2 years + gets you far more choice and VFM

[@naush777]

@@DefinitelyNotAGuru thank you Sir for confirming!

[@Tb2024-z4l]

Nice and simple 👍🏻

[@DefinitelyNotAGuru]

That’s me 😁

[@nickyboy.]

23rd

[@DefinitelyNotAGuru]

😎💪