Auto Lease Vs Purchase
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7 years ago
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sushipup1
7 years agoUser
7 years agolast modified: 7 years agoRelated Discussions
Buy or Lease?
Comments (9)The one instance that I can think for a lease is for business purposes. If you are buying a car for a business, the lease cost is deductible for tax purposes, and someone else will be performing the maintence labor. Also, you will be renewing the auto every 3 years or so. In other words when leasing, you are renting the use of an automobile and its maintence. If you purchased the car, its full cost can not be deducted in any one year for tax purposes; the deductible amount per year is defined by the tax codes. But most of us on this forum are purchasing our vehicles and putting enough miles on them to 'use them up'. We can't justify spending $25,000 to $40,000 every three years for a car, and some of us have a hard time to come up with $20,000 every three years. That's why this forum exists: We ask a lot of questions about problems and pass out much advice. However, the quality of the advice must be determined by the reader....See MoreAAA vs. auto insurance roadside coverage
Comments (28)Alisande, you're giving them praise for talking you out of using their service that you had already paid to use? They were real happy with you too, believe me. You could have gotten the same info about the nearby service station from a map on a gps device or a smart phone. (When I called the State Farm dispatcher as described above, they said "Do we have permission for one time use of the locator system for your phone, so that we know where you are?" I said yes, and they came back and said "OK, we see your position". I didn't have to tell them.) Sushipup, so a truck that stocks and sells replacement batteries drives up, "checks your battery", and tells you what you need is a new battery? I'm not sure I would have fallen for that. Maybe they were on the level, but hmm... I would have limited the service to a jump start and then gone to a garage to have it checked....See Morelease/rent to own house
Comments (13)IMO, you are better off reducing your asking price and focus on selling that home asap. With renters (even rent to own), you also get hassle and you still have responsibility of that home and things will get old and break even if you have perfect renters. And, the renters usually get precedence over you since you want to fix their things quickly, which makes you feel like a second class citizen. For example, you will have a huge TO DO list for items related to your new home. But if the dishwasher fails at the rental home, guess what just got moved to the top of the list...pronto? You drove by the home and they have 3 cars in the driveway and a 4th car parked on the lawn. Oh my, how do you handle this if the lawn parking wasn't in the lease? They have a dog now but they say it is a friend's that they are watching. Oh no. It looks like part pit bull to you and your insurance says no pits, what do you do? As the other home ages, the roof, water heater, carpet, furnace all age and eventually break and need replacement. The interior and exterior will need repainting after a few years. Yardwork and weeding and fertilizer, etc from renters is usually minimal, so your hard will likely deteriorate gradially and you might need to do this yourself again in order to sell it. You would need to buy homeowners insurance specific for renting the home. Chances are very, very high that the renters will NOT buy it and then you will have to coordinate them moving out and then you focus on selling the place again, but only after you repaint, touch up, clean the home after the renters left. I strongly suggest that you focus on selling your home. Having responsibility for 2 homes is not fun and can be stressful and costly. Even if one home is brand new and even if the renters are good. You will still have bills to track and pay for both homes...insurance, taxes, mortgage, maintenance. It isn't worth the hassle...life is too short....See MoreLease vs. PPA...what are the real differences
Comments (5)David, An acronym dictionary that I just consulted, lists 125 different meanings to "PPA". I presume that the meaning of "PPA" in your case, means that you are purchasing a system rather than leasing it. There is an excellent article in the August 2016 edition of Consumer Report magazine that compares the financials of : 1. Purchasing a system by paying cash 2. Purchasing a system by financing it with a secured loan (HELOC) 3. Leasing a system In the example presented, the savings are highest with option 1; next highest with option 2; and the least with option 3. Also, there are some unique and expensive problems that you can encounter if you lease as opposed to owning a system if you ever decide to sell your home. But the financial benefit of owning a system at all, is dependent on cost of energy in your area and the purchase price of your system. If the cost of electricity in your area is low (or if the cost of the system is very high), it could take so long to recover a return on your investment in a solar energy system, that the advantage of installing it, is minimal and perhaps not worth the effort. Here in northern California, we have some of the highest utility rates in the country. Our 4 tier pricing structure begins at $0.18 per Kwh and goes up to $0.40 per Kwh. Our average cost for our electric bills over the year, is around $320 per month. When we had guests with an infant visiting last summer, we ran our air conditioner continuously and had an electrical bill of over $600; the majority of our bill was at the rate of $0.40 per Kwh We just had a 8.5Kwh system installed yesterday; it will be turned on today. The company designed our system based on our utility bills over the past year. They prepared a detailed report that computed that our system will pay for itself in around 7 years. Our electric bill per year will be $120 ($10 per month), so that we can access the grid, to sell our surplus electrical production and to provide us with power in the evenings and during winter days when the system does not provide enough energy for our daily use. Assuming an increase in the cost of electrical energy of 5% per year, the company's program computed a return of over $155,000 over the 25 year life of this system. California has more solar energy systems than any other state. It makes a lot of sense to go solar here because 1. The cost of electricity from the utility companies is so high. 2. We have over 300 sunny days per year. The intensity of light reaching the ground is very high, due to the low amount of humidity in the air. Solar energy systems pay for themselves in a reasonable amount of time. We bought panels produced by one of the leading US companies, SunPower. In their specifications handout, they indicate that the output of the panels can degrade by something like 0.5% per year. The SunPower brochure states that by year 25, that the panels will still be producing around 87% of what they did in year 1. I suppose that if this is a problem for us, we could simply add another panel or 2 from the $155,00 we saved in our utility bills from year 7 to 25! If you are worrying about producing too much electricity in the future, buy an electric car! Good luck with your decision, John...See MoreUser
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7 years agoElmer J Fudd
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