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Should I buy or lease my next car?

I have an 11-year-old car with less than 50,000 miles. It has been paid off for years. It is in great shape but I'm thinking of upgrading next year to a newer car. I don't want to buy a brand-new car because they depreciate so quickly, so I'll likely be looking into a certified used vehicle. Should I lease a vehicle, or buy it via monthly payments? Going over the allotted mileage would not be an issue because I probably drive three miles or less per day.

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Keep in mind that you are posing this question to a committee of financial advisors.  If any of us tells you to get a new car, they deserve to be defrocked.  A 2008-model car is not an old car unless it has been abused or driven into the ground, and yours hasn't.  (The last three cars I owned had an average of 130,000 miles.)

Most cars average about 8-10,000 miles per year.  Thus you have a car that is effectively six years old and can easily run for another 100,000 miles (though you don't say what kind of car, and some are more reliable than others.)  Save your money.  Put it into you investment portfolio.  Build your savings.  Then when your car starts to cost money or be unreliable, you can revisit this issue -- and buy another car you can keep for 20 years.  Rise above the notion that a car is a status symbol.

last month
May 2019
4 weeks ago