Lease hire or whatever it's name is?

[Delboy]

Just sitting thinking about what I paid for the S8 over two years and taking into account depreciation what's people's thought about contract, lease hire or what ever term it's given where one rents a car from a business and then hands it back?

[tonupkid]

knowing someone who is just awaiting delivery of his first contract car since retiring years ago. The cost is not an issue, and the benefit is he gets to change car in three years, come what may.
In the meantime he could also find himself with the finance company offering him a new, mid term, deal, a lower price or even a different car.
So its a worry free method of car ownership.
Speaking for myself. If I was loaded then I'd consider it. But I'm not, so I go for cars I can pay for up front. I think its the cheapest method of car ownership

[Delboy]

I here what your saying and I bought mine cash but in the two years of ownership it's cost through depreciation alone more than 10k

[tonupkid]

Banks are not famous for working for nothing. If its cost you £10k, with your skills, knowledge and time, it'd cost them a hell of a lot more.
Hang onto it for another 10 years and it'll worth what you paid for it

[Norretal]

It seems very popular up here at the moment Del, I know quite a few people who have cars on lease, mainly Jukes and Qashqai's which I imagine is due to Nissan being local. I suppose if you're okay with the idea of never owning a car and see it only as a means of transport then it's an attractive option.

I couldn't do it myself though, to me a car is more than something to get me around. I also think that applies to most people on this forum.

[Delboy]

I don't know maybe I have it in my head wrong but I get the feeling that the glacial pace the the secondhand market moves at tells me that the cars are over priced that are currently for sale, and with some s8's for sale now in the 10k territory that makes me wince.

Forgetting the money I have spent on extras, but looking at service costs and the current market prices for 2007 s8 then it starts to look more like a viable option and just Cruze round in a brand new car every three years.

I love my S8 it is a great car still but the newer ones burn less juice too which makes it even more attractive.

I don't know, what's everyone's thoughts on the value of these cars at the moment? Maybe I'm just off the mark.

[tintin]

IMHO lease hire is just another way of giving the banks/their proxies your money - and your property, if you can't make the payment on the lease. Only do it if you really need to, and pay for it in cash if you can: it's then your asset, that no one else has control over.

Although the rider to that at the moment is that we might be about to move into a world of almost negative interest rates, where - theoretically - you could actually be quids in with the banks, though I'm sure they'll always find a way of making money out of you...

[tonupkid]

Jukes and Cashcows are also pretty easy to calculate the running costs and depreciation and there's a ready second hand market for such cars. These are things that play to the banks strengths.
If you find yourself dwelling to much on the running costs for your S8, take it out for a spin.

[Delboy]

Wait a second I'm not saying I'm about to trade the 8 for a frugal run around, only making a comparison from the v10 the the newer V8t

The negative interest rate thing is somewhat worrying and if what I have read about the banks pushing us further towards a cashless monetary system then it really is a worry when it is no longer that you can remove the cash from the bank and hide it under the mattress.

What's your recommendations to deal with a negative interest situation should it arrive on our shores?

[Singh]

There's a deal on a new A4 currently, circa £1.5k deposit and £155 x 24 p/m. So £5.5k for the use of a mid-spec brand new A4 for two years. There was a silly deal on brand new D4 S8, too. £3.5k and £399 p/m for two years at 10k miles PA. Good value, as it would depreciate more than £13k in two years IMO.