Switchback

I've heard some say they'll wait for the 2006...in case Ford needs to work some kinks out...

Anyone out there thinking of just leasing an 05 instead of waiting for the 06?


-Switch

kevinb120

I tinker too much to lease. There shouldnt be too many issues with the new car, Ford is going through quite a bit of trouble on their newest vehicles to make sure they are good right from day one. The quality will be infinately better then the current car is.

Kellarina

I'm probably going to lease with the option to buy. I really would like to add some minor mods to mine though soon after I get it (wide black racing stripe ...etc.) So in a way I wish I was buying it so I didn't have to wait till the lease was up. I've never leased anything before so I haven't experianced the ups and the downs, but I do get A-plan so that's a good thing. But I guess that leasing is safe cause if there is a kink somewhere along the way, you could always get it fixed or trade it in for a new one at the end. But I'm pretty confident that they have been testing this car and making sure it's flawless, they seem to be spending a lot of time on it. But you never know what'll happen.

What type of 05' mustang are you planning on getting, switch?

I personally, can't wait till 2006.

VillianousBlak

I'm waiting until 06' more out of neccesity than want. However I have decided on a Black coupe, with dark blue racing stripes, the wide ones, not like on the concept, and of course the Blue leather interior. The 18's, spoiler, limo tint, and this stereo head, as apposed to that toaster...Crutchfield
Hopefully a new hood too.. engine mods will come later.. im new to this.

00StangGT

I'll be buying on X-plan

Switchback

Kellarina...

You know, I might just have to wait for a cobra...

One thing is for sure, my butt will be test driving every Pony east of the Rio Grande...Maybe that can be my new hobby, going to every Ford dealer I can find, and test driving any Mustang available. Think they'd let a nut like me do that?

Does it seem like Ford has been tightlipped on giving us info on what is in the works?

What type of 05' mustang are you planning on getting, switch?

I personally, can't wait till 2006.

GhostTX

Lease or own, you're only covered by the warranty. The advantage of the lease obviously the lower monthly payment. You still got to spend money to maintain the vehicle. A lease shines when at the end of the lease the residual is less than the car is actually worth. Then you can "buy back" the car for cheap!

Of course, this is assuming you took the money you saved from leasing versus buying and saved it so that you can afford to pay off the residual. Ideally, your savings plus interest will be more than the residual so you'll "buy back" the car. If you didn't, you either get a new lease on a new car or a loan to pay off the residual...which is not good 'cause then you're getting a used car interest rate. Then you're spending money for 8 years instead of 5 (lease for 5 years, then 3yr used car loan vs. 5 year new car loan).

So many decisions...

Kellarina

Can you do any mods to the car you are leasing? Like paint jobs, glass tint and stuff?

I want to get a Supercharger put in but I'll have to wait till my waranty is up for that.

GhostTX

That'd be between you and leasor (sp?). I don't know what qualifiers they'd put in your lease. You might have to remove that stuff when you turn it in, or pay penalties. You'd be better off calling and asking them.

If you plan to "buy back", then you don't have to worry about that at all. You'd be taking the car "as is", then anyway.

jarradasay

I have never seen this happen. I am not sure where the figures are coming from, but it is pretty much impossible. Ex. If you bought a 25000 car on a 5 year loan lets even throw in 0.0 APR you have a $416/mon. payment. If you lease for, say, 36 months you will get a cheaper payment, but are paying less on the principle. Meaning to buy it you'll have to pay way more then it is worth. Ex2. A 2001 GT with leather etc. is presently only valued at $13000 (Black Book (ie dealers book)). So With the above examples for the buying option 416*36mon=14976. Take that off the price of the car you get 10024, so you have about 3000 dollars equity. if a lease was, let say 300/mon with 0.0 rate. you would have paid 10800 toward the car. subtracted from the purchase price. leaves 14200 bucks. you owe 1200 more then the car is worth. Not cheap in my book. And 300/mon is a pretty high lease payment and nobody will give you 0.0 apr on leases. So I have never seen anyone come out good at the end of a lease. Unless they like to drive a car and trade every three years. THey just trade it back and pick up a new one. If that is what you want then itll work good for you.
Couldnt agree with you more!

GhostTX

Neither have I. That's why I said "when". That's the sale pitch you'll usually hear though, and its all good "in theory".

I'm not a fan of leasing myself though. I drive cars 'til the wheels fall off.

jarradasay

Sorry, I misread your "when" to mean at the time of the end not "if". Got your point. again sorry for the misinterpretation.

stango63

I think it would be better to buy it in my case. I intend to keep this New Mustang for a long time, its going to be mainly a fun car. And if i can get (0%) for 5 years on a car loan, you just can not beat that! You will be building up equity fast. I think this car will hold it's value very well anyway.

Anyway don't forget the fees involed in a lease. Divid all the costs over the months of the lease and add it to you payment. It probably will add 50-100 per month!

kevinb120

leasing with intent to buy is always WAY more expensive then just buying the car.

JZInternet

Ok here is a question for you guys. What if you pay off the lease on the day you pick up the car. Say you lease it for 3 years. Then, either during that 3 year period, or at the end of the lease, you pay off the remaining "buy out" price. Would you be paying any interest or additional fees this way? Wouldn't it be the same as paying for the car upfront except your able to hold on to that money for a few years?

Probably to good to be true and I am sure they charge some extra fee in this case.

The dealer I talked to said it's cheaper to for paying the entire lease upfront (he probably meant no interest not sure).

Anybody know?

Thanks, Jason

PaperTarget

It's actually better to take the cash back (if available) than taking 0% financing. You'll save $700 to $1500 over 5 years. Plus, if you're like me you'll pay it off early and save even more money that would have went to interest.

akfa

i'm just new learning about leases, anyone wanna help me out how u can figure out payments likeif u were gonna lease for 5 years? Also, the only REAL downfall i've seen people say about leases is that in the end you're going to have to pay more overall for the car, that is if you're planning to buy it at the end so you can make modifications, as much mileage as u want, etc. im really curious though because i know im not gonna be able to pay no $400 on a 05 mustang lol and of course a lease could make monthly payments a whole lot cheaper. what kind of payments would u be looking at if u were going to lease for 5 years? how do u figure that out for lease payments? im a newbie to leasing =[ also what do yall think the difference in price is going to be from a v6 mustang and the gt mustang?

jarradasay

the mustangs should increase linearly, or the GT and V6 should increase by similar percentages. So you could approximate the difference with the present lineup. Base GT coupe - Base V6 coupe is 5525. So somewhere between 5 and 6 thousand should be pretty accurate. As for leasing, Depending on what type of person you are and your plans it can be a devil or a help. Rule of thumb tho, If you cant afford it, dont buy it. Just my 2 cents tho.

V10

In many states Ford no longer offers true leases because of liability laws and greedy lawyers.

What Ford offers instead is called the RCO program. It works similar to a lease, but you "own" the car, not Ford Credit. At the end of the program you either turn the car back in or have a baloon payment to keep the vehicle. You can of course finance the baloon payment at that time.

I got a Lincoln LS on the RCO program because it was cheaper than buying. Ford had extra incentives on the RCO program that were not available if you purchased. ALL rebates applied and the APR was only 1.5%. If I end up buying the car at the end of the program it will cost me about $2,000 less than what a purchase would have.

Whether a RCO program is the same, better or worse on a 2005 Mustang cannot be determined at this time. There is no way of knowing until Ford officially offers the program and we know what the APR is and if the RCO carries any incentives. Right now we have no way of knowing what the residual value will be. The residual value has a huge effect on the lease payments. In addition, the incentives and APR's can vary quite a bit from one area in the country to another. It all depends whether the Ford sales region that you live in wants to spend their budget on advertising or incentives.

V10

One more thing on lease vs. purchase.

If you get a new car every 3 or 4 years, you don't drive a lot of miles (<15K / year), you do not modify your cars, and you take very good care of them, leasing can cost less than purchasing.

If you drive a lot of miles and keep your cars for a long time (>4 years), leasing will almost always cost you more than a purchase.

There were a few years, (late 1990's) when there were some incredible lease deals. This was because the residual values were way higher than reality. Since the economic downturn and ever increasing over production of cars, used car prices (& residual values) have plumited. Today most leasing companies have a much more accurate idea what the residual value really will be 3 years from now, so the lease deals are not at good.

Bottom line - buying a vehicle and driving it until it dies (>100K miles) always ends up being the lowest cost of ownership.