What IS your situation? Far as I can tell, the only people who should lease are businessmen who need a fancy new car at all times to impress clients, and people with way too much money who can't bear the thought of driving the same car for more than 3 years. Otherwise, why would you pay so much money towards something that won't be yours at the end of it?
Okay, so leasing might allow you to get a nicer car than you could afford if you were buying, but if you're worried about affordability, is buying any new car a good choice? Why not go for a newer used car, maybe one still under warranty?
I figured the thread would end up going this way. I've always been in favor of buying a respectable, used vehicle over something new however I'm honestly having a hard time finding anything that appeals to me other than some 2012 models.
So here is why I'm looking at leasing:
I own an '03 Accord with 120k miles on it...no loan, I own it. My girlfriend is selling her gas guzzler and essentially "renting to own" my vehicle until she pays off her gas guzzler loan. She is willing to pay up to $150 per month, plus general maintenance to use it. All the while, I still retain ownership of the vehicle which is valued anywhere from $6-8k at the moment.
I could use this money, coupled with a lease, to have a very low montly payment in the neighborhood of $100-125 per month. As the 2nd poster implied, I could save money over a 3 year lease period and hopefully buy a car outright by that time, whether its the car I leased or something else if I decide it's not the right fit for me.
My girlfriend would either eventually buy my used car, or if things didnt work out, go get another loan and buy her own car if that ever were to occur. Her financial sltuation is not nearly as good as mine, however doing the above doesn't overcommit either of us financially into something that could get messy if we ever broke up.
Obviously the other option (which is definitly arguable) is to sell or trade-in my Accord, include a hefty down payment (probably 8-10k) and have a manageable monthly payment. The downside is tapping into my savings which I kind of don't want to do. I'd rather hold onto the savings, continue to build it up, and then 3 years from now have even greater bargaining power.
I drive less than 5 miles a day on average, and probably put 7-9k miles on my vehicle because I work very close to where I live.
Let the thoughts/comments ensue!