Leasing a Jeep Gladiator

[Tortooga Custom Works]

I

Im questioning myself on the lease as well. I get to get my truck I want with lower payments but I will want to keep it and everyone keeps saying if you definitely want to keep the truck don't lease. Why is that...? Say I lease the truck and say I want to keep it then I will be purchasing a used truck will payments be higher than new or significantly lower?

So, the payments will be lower, or should be lower than if you had bought it new. With your lease payments, you are "paying into" the value of the new vehicle.
But the exact payment will of course be affected by the residual, interest rate, and term. Sometimes the company you do the lease with will have some good rates for you to take it.

The fact is, you will "spend" more money than say, if you had just bought it out right... but you do that math.
I've done it, and on average I see an extra expense of $1500-5000. Again, depending on the parameters.

So the question is, is it worth it for you to spend an extra, say, $5000, to be absolutely sure it's the vehicle you want? That's a ballpark. You'd have to do both sets of numbers. But $5000 over a longer period. So, 2 or 3 year lease, and then a 4 or 5 year loan. That's an extra $5000 over 6-8 years. It's a lot of money, but will it break the bank?

Also, note, you could get a 5+ year loan and your payments would be lower, but the longer the loan, the more you end up paying in interest anyway. So it's possible that the lease, with a purchase at the end, will work for some.

My opinion, without doing any hard numbers, is that it would probably work best with the lowest value vehicle - the Sport, or a Sport S. So if that's what you want, it would be good. BUT, if what you want is an Overland or Rubicon, tricked out. I don't think the numbers will work out in our favor.

That said - you could lease a Sport or Sport S and wait for a Rubicon to hit the used market...

Sponsored

 

[Tortooga Custom Works]

anybody know why the online build/price tool only shows 36 or 48 month leases when the mopar1 article says it was a 24 month?

I see it on the landing page for the Sport. But you're right, when you go to the calculator itself, it only has an option for 36 or 48.
So that $143, is basically a Sport with 0 frills.

 

[steffen707]

I see it on the landing page for the Sport. But you're right, when you go to the calculator itself, it only has an option for 36 or 48.
So that $143, is basically a Sport with 0 frills.

weird, mine says 36month. I'll try clearing my cache/cookies

 

[Tortooga Custom Works]

weird, mine says 36month. I'll try clearing my cache/cookies

oh that is weird. I wonder if it's a location thing...?

 

[Tortooga Custom Works]

So, the payments will be lower, or should be lower than if you had bought it new. With your lease payments, you are "paying into" the value of the new vehicle.
But the exact payment will of course be affected by the residual, interest rate, and term. Sometimes the company you do the lease with will have some good rates for you to take it.

The fact is, you will "spend" more money than say, if you had just bought it out right... but you do that math.
I've done it, and on average I see an extra expense of $1500-5000. Again, depending on the parameters.

So the question is, is it worth it for you to spend an extra, say, $5000, to be absolutely sure it's the vehicle you want? That's a ballpark. You'd have to do both sets of numbers. But $5000 over a longer period. So, 2 or 3 year lease, and then a 4 or 5 year loan. That's an extra $5000 over 6-8 years. It's a lot of money, but will it break the bank?

Also, note, you could get a 5+ year loan and your payments would be lower, but the longer the loan, the more you end up paying in interest anyway. So it's possible that the lease, with a purchase at the end, will work for some.

My opinion, without doing any hard numbers, is that it would probably work best with the lowest value vehicle - the Sport, or a Sport S. So if that's what you want, it would be good. BUT, if what you want is an Overland or Rubicon, tricked out. I don't think the numbers will work out in our favor.

That said - you could lease a Sport or Sport S and wait for a Rubicon to hit the used market...

Let me add this too - some people want to spend the least amount of money - no matter what. That can be a good goal.
But, spending the least amount of money does not equate to value for me. Just because I got it cheap, doesn't mean I got the most value. I want the most amount of value for my money - most of the time that means I will spend more than the guy/gal who is trying to spend the least amount of money. Again, personal choices. Spending the least makes some people happy, the most value makes me happy.

 

[steffen707]

oh that is weird. I wonder if it's a location thing...?

not sure, changed my zipcode to 08009 one from NC and one from california.......maybe its an ip address thing.

 

[Rex3rd]

Let me add this too - some people want to spend the least amount of money - no matter what. That can be a good goal.
But, spending the least amount of money does not equate to value for me. Just because I got it cheap, doesn't mean I got the most value. I want the most amount of value for my money - most of the time that means I will spend more than the guy/gal who is trying to spend the least amount of money. Again, personal choices. Spending the least makes some people happy, the most value makes me happy.

Another thing I was looking at is if I lease with eventually wanting to buy the truck with the lower payments I can save back and have probably alot more cash saved back so I can put down 8k or so when I buy the truck after lease Which will make payments even lower. Main thing I see with doing this is a way lower payment and being able to have fun with the truck now instead of waiting. And being able yo stash more cash for the truck when the time comes for the lease to be up to snatch it back. PS ...do leasing companies always give you the option to buy after lease is up?

 

[Dietruck]

I

Im questioning myself on the lease as well. I get to get my truck I want with lower payments but I will want to keep it and everyone keeps saying if you definitely want to keep the truck don't lease. Why is that...? Say I lease the truck and say I want to keep it then I will be purchasing a used truck will payments be higher than new or significantly lower?

When you do the numbers the lease, on a LE for example, is like doing a 10 year reg loan. If you are not paying off your loan in 4 or 5 years. Leases start making more sense even if you plan to keep the car.

 

[Rex3rd]

When you do the numbers the lease, on a LE for example, is like doing a 10 year reg loan. If you are not paying off your loan in 4 or 5 years. Leases start making more sense even if you plan to keep the car.

I don't care if it takes me 8+ years to pay the truck off. You will have the years you leased then the years you buy to pay off but when your hitting the 60k range on a truck and don't even make but 40k a year it makes since to pay longer or there's no chance of ever buying this thing Others don't like to stretch out the loan but it's something I want to keep forever and possibly pass down to my son

 

[CaliJK]

Another thing I was looking at is if I lease with eventually wanting to buy the truck with the lower payments I can save back and have probably alot more cash saved back so I can put down 8k or so when I buy the truck after lease Which will make payments even lower. Main thing I see with doing this is a way lower payment and being able to have fun with the truck now instead of waiting. And being able yo stash more cash for the truck when the time comes for the lease to be up to snatch it back. PS ...do leasing companies always give you the option to buy after lease is up?

I believe they do. I know my parents leased their SUV, at the end, they decided last minute to keep it, rather than give back and buy a new one. Dealer was not happy, the buy out was 5K less then the resale value, they even offered parents 2k cash, plus the 5K difference as down payment on the new one.

In the end my parents decided to keep it, it was diesel, and the new MY weren't going to have a diesel.

I think they are contractually obligated to sell it to you, since that's part of the deal, however I'll let someone with more expertise correct me if I'm wrong.

 

[Dietruck]

I don't care if it takes me 8+ years to pay the truck off. You will have the years you leased then the years you buy to pay off but when your hitting the 60k range on a truck and don't even make but 40k a year it makes since to pay longer or there's no chance of ever buying this thing Others don't like to stretch out the loan but it's something I want to keep forever and possibly pass down to my son

Missed my point and I wasn't very clear ethier. If you are doing a 8 year loan than a lease with a buy out cost you very very little more. Since the interest payment at the end is basically the same. In the loan you "underwater" for a long time. Say 4 or 5 year. A lease protects you from that. My point was the longer you make your loan terms, the delta cost for a lease and buy out is less and less. Aka smarter to do a lease with buy out than a loan. If you are short term loans a lease cost more in the end with a buy out. Both ways you don't own the cars until all payments are done.

Do the numbers. Choose the path that works. Keep in mind the risk of being underwater in a loan. Protect yourself from the risk as best as you can.

 

[steffen707]

Missed my point and I wasn't very clear ethier. If you are doing a 8 year loan than a lease with a buy out cost you very very little more. Since the interest payment at the end is basically the same. In the loan you "underwater" for a long time. Say 4 or 5 year. A lease protects you from that. My point was the longer you make your loan terms, the delta cost for a lease and buy out is less and less. Aka smarter to do a lease with buy out than a loan. If you are short term loans a lease cost more in the end with a buy out. Both ways you don't own the cars until all payments are done.

Do the numbers. Choose the path that works. Keep in mind the risk of being underwater in a loan. Protect yourself from the risk as best as you can.

Do you get to claim the $7500 hybrid tax credit for a plug in vehicle if you lease it, or only if you buy?

SomedY JT will have this. Lol

 

[steffen707]

"If you lease, the credit goes to the leasing company. But to encourage people to lease plug-in electric vehicles, leasing companies, which are usually owned by the automakers, often apply the rebate to the lease. That reduces your monthly payments and sometimes cuts the down payment that many leases require."

This answers my question
https://www.nerdwallet.com/blog/loans/plug-vehicle-tax-credits-rebates-made-easy/

 

[sandbaja]

If you lease are there restrictions travelling to Mexico or Canada?

 

[CaliJK]

If you lease are there restrictions travelling to Mexico or Canada?

Don't think so. My parents drove their leased vehicle to the US from Canada many times. Same with our commercial leases, did a few runs to the states.

Sponsored