Mathew Knowles on Meek Mill Talking Down on Leasing Cars

[Donald J Trump]

Anyone that uses the “bu bu but bankruptcy” line should
be disregarded

anyone that cant understand that “ a car is a bad investment” line is just a saying people use shouldnt be listened to

 

[904]

I can argue both ways. It depends on your mentality as a consumer.

 

[Master Teacher]

Anyone that uses the “bu bu but bankruptcy” line should
be disregarded

anyone that cant understand that “ a car is a bad investment” line is just a saying people use shouldnt be listened to

a car isn't any investment, also a car is not a bad investment

how do you think car dealerships make money

i can a buy a benz from the auction for 6500 and sell it for 20,000, how is that a bad investment lmao

what do you own/ what have you ever sold?

Vlad interviews c list celebrities for a living, he don't know shyt about investing or real estate

knowles got fired by his own daughter, this dumb c00n said he doesn't want to own anything at 67 lmao, tell that to the rothchilds lmao fukk outta here listening to these morons

 

[HacksawJimThuggin]

you realize if you purchase a car you can just trade in after 3 years for the newer model

l

Of course you can, but then you got hustled and should have leased. Here's why:

Me: Leased a $50k car... it's going to be worth $30k in 3 years, so on a lease, I'll be financing the $20k in depreciation over the 36 months. Once the three years are done, I give the car back and owe zero and get another new car.

You: Bought that same $50k car... It's still going to be worth $30k in 3 years, but because you bought, you have to finance all $50k of the car over 60 months to make the payments manageable. Not only will your payment be more for the 3 years (you're borrowing $50k for the 5-6 years instead of $20k for 3 years on a lease) but you're paying interest on $50k instead of $20k. At the end of the three years, you go to the dealership and there's a very slim chance of you having equity in that car, and will likely be upside down, meaning you'll have to pay the dealership to take it back or will roll that deficit into the payment of your next car.


Why would I choose the 2nd option?



edited my post for it to make sense, my fault lol

 

[Master Teacher]

Nothing is guaranteed to appreciate dummy.

real estate is guaranteed to appreciate you fukking moron

If buy a foreclosed house for 5,000 dollars or a house for taxes, i'm never going to lose any money,

people will always need a house to live in, look at detroit, when the values dropped they are back up and people who held the properties are multi millionaires

real estate is always guaranteed to appreciate you fukking dummy, thats why you own nothing and will never be rich

 

[Master Teacher]

Of course you can, but then you got hustled and should have leased. Here's why:

Me: Leased a $50k car... it's going to be worth $30k in 3 years, so on a lease, I'll be financing the $20k in depreciation over the 36 months. Once the three years are done, I give the car back and owe zero and get another new car.

You: Bought that same $50k car... It's still going to be worth $30k in 3 years, but because you bought, you have to finance all $50k of the car over 36 months. Not only will your payment be double for the 3 years (you're borrowing $50k for the 3 years instead of $20k on a lease) but you're paying interest on $50k instead of $20k. At the end of the three years, you go to the dealership and there's a very slim chance of you having equity in that car, and will likely be upside down, meaning you'll have to pay the dealership to take it back or will roll that deficit into the payment of your next car.


Why would I choose the 2nd option?

you sound like an idiot

you just gave up 20k for nothing and no you have to spend another 20k another car

first off, you shouldn't finance a car if you don't have good credit, with good credit you're payment will not be double a lease, lease is always higher because its short term financing

you don't understand how loans work either, after the 3 years it doesn't matter what my car is worth, whatever equity i have will go towards my new car and that old loan will be paid off and will have a new loan, you can always restructure a loan its imaginary numbers in a computer

if you can't pay off a car within 4 years you can't afford it and should get something cheaper
leases are for people who can't afford to pay

if I pay off a car in 4 years, you already came out 40 grand for a fukking lease some shyt you don't even own its just money spent, i still have my car and I can drive it forever

 

[HacksawJimThuggin]

Cars are basically an appliance. It's point is to get you where you're going and back. Do you get bored with your microwave after 3 years and want a new one? Probably not. What about your refrigerator? You look at those items and as long as they do what you need them to do you don't care enough to replace them when they function properly.

The problem is marketing and society have conditioned you to think about a car more like some sort of toy than a useful appliance. Sure you can justify leasing when you think about a car like a toy you keep for a few years then dump but that way of thinking is just designed to get you perpetually wasting money on new cars.

You should buy a car, one that's a few years old and drive it until it's no longer useful or practical then replace it. I drive a 16 year old car and it still functions. Last year I put $2200 into the car to keep it going and it's Bluebook isn't even worth that at this point. When I did it I figured I could get another 2-3 years out of the car without having to put much of anything else into it.

For 90% of people leasing is just throwing away money that could be better spent elsewhere.

I'm sure everyone in the thread agrees that buying a car that's 4-5 years old and driving it forever is probably the smartest financial decision, but I don't think that's even what we're discussing here.

 

[HacksawJimThuggin]

you sound like an idiot

you just gave up 20k for nothing and no you have to spend another 20k another car

first off, you shouldn't finance a car if you don't have good credit, with good credit you're payment will not be double a lease, lease is always higher because its short term financing

you don't understand how loans work either, after the 3 years it doesn't matter what my car is worth, whatever equity i have will go towards my new car and that old loan will be paid off and will have a new loan, you can always restructure a loan its imaginary numbers in a computer

if you can't pay off a car within 4 years you can't afford it and should get something cheaper
leases are for people who can't afford to pay

if I pay off a car in 4 years, you already came out 40 grand for a fukking lease some shyt you don't even own its just money spent, i still have my car and I can drive it forever

I misspoke by saying that you would be financing the $50k over 3 years, it would make the payment outrageous. I think most people finance new cars 4-6 years to make the payments manageable. However, most people don't get the benefit because they're not driving a car for years after it's been paid off. But the same thing applies... if you're financing a purchased car and not driving it for years after it's been paid off, it's stupid to buy that car.

Most people will finance a whip for 5-6 years to get payments manageable and will trade it in prior to it being paid off, at which point they're upside down. If that's the case, how does it make sense to do that when you could have just leased that car for the same amount of time, the payments would be lower, and you don't have to worry about being upside down?

 

[winb83]

I always tell people this too when it comes to car leases...it depends on your situation...

Do you switch out cars after a few years anyways? Are you the type to keep cars forever? Do you not drive very much? Do you drive a lot? Do you own a business? etc etc etc

Leasing is basically a longer term of renting. Renting is good for two sorts of people. Someone that needs something short term or someone that wants something they can’t afford outright.

The thing about a car is most people need a car long term. Some people just don’t want the same car long term.

For people in short term situations leasing works and for business purposes leasing works. The common person is just wasting money on a lease pretending it’s smart because they come at it from the perspective of doing wasteful shyt like switching out new cars every 3 years. If you don’t have the money to buy yourself a new car outright every 3 years then you’re using leasing as a tool to do something you really can’t afford to do.

Rich people buy their cars for the most part. Aspirationals lease the sorts of cars rich people own outright.

 

[HacksawJimThuggin]

you sound like an idiot

you just gave up 20k for nothing and no you have to spend another 20k another car

first off, you shouldn't finance a car if you don't have good credit, with good credit you're payment will not be double a lease, lease is always higher because its short term financing

you don't understand how loans work either, after the 3 years it doesn't matter what my car is worth, whatever equity i have will go towards my new car and that old loan will be paid off and will have a new loan, you can always restructure a loan its imaginary numbers in a computer

if you can't pay off a car within 4 years you can't afford it and should get something cheaper
leases are for people who can't afford to pay

if I pay off a car in 4 years, you already came out 40 grand for a fukking lease some shyt you don't even own its just money spent, i still have my car and I can drive it forever

You can lease a car (3-5 years) for just as long as you can finance a car for, so the interest is usually at the same rate.

Yall keep talking about "I own the car I can drive it forever" when we've already established that it's the smart financial move, BUT NOT MANY PEOPLE ACTUALLY DO THAT. That's not even the discussion anyone is having.

Again, if you're keeping a car for 5 years or less, it doesn't make sense to buy it. That's all most of us are saying.

 

[hashmander]

i do 3 year leases because that's what works for me. i own my home and lease cars. if you don't have excellent credit and don't know about things like money factor and residual value, don't bother with leasing because you could end up with a shytty deal.

you could potentially have equity in a leased car as well. the car companies are good at determining residual value, but sometimes at the end of the lease the car is worth more or less than the estimated residual value 3 years prior. say you leased a $60 kmsrp car with a 36/39 month residual of 60% that means at the end of the lease they estimate that the car will be worth $36k and if you want to buy that car you can pay them $36k at the end of the lease and own it. but let's say the car is now worth $38k (at carmax, another dealer, etc). you can take it to that dealership and they'll pay off the $36k you owe and give you a check for $2k (that's your equity). if it's worth less than the estimated residual value that's not your problem because you're just turning the car in and that also means your lease deal was lower than it should have been.

there are some outstanding lease deals out there if you look on sites like leasehackr

 

[Master Teacher]

You can lease a car (3-5 years) for just as long as you can finance a car for, so the interest is usually at the same rate.

Yall keep talking about "I own the car I can drive it forever" when we've already established that it's the smart financial move, BUT NOT MANY PEOPLE ACTUALLY DO THAT. That's not even the discussion anyone is having.

Again, if you're keeping a car for 5 years or less, it doesn't make sense to buy it. That's all most of us are saying.

lmao at leasing a car for 5 years

you understand with a car you're not getting 100 percent of what the car was worth and your paying interest on borrowing money

but the car is yours when you pay off, that means you have the car and you have whatever its value is, with a lease after 5 years you've spent a money with nothing to show for it lmao,

in what world is nothing better than something

goddamn I see Vlad's audience is a bunch of morons

I swear he is an agent

 

[Donald J Trump]

a car isn't any investment, also a car is not a bad investment

how do you think car dealerships make money

i can a buy a benz from the auction for 6500 and sell it for 20,000, how is that a bad investment lmao

what do you own/ what have you ever sold?

Vlad interviews c list celebrities for a living, he don't know shyt about investing or real estate

knowles got fired by his own daughter, this dumb c00n said he doesn't want to own anything at 67 lmao, tell that to the rothchilds lmao fukk outta here listening to these morons

Did you really just turn this into a dealership selling cars


This convos over

 

[HacksawJimThuggin]

lmao at leasing a car for 5 years

you understand with a car you're not getting 100 percent of what the car was worth and your paying interest on borrowing money

but the car is yours when you pay off, that means you have the car and you have whatever its value is, with a lease after 5 years you've spent a money with nothing to show for it lmao,

in what world is nothing better than something

goddamn I see Vlad's audience is a bunch of morons

I swear he is an agent

You keep the saying the same strawman shyt and clearly aren’t understanding... no one is debating that owning a car long after it’s been paid off and running it into the ground is the best financial decision.

HOWEVER, most don’t do that, and for them, it makes more sense to lease.

Now stop quoting me.

 

[Donald J Trump]

real estate is guaranteed to appreciate you fukking moron

If buy a foreclosed house for 5,000 dollars or a house for taxes, i'm never going to lose any money,

people will always need a house to live in, look at detroit, when the values dropped they are back up and people who held the properties are multi millionaires

real estate is always guaranteed to appreciate you fukking dummy, thats why you own nothing and will never be rich

No investment is a guarantee, every investment has risk

Investing 101

You really have no clue what your talking about