Leasing vs Buying a 7 seater SUV (XC90 vs Q7)

Leasing vs Buying a 7 seater SUV (XC90 vs Q7)

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OttoMattik

Original Poster:

129 posts

116 months

Thursday 4th January
quotequote all
Thinking of switching from leasing to ownership after 8 years of running personal leases – mainly as the lease deals aren’t as attractive as they used to be anymore.

Requirements are a comfy 7 seater SUV – so looking at XC90 or Q7. As much as I’d like a Discovery or Defender, ruled out LR options as insurance quotes on them for my London postcode are upwards of £5k!

Leasing
XC90 Plus Diesel - 12 + 47 on roughly £600 per month = c£35.5k
Servicing over 4 years = £2k
MOT + Repair costs in Year 4 (out of warranty) = £500
Tyres = £2k
Total = £40k
Net outflow = £40k

Ownership
Q7 2020 (Facelift version) S Line/Black Edition = £40k (£15k down payment + £25k personal loan)
MOT and repair costs each year @ £2k = £8k
Tyres = £2k
Tax = £390x2 + £180 x 4 = £1.5k
Finance costs = £4k
Total down = £53.5k
Price of Q7 after 4 years = £15k (approx with 40k miles added)
Net outflow = £53.5k - £15k = £38.5k

Do these numbers look right? There’s not much in them to warrant running a 2nd hand vehicle outside of warranty for 4 years. Obv I understand that the longer I run the Q7 the cheaper the total cost of ownership becomes. Also, the car choice is deliberately different as I would really like the Q7 but the leasing costs are much higher and the closest match I could find was a deal on the XC90.

Are there any major costs I’ve not included here? Have not added insurance as that will be the same regardless of ownership option.

Paul Lazzaro

89 posts

42 months

Thursday 4th January
quotequote all
I think your servicing costs for the Volvo are a little low, and repair costs for the Audi a little high?