Overall lease vs PCP balance difference - help please!
Discussion
Currently weighing up taking on a car through my business. Have done so previously via both Lease and PCP, currently looking at the latter but lease just caught my eye again.
Car list is £58845 incl VAT, and PCP DEAL IS £5884 deposit and then 35 months x £934.59 per mth = TOTAL £38,594.65, with a final payment of £20,250 – so total amount payable is pretty much list, thus 0% APR. Assuming I wasn’t to pay the balloon, the above is suggesting that after 3 years and 30k, the car would be worth £20250. In an ideal world, I’d just re-finance this last bit and keep the car – the manufacturer seems reliable and have decent warranties.
However, lease quote on same car via same source, main dealer, is £4910.67+VAT deposit, and then £545.63+ VAT x 36 months. Total payable over 3 years = £29,464.02 incl VAT. Nearly £10k less!
I’m all for paying a smaller payment BUT I’d perhaps plan to keep the car after the 3 years given the warranty available and how it will be used. I know the leasing firms (in this case the Manufacturers’ finance co) aren’t under any obligation to sell on (is that a given or not?) but if the above is right, I’d rather take the lease route (cheaper) and assume that the car would be worth £20250 (cheaper balance) and make an offer there or thereabouts.
I know this is having my cake and eating it and is the best of both worlds – but am I missing something here? Does the leasing company/division buy the cars so much cheaper that it could do this? And if so, is there a chance that they wouldn’t let me purchase the car outright afterwards? Surely it’s only worth what it’s worth – whether it’s sold to me or someone else/auction etc?
Would hate to get 3 years down the line to find I could’ve done the lease option and saved £ over the PCP, thus any help appreciated.
Thanks!
Car list is £58845 incl VAT, and PCP DEAL IS £5884 deposit and then 35 months x £934.59 per mth = TOTAL £38,594.65, with a final payment of £20,250 – so total amount payable is pretty much list, thus 0% APR. Assuming I wasn’t to pay the balloon, the above is suggesting that after 3 years and 30k, the car would be worth £20250. In an ideal world, I’d just re-finance this last bit and keep the car – the manufacturer seems reliable and have decent warranties.
However, lease quote on same car via same source, main dealer, is £4910.67+VAT deposit, and then £545.63+ VAT x 36 months. Total payable over 3 years = £29,464.02 incl VAT. Nearly £10k less!
I’m all for paying a smaller payment BUT I’d perhaps plan to keep the car after the 3 years given the warranty available and how it will be used. I know the leasing firms (in this case the Manufacturers’ finance co) aren’t under any obligation to sell on (is that a given or not?) but if the above is right, I’d rather take the lease route (cheaper) and assume that the car would be worth £20250 (cheaper balance) and make an offer there or thereabouts.
I know this is having my cake and eating it and is the best of both worlds – but am I missing something here? Does the leasing company/division buy the cars so much cheaper that it could do this? And if so, is there a chance that they wouldn’t let me purchase the car outright afterwards? Surely it’s only worth what it’s worth – whether it’s sold to me or someone else/auction etc?
Would hate to get 3 years down the line to find I could’ve done the lease option and saved £ over the PCP, thus any help appreciated.
Thanks!
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