To be lost about what car to buy

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I drive 50 miles a day to work and back. My old car has given up. Do I get another second hand car and deal with the inevitable depreciation and garage bills, or do I get a car on leasing which of course means I have to give it back in 4 years but depreciation and repairs are no issue? I'm going round in circles here! Any experience most appreciated!

Also what about servicing if I buy the car outright? Would it affect the resale value if I didn't go to the make's own garage and just used a local garage instead?

I wouldn't get a lease car because of the scratch issues, we buy cars to use and not worry about stuff like that. My car has a scuff on the wheel arch probably from a car park and a careless driver, also if you do a higher mileage as DH does it costs more, we generally buy outright at 2-3 years old and keep until about 10 years old. Leasing is really for those that keep an immaculate car and do a particular amount of lowish miles a year, if you feel that is you OP then maybe look at leasing

Not sure, but if you get a good make like Toyota with a long warranty (theirs is now 10 years), you do need to use their servicing.

I haven't RTFT so not sure this has been mentioned but nowadays some brands - especially German ones like bmw - are becoming infamous for making cars with components liable to fail after the initial 3 or 4 year leasing period.

@ErrolTheDragon I was looking at Mini 😳

Have you checked somewhere like Motorpoint?

@BobnLen I'm high miles which is why husband thinks I should get a lease car; let a borrowed car bear the brunt of my commute and then buy outright when my mileage drops and I'm not thrashing it so much!

Best option is a "nearly new" with a car loan if you need it so in a few years time you own the car outright. If it's a Land Rover you're looking at them lease it!

You can take your car to any garage whilst it is still under warranty. The bit you are looking for is

"We are an approved registered user of the Official manufacturer online Digital Service Book. We will update your digital service record and print off your service history."

That is where I take mine, 5 minutes down the road, local garage been there 30 years. I did have a service plan with Hyundai (previous car) and they collected it from my house and returned it back to me. Once that ran out I just took it to the same local garage I used for my previous cars.

I have a Kia with a 7 year warranty, no you don't need to have it serviced at Kia, just serviced every year and follow what Kia recommends ie spark plugs at 6 years etc. The local garage does the exact same service the manufacturer's garage does and usually for a lot cheaper too.

If you’re high miles then your lease will be higher to reflect this or you’ll end up paying excess mileage.
We have a 14 year old Toyota Prius, done 220k. It’s just beginning to have issues and I will be looking at a Yaris I think.

It really depends if you would trade in after 5 years. For the figures you quoted, you either pay 20kish for the lease for 4 years or 30k for the 5 year finance and then get maybe 8k back for the car when it's about 7 years old.
If you're happy to drive the owned car for another few years, I'd do that.

If you take your car back to the official dealer for its service some dealerships will extend the warranty for another year so it is worth definitely worth checking. Another thing to think about is breakdown cover. We have just bought two 2 year old cars and both come with free roadside assist which is saving us money on AA membership etc. Again, taking it back for servicing extends the roadside assist for another year. If you are commuting this to me would be invaluable. We ended up paying in full for the cars then taking out finance for the servicing paying £26 a month.

I've purchased a lot of cars in my time through a lot of various means. I leased a few because a wise man with a lot of money told me that although leasing feels like you're spending money, a used car will also depreciate each month but the money doesn't actually leave your bank so it feels less. I agree and disagree. Average car depreciates around £100 - £200 a month. A lease is loads more with no asset at the end - just further charges because it will be scratched and damaged. Most likely not even by you.

I now have an unsecured loan from a bank on a car from a large retailer because it's so much cheaper but the car is reliable and will be mine at the end and if things change I can just sell it, potentially at a loss but I've had the use. With a lease, if things change I could be locked in or have to pay a massive early termination. I will only buy cars this way or outright now.

However, it's horses for courses with these things and many people lease so it's obviously not a "bad" option otherwise people wouldn't do it.

If I knew more about cars, I would buy privately and save loads but I always think I'm buying someone else's problem. I like to have that added protection for a short time.

This is exactly why not to get a lease car. They don't want the 'brunt' of your commute, they want the car to have a decent life in it once your lease is over, and they'll charge you a premium because they only really want customers who have low miles.

Thanks everyone for your messages. Looks like the majority think buying second-hand is a better choice. I'm still undecided!

I recommend the new Kia Sportage diesel. Fab on fuel

I do like many others and buy a good second hand car (3-5 years old) and keep it until it starts to run into the ground and cost money. For the miles you’re doing I’d get a diesel as they’ll go way over 100,000 miles no problem. I have had second hand Audis and VWs that I’ve kept way past 100,000 miles and still got a couple of grand for them when it’s time for a new car.
I took out a bank loan for my last car, it’s for 7 years but only costs £135 a month. I bought a very reliable car make with a high spec and 36,000 miles on the clock so this will easily take me beyond the span of the loan.
I’ve heard too many horror stories of lease cars including a friend whose 4 year old Audi was apparently only worth £700 due to ‘damage’.

I get his logic but higher mileage means massive monthly rental. You're paying all the depreciation, cost of the car and their profit. If it's about covering maintenance, they're making a profit on that too.

We always look at both options and just do it logically

What is the depreciation over the same time as the lease and which works out cheaper

So work out total cost of lease due 3 years (road tax is included)

Then use online depreciation calculator to see what it would lose in 3 years, plus cost of road tax

Whichever is cheaper, we do

Last 12 cars have ended up being 9 lease and 3 buy

Your poor friend... that sounds like a nightmare!

I replaced my car in September. I traded in a 2012 Vauxhall Zafira and in the 8 years I had owned it, I had never used a dealer to service it; all that the dealership was concerned with when valuing it was that it had a service history.
Incidentally, I have found it for sale on AutoTrader for £1000 less than I paid for it in March 2016.