[Ryan]

.. I am leasing a 2020 SUV and the lease is up in May 2023. Should I buy the lease out and keep the SUV or buy the lease out and then sell it for a much cheaper and older car?

I make $43k per year and the dealership stated that I can buy the SUV for $20,800.

My concern is that it is a really nice SUV and very safe for my 2 year old son and I would just have to continue to pay it off in the snowball debt method.

On the other hand, if I buy it and then sell it for a much cheaper car, say 8k and older model around 2019, it would free up 20k in debt and I would be out of BS2 faster.

Your suggestions would be great!

[Michele]

Need vs want you want the nice newer car you need a vehicle to get you from point A ti B. Plenty of reliable good used cars out there for a much cheaper price…. You have to really want to get out of debt for them to work. Good luck on your journey to financial peace.

[Joshua]

Safety concerns for a 2020 and a 2019 are going to be very similar. Freeing up $20k in debt for an older vehicle is probably the best step you can make

[Anthony]

Assuming you meant $43k a year, are you buying the SUV outright in cash? Otherwise I wouldn’t go into debt just to get another car.

[Bruce]

Even if you could pay cash for the car, it’s really too expensive. I’d focus now on saving $4,000-$5,000 in the next three months. Turn the car in when the lease ends in May. Then buy a perfectly “safe” 15 year old Civic or Corolla for cash and look forward to the day when BS3 is finished and you can save to upgrade in car.

[Dan]

You only make $43 per year? Maybe $43,000? Anyway… To get out of debt faster I would turn the car back in at the end of the lease and get rid of that payment. Save a few $$ and get a cash Hooptie to drive for a short period of time to get thru BS2 and BS3 ASAP. Driving a hooptie will motivate you more to get thru and then save up after BS3 for a new car (to you) and sell the hooptie. You Got This!

[Author]

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