Buy or Lease? 2022 Yukon Denali

steiny93

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What do you all think? Do you think these 2021-2022 Yukon Denali's will lose a bunch of their value in 3-4 years? Especially buying now since everyone is paying a premium? I have always purchased new but now I am debating whether it may be better to lease under these circumstances? I have a 2022 on order.

Went through the same thought exercise, here is what I came up with, it has a few moving parts.

1) premium cost
- if you were buying all cash no trade, then yup, you are stuck with very low discounts off msrp (the 2021 my wife bought was a 10% discount instead of the usual 2x% from GMC)
- if you were trading then you recouped some/all or all of that differential
- I sold her previous vehicle outright on the open market and I believe I reclaimed the entire extra 10% of the new vehicle cost through the increased sale price of her previous vehicle
2) intent of a lease
- purpose of a perfectly neutral lease is to pay dollars to overcome depreciation (no more, no less)
- customer positive is that you pay less then depreciation
- dealer positive is that you pay more then depreciation


So with the above context, for folks who had vehicles to trade/sell ahead of buying new the depreciation against 'boot' price is nullified. Nullified in that they didn't have to pay more to get the next vehicle, the increased value of their existing covered some/all. On the other hand if someone was entering the market they are holding a 10% higher cost new vehicle which will be reflected in some amount of depreciation. I say some in that this 'may' balloon vehicle values vs 100% impacting depreciation.

personally,
I don't believe the 10% new cost premium is going to drive depreciation. Rather $6 / gallon fuel will cause that mess to occur.
With that,
I didn't see how leasing was a cash positive path for me as I didn't think the buy out prices added to the lease costs were a better deal then buying it new outright. But... if used values absolutely dive the leasing would have been a better option.
 

lpair

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What do you all think? Do you think these 2021-2022 Yukon Denali's will lose a bunch of their value in 3-4 years? Especially buying now since everyone is paying a premium? I have always purchased new but now I am debating whether it may be better to lease under these circumstances? I have a 2022 on order.
I think a lease is a way to go at this time.
 

Banks22

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Had a 21 Tahoe HC priced out for lease. With GMS and Costco rebate, 3 year 10,500 miles/yr was $970/month $0 down. Crazy money
 

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