Because all vehicles depreciate. That’s right, all vehicles depreciate up to 50% or more over a 36 month period. In today’s environment with the price of vehicles as high as they are financing a new car has extended to 8 years to keep the payments reasonably priced. So if you plan on your next purchase to be your last, leasing is not for you.
Reasonably speaking, most people don’t keep their vehicles for more than 4 years. The most cost effective way to reduce your liability is to lease not buy. When you lease you remove the risk of ownership, you maintain gap insurance to protect your loan against risk of loss due to total theft or total loss. Just write a check for your deductible (provided your account is current) and drive off in a new vehicle. Can’t get that type of protection on a retail purchase. No more risk of loss due to body damage repairs or model changes.