how do you use leverage if car is at a great price

Asked by Feb 06, 2013 at 01:06 PM about the 2011 Ford Explorer

Question type: Shopping & Pricing

I'm looking at a car and it says it's a great price and says great leverage.  What does that mean and how do I use leverage under these circumstances?

1 Answer

93,715

You don't. Leverage is a term used mostly in real estate deals and means that you use mortgaged properties to buy other properties. In investing, it means using borrowed capital, such as margin, to increase the potential return of an investment. --- A Ford Explorer is a depreciating asset which means you should make the loan amount as low as possible by making a large down payment. Paying cash up front makes the best fiscal sense in car buying. --- If I'm buying a car, I'll determine what is a "Great deal" and what has "Great Leverage" - not some ad- man writing advertisements to entice the masses. You are the consumer, make smart choices. Use KBB.com, Edmunds.com and TrueCar.com to determine how much particular vehicles are selling for in your area. Learn the dealership and salesman's tricks and traps to separate you from your money. You buy one vehicle every few years, they sell many vehicles weekly. Inform yourself so you can get close to a fair deal at the end of the negotiations.

1 out of 1 people think this is helpful.

Your Answer

Add photo

Related Questions

  • On your normal leverage and hot seller, what makes a certain car a hot seller? Thank you 1 answer

    What makes a hot seller and what makes a normal average when number of days on carguru? Thank you

    2008 Ford Explorer Eddie Bauer 4WD

    -

    Shopping & Pricing

  • Any hidden fee not included at the Price 3 answers

    I wonder if the Price listed at the web already including all the fees, such as tax and Car Registration. Is there any hidden fee not shown at the Price yet? In other word, is the Price out-of-pocke...

    2015 Ford Explorer

    -

    Shopping & Pricing

  • what price to pay, 95000 miles and runs great 2 answers

    1999 Ford Explorer 4 Dr Eddie Bauer 4WD SUV

    -

    Shopping & Pricing

  • IS IT A GOOD CAR? PRICE=5,700.00 WITH 113,000 MILES, SHOULD I BUY IT 2 answers

    2004 FORD EXPLORER; XLT MODEL; 4WDR 6 CYLINDER, 3RD ROW SEAT, MILEAGE IS 113,000; VIN - 1FMZU73K14UA74040. PRICE IS $5,700.00; VERY CLEAN. HOW IS THE TRASMISSION? HAS IT HAD ACCIDENT BEFORE? SHOULD I...

    2004 Ford Explorer XLT Sport V6 4WD

    -

    Shopping & Pricing

  • Pricing? 4 answers

    I own one of these cars, it has 33,000 miles and its been garage kept and is in great shape. I would like to sell, but Kelly bluebook tells me it worth about 15,000. My dad gave this car to me and t...

    2002 Ford Thunderbird Neiman Marcus Edition Convertible

    -

    Shopping & Pricing

Get More Money for Your Car
Be seen by 20 million shoppers. Create Your Free Listing

Search Ford Explorer Questions

Ford Explorer Experts

#1 OJ
OJ
Reputation 9,360
#2 Tom Demyan
Tom Demyan
Reputation 3,730
#3 tennisshoes
tennisshoes
Reputation 2,130
View All

Related Models For Sale

Used Ford Expedition
413 Great Deals out of 24,690 listings starting at $1,999
Used Jeep Grand Cherokee
840 Great Deals out of 68,654 listings starting at $864
Used Chevrolet Tahoe
775 Great Deals out of 28,432 listings starting at $1,500
Used GMC Acadia
586 Great Deals out of 43,502 listings starting at $3,995
Used Ford F-150
2,691 Great Deals out of 211,555 listings starting at $1,000
Used Ford Edge
820 Great Deals out of 50,749 listings starting at $3,375
Used Dodge Durango
299 Great Deals out of 24,118 listings starting at $1,500
Used Ford Escape
1,113 Great Deals out of 90,502 listings starting at $1,295
Used Toyota Highlander
481 Great Deals out of 25,067 listings starting at $1,500
Used Honda Pilot
461 Great Deals out of 19,628 listings starting at $599
Used Toyota 4Runner
319 Great Deals out of 20,540 listings starting at $2,295
Used Chevrolet Traverse
715 Great Deals out of 43,940 listings starting at $2,490
Used Nissan Pathfinder
413 Great Deals out of 24,808 listings starting at $999
Used GMC Yukon
517 Great Deals out of 17,114 listings starting at $1,799

Used Cars For Sale

2017 Ford Explorer For Sale
18 Great Deals out of 44,399 listings starting at $24,490
2016 Ford Explorer For Sale
166 Great Deals out of 5,850 listings starting at $16,900
2015 Ford Explorer For Sale
135 Great Deals out of 3,462 listings starting at $13,595
2014 Ford Explorer For Sale
254 Great Deals out of 6,053 listings starting at $11,400
2013 Ford Explorer For Sale
146 Great Deals out of 3,888 listings starting at $9,000