If the ultimate goal of leasing is to own the car after the lease ends then it is a very good strategy. You scores are a bit low for leasing but depending on what kind of car you are getting, it is doable.
No one here can tell what interest rate you will be getting as a lot of factors go into determing that. What kind of car are you thinking of getting?. Also, getting someone to co-sign just gives you a better chance of getting the car if their credit file is better and does not change anything. They will be joint on the account and will report to both credit files.
You can always call the dealership and ask what scores they pull and what version. I don't think you will be able to qualify for a lease on your own, you may need your husband but he may not even qualify for the best rates (generally a score of 700 or above). I understand not having the money saved up for a down payment, but if you decided that you like the car (I would hope that you like it even if you are leasing it) and want to purchase it, then you may actually end up making payments on it for a longer amount of time than if you had just purchased it in the first place. Example: 36 month lease and then finance for 48 months (only picked this number because you said you didn't want to make payments for 60 months), you are now making payments on it for 7 years instead of the dreaded 5 years that you don't want. Just something to think about!
I’ve never had a good experience buying a used car (I’ve bought several cars but the title was in someone else’s name so I’ve never had an auto loan of any kind), and because I wasn’t expecting this I don’t have the kind of money I’d like saved for a good down payment on a loan, and I refuse to be stuck on a 60+ month loan repayment, so I’m thinking I’m going to do a 36-month lease on a new car and plan on buying out the car at the end of that if I like it—I’m about to graduate college (and start paying down student loans) so I’ll be in a much better financial position to buy a car in 3 years time.
I did the same thing with my fiancee, She needed a car, I was in grad school, we figured we would be much better off with a leased car to keep payments low, and then purchase the vehicle after 3 years. Worked out well, but we had suprise baby, and she lost her job, and grad school took an extra year because I had to work part time to afford life.
So, I would recommend that even though you might be in a better place financially in a few years you might still want to be frugal with your purchase. We leased a 16k vehicle and still wound up with a 5 year loan for the buyout. that being said, payments have been wonderfully small which suits our particular need.
i have never leased before and have a family member that leased and will owe mileage overages. may have had good intent but life happened and they aren't in the financial shape they wish. they couldn't qualify to get into another car.
this made me wonder how a typical lease works? are there specific terms at that time addressing what happens with a buyout option? or is it normal to have to get the lease terms up to date and then completely rerun your credit and get financing at that time?
im assuming its impossible for them to set terms for a lease to buy option when taking out the original lease?
The residual value of the car is set at lease time. If they over estimate, you are better off if turning in (excepting mileage overages or damage), if they under estimate, you are better off if purchasing the vehicle.
Often mileage and/or damage can be waived if leasing a new vehicle but that will depend on the specifics and won't always be outlined in the contract, its a buying tactic for them to get you into something newer.
A lease is a great way to get a 9 year auto loan, as you can lease for 3 and then get a 6 year payoff to buy the vehicle. Or if you are in poor financial shape and expect to be in a better position in 3 years, its a way to secure a new vehicle while keeping payments on the low end. You wind up with no car, or a larger payment, after 3 years, but if its important to have a reliable vehicle, an excellent option.
Usually there is a flat 350 buyout fee. Also usually a flat 350 turn in fee (waived if you purchase a new lease).