With all the hype about leasing these days, it’s hard to really know what the best deal is. The numbers always seem great, but you ask yourself if there’s a catch. Do you really want to pay to “borrow” a car? If you’ve had any worries or questions about leasing a car, here is the low-down about leasing:
Only Pay for Part of Your New Car
Wouldn’t you love to pay way less for something than it’s worth? You can with a lease! That’s because a car loan is based on the full price of a new car, while a lease is based on only a percentage of the car’s price. So instead of making payments on the full retail cost of a car, you only make payments on its estimated value at the end of the lease, which is usually closer to half the cost.
Money for Down Payment
If you only have a small down payment saved up, leasing may also be better for you. Many car leases require money up front, although the down payment is negotiable. Many advertised lease offers will promote low payments, but require a sizeable down payment. If you want to put as little down as possible, remember that your monthly lease payments will be higher.
Warranties
One of the benefits of getting a new car is the bumper-to-bumper warranties. And since many bumper-to-bumper warranties last for three years, you’re covered for the entire lease! That means the car is usually covered under warranty for repairs for the duration of the lease. All you really have to take care of is the routine maintenance, like oil changes, tire rotations, and any recommended maintenance from the manufacturer.
The Latest and Greatest
One of the more obvious reasons to lease is that you always get to drive a new car! Since you’re only leasing for a few years at a time, you can always get the latest and greatest style and features. And as an added bonus, you don’t have to worry about selling the car or getting a good price for your trade-in. When the lease is up, you can simply turn in the car and walk away!
Is your interest perked? Stop by your local dealer for more information about leasing!
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