For a growing number of drivers, leasing a vehicle is becoming a more popular choice than car ownership thanks to the affordable rates and low up-front costs.
Getting more for your monthly payment is a huge benefit of a lease, although it doesn’t provide the growing equity that owning your own automobile does. Despite being left with little to show for your lease after it is over, the total cost savings is enough to sway many shoppers. If you’re opting for a lease, here are five tips that can stretch your money even further and get you driving the car you want for a price that’s within your budget:
1. Negotiate The Vehicle’s Price, Not Just Monthly Rate – When leasing a car, most consumers underestimate the importance of the vehicle’s total price. Just as when making a purchase, the overall value of the vehicle is what determines your monthly payment. Negotiating solely based on your monthly budget will leave you at a price disadvantage to others savvy enough to bring down the price on both fronts.
2. Pay Attention To Manufacturer Deals – Vehicle manufacturers are always running promotions. On some automobiles, during certain parts of the year, these promotions can mean significant savings that are passed on to you from the dealer. If you’re planning to lease a vehicle, keeping up with the car companies’ deals can help narrow down the best-valued vehicle, as well as the best time to make a move and sign a lease.
3. Plan For Your Mileage Needs – One of the most costly expenses for drivers leasing their vehicles are mileage overages, especially with luxury cars. Dealerships and vehicle leasing companies routinely charge $0.10 to $0.25 per mile over their specified annual limits, which are commonly 10,000 or 15,000 miles. Determine how much you’ll likely be driving before signing your lease and be sure to choose a mileage plan that won’t leave you paying an arm and a leg when it’s time to turn the car in.
4. Consider Vehicles With High Residual Values – Since we’ve already established that lease prices are based on a car’s total value, it makes sense that the amount the vehicle is worth after your lease is up come into play when determining price. Industry sites like fincar.com.au can help you track the best vehicle options when leasing. Choosing a vehicle with a high residual value will help lower your monthly costs by minimizing the amount the car depreciates while you have it.
5. Treat Your Car Like Royalty – Gone are the days when leasing a car meant extending the same amount of care you would give to a rental vehicle. Under modern automotive leases, you are likely going to be responsible for any small damages outside of the scope of normal wear and tear. In order to avoid potentially sizeable fees when your lease period is up, be mindful of the car’s interior care and be sure to keep up with any regularly scheduled maintenance.
Finding great deals on lease vehicles isn’t difficult in today’s automobile market. Many car companies are offering great specials to drivers interested in leasing, and being up-to-date and knowledgeable on industry trends is sure to help you save even more. With research, due diligence and a readiness to jump on the best deals when they arise, stretching your funds with a vehicle lease can be a piece of cake.