Leasing or buying a car absolutely depends on your personal preferences and circumstances. There are those who love driving a new car every time while keeping up with the most recent models. For such people, leasing is probably a more a more appealing option. The monthly payments are always affordable and you can still change your car frequently.
If you decide to lease, a company like Intelligent Car Leasing can help you with making the right choice. However, there is more into leasing than just the flexibility in cost and style. So, what is the point of leasing?
You get savings for initial fees and a down payment.
In most lease agreements, you can get low down payments or the dealer can waive the down payment for you. Therefore, you will as well pay less for sales tax on the lease. Hence, with the reduced down payment, leasing comes with a gentle impact on your cash balance as well as your budget.
Lower Monthly Payments
Apparently, leasing can get you low monthly payments almost all the time, unless you are having a high-value trade in or making a big down payment. This is in contrast to when you would have purchased the same car. You also have the benefit of being able to add more options or upgrading to a model that is more expensive while maintaining your car-buying budget.
The leased car stays Covered Under Warranty
In most cases, lease terms will last three years. However, there are both longer and shorter contracts available. With the basic three-year warranty on most of the cars, you can predict the total cost of ownership. In some cases, you might find basic maintenance included in the lease, so you only cater for fuel and insurance.
Fewer maintenance issues
You will not be caught up in the hassle of maintenance as the vehicle ages because you will have the opportunity to drive a newer car all the time. You have the option to turn in the car before the problems begin to show up. This is great especially for those who lead busy lives or are ever on the road.
How hard you will be on your car.
It would be a good idea to lease, but if you expect the car to go through too much hardship, you won`t lease. This is because wear-and-tear fees may be too high even after a favourable agreement.
If your credit score is low, then you probably can`t lease even if you want to. This is even more intimidating when you are looking for a manufacturer-subsidized unique lease deal.
Generally, you will only lease when you need to avoid high expenses. There are plenty of good reasons to lease, but you should know that there are circumstances when it is not a good idea to lease.
Apart from the few mentioned above, you should note that things like mileage restrictions, lack of equity and ride sharing restrictions might make it a bad idea to lease. Apart from leasing to save some cash, you can subscribe to alwaysbejobhunting.com for other many ideas on how to stay organized and save or make money.
This guest post was contributed by Pete McAllister and may contain sponsored links.