Car leasing is one of your options if you are looking for a car to use, whether it’s for personal or business purposes. The difference between car leasing and buying or renting a car is that you pay monthly for the duration of the lease contract. You also get the opportunity to buy the leased car for its depreciated value. If you are thinking about going for this option, here are the benefits that you can get from it.
Drive a new vehicle
Cars that are available for lease are brand new. If you love the thought of driving a new car every few years, leasing will give you the chance to do that without spending a massive amount of money. After the lease is over, you can go for another model, and it will not be as expensive as having to purchase a new car.
Lease contracts vary in their duration, but it’s best to do a 3-year lease because the vehicle will be typically covered by insurance during this period. If you ever need major repair, the insurance company will take care of the expenses. It is also less hassle because new vehicles are still in top condition so you can avoid problems and break downs.
New features and models
Since you can replace the vehicle after the lease period, you will also have access to the latest models and features of cars. If you purchase a vehicle, you will be stuck with whatever features it came with when you bought it. Vehicles are continuously being improved, and the new safety and security features of more modern models may be better than what the older ones had.
Lower upfront cost
Some lease companies can add the down payment to the monthly rate, so you don’t have to spend money upfront. However, if they require you to pay a down payment, it will still not be as expensive as the cost of buying a new vehicle. Many companies will require at least a 20% down payment of the total price of the car being purchased. If you don’t have this amount on hand and you need a vehicle to use, you may want to go for leasing.
Maintenance can be included
There are also lease packages that include maintenance of the vehicle. If you don’t want to be surprised by the maintenance costs, you may opt for this package. You may add a few pounds on the monthly rate, but you will not have to worry about unexpected expenses that may come up. It will be easier to budget if you know your expenses upfront.
Lower monthly rates
Aside from the lower upfront cost, leasing a vehicle will also offer you lower monthly fees. It’s because you will be paying for the car’s depreciated value for the duration of its lease instead of its actual market value upon purchase.
Finding the cheapest lease deals for your car will save you money, and it will also let you drive a newer car every few years.
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