Should You Lease A Car?

August 17, 2016
Leasing a car tends to get a bad reputation, but I’m here to set the record straight! For many people, leasing a car provides many benefits that buying a car wouldn’t allow. No matter which category you fall into, it’s important to know the real facts about leasing a car. Read on to see when leasing might be the right choice for you:
  • If you plan to trade in your car. Oftentimes, the trade-in value is low enough that you’ll save more money by leasing a car rather than buying and then trading in!
  • If you need a car immediately, but don’t have the money for a down payment. Down payments on a leased car are significantly lower than on purchased vehicles. So if you’re in need of a car quickly and don’t have a lot of money saved up, leasing is a great option.
  • If you need low monthly payments. The monthly payments on a leased car are lower than on a car you buy. This is because the payments are based on the decreased value of the car as time goes on.
  • If you want the latest and greatest. If you frequently get the urge to change up your ride, leasing is the way to go. You’ll have lower payments and not have to worry about depreciation. Most car lease agreements last three years, meaning you’ll never be stuck driving an old clunker. Instead, you’ll experience all the newest technology and features.
  • If you want a tax break. When owning a car, you pay taxes on the overall price of the vehicle. But if you lease a car, you’ll only have to pay taxes on the total value of the payments, which will be significantly lower than the price of the car.
  • If you don’t drive much. People who lease a car usually have a 10,000 to 15,000 mile annual limit on their car, so leasing is a better option for people who aren’t going to go over that limit.
  • If you want to always drive under warranty. Most cars are under warranty for just about three years, which is the usual duration of a car lease. Therefore, people who lease a car will always be under warranty and be covered for unexpected repairs needed on the car.

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