If you’re still debating whether to lease a car or buy a car outright, what you should know is that car leasing is now more popular than ever, especially for those who don’t want to make a substantial financial commitment which can last for a few years. The thing about car leasing is that it is convenient, it is a viable and affordable alternative, and it gives you the chance to drive a car that may be beyond your budget if you were to buy it. So, what else should you know about the actual benefits of leasing a car? Let’s find out.
The main benefits of car leasing:
- With car leasing, as mentioned, you have the opportunity to drive a vehicle which you could not otherwise afford. If it’s always been your dream to drive a Bentley, a Ferrari, a Rolls Royce, or a Maserati, you can do so without breaking the bank.
- Car leasing allows you more flexibility as it doesn’t often come with a hefty down payment or deposit.
- With car leasing, you don’t have to worry about high-cost monthly payments, which you would probably do if you were buying a car.
- You don’t have to worry about the complexities related to road tax.
- When you lease a car, maintenance is not too much of an issue.
- Once you finish with the lease, you can always opt for another type of vehicle.
- You don’t have to think about the cost of vehicle depreciation.
Let’s discuss all these benefits in detail:
No down payments or deposits
When you opt to lease a car, you aren’t usually required to come up with a down payment or deposit. Bear in mind, however, that you may have to settle registration fees, but when you think about it, you don’t have to pay an exorbitant sum per month for the lease, so this more than makes up for it. Simply put, if you don’t have the financial resources, car leasing is a more affordable and feasible alternative. There are also a lot of cheap car lease deals available, so you can easily find one that suits your budget.
Low payments per month
Of course, your monthly payments for the car you lease will depend on the type of car or its make and model (leasing a Ferrari is usually more expensive than a Honda, for example), but the monthly payments are still a lot lower compared to a car purchase. Leasing a car is often around 30 to 60% lower in monthly payments than buying a car.
When you lease a car, there is a fixed payment per month, so you know what you are getting into right from the start. Leasing periods can last from 2 to 4 years, although you may be able to arrange a time frame according to your circumstances.
Other key benefits
You can also get specific tax benefits when you decide to lease instead of buy. For instance, you don’t have to think about the road tax and making sure that your payments are up-to-date, as the lease agreement will often cover it. That’s additional peace of mind for you. Maintenance is also not an issue, as the warranty from the manufacturer covers standard maintenance expenses. For instance, the warranty usually covers exhaust or tyre replacement.