Benefits Of Leasing Instead Of Buying A New Car

A new car is a wonderful thing. The smell, the feel, and the satisfaction of getting a car no one has ever owned are very satisfying. The cost, on the other hand, is the part no one enjoys. Leasing that car might be a better option for you and here are some reasons to consider doing that.

Depreciation

It is a well-known fact that a new car depreciates the most in the first few months that you have it. The value drops so rapidly in that time frame that buying it puts you upside down in the loan almost immediately. A lease, however, does not have that same issue because while the car still deprecates, you could turn it in and start with another car anytime. The lease is designed so that you are paying to use the car more than own it. 

Long-Term Versus Short-Term

While a lease is not intended to be a short-term commitment, it is not designed to be as long as the loan on a car that you are buying. The three-year lease also assumes that you will keep the car for three years then turn it in and get a new car, starting over again. If you like the idea of never having a car more than a few years old, the lease can be very attractive. The loan period on a car is six or more years, and often after the car is paid off, it is traded for a newer model, so the lease gets you in the new vehicle sooner and more often. 

Lower Payments 

Often when you enter into a lease, especially a factory finance program lease, the down payment, and monthly payments are lower. The lower payments can be easier to handle if you are on a tight budget. The amount is also typically more flexible than a traditional loan payment. The down payment you choose to pay at the beginning of the lease can make a big difference in what you pay monthly so putting down as much as you can help. 

Warranty Periods

The warranty on a new car ends about the time you own the car, but with a lease, you are never out of the warranty period because you don't own the car that long. Leases often come with maintenance packages as well. The dealer wants to keep the car in the best shape possible so that they can sell it for more on the other end of the lease but that translates into better service for you. 

For more information on finding a Lexus for lease, contact your local dealership today.