Car leasing is not only an appealing financial proposition to most auto-consumers, but also a lifestyle and preference choice.
Here a four key benefits of leasing a car.
1. Keeping up with the latest trends. Leasing is occasionally more of a personal and lifestyle choice than a financial one. Lots of people are not comfortable with the idea of owning a car over a long period of time. They'd rather keep up with the latest technology and safety innovation and drive the latest models every 2 to 3 years. If you are prepared to sacrifice ownership for the latest set of wheels, than leasing is your best alternative.
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2. Leasing also offers buying flexibility: it allows you to defer the buying decision while using the car. You do not have to negotiate with your mechanic over repair costs, deal with large maintenance bills or worry about a depreciating asset. You are actually getting a test drive for the length of your lease. At the end of your lease, you can buy the car or simply turn in the keys and walk away.
3. Leasing offers numerous short-term benefits. It reduces your preliminary cash expense because you do not have to pay the large down payment required for car ownership. You only pay for the depreciation on the car - only the part you will use during your lease, not the entire vehicle. This results in lower monthly payments and frees even more cash.
4. Almost everything about leasing is negotiable. If you know all the fees involved, you can lower your monthly payments, negotiate the purchase price of the car at the end of the lease and contract additional miles on top of your mileage limit. You can also do some shopping around and compare deals from different auto-insurers to get the cheapest GAP insurance for your lease.
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