Tips to Save Money When Leasing a Vehicle

You want to get a car lease at an affordable cost. You will not own the car by the end of the contract, so you need to get the right terms and conditions before you agree to sign the lease. There are ways for you to get the cheapest lease deals possible. You need to be smart in making decisions, and here are some tips to help you.

Try to negotiate the terms

Always remember that as a customer, you have the upper hand. Take advantage of it since dealers will find a way to convince you. Be willing to leave if they will not give in to your demands. Ask for a lower monthly payment. Ask if you can transfer the lease to a new owner in the middle of the term if you can find one. You can also negotiate the mileage limit. Don’t agree to it if it is lower than the industry standard, which is 12,000 miles. You should decide on all the terms first or else you must find another company.

Protect yourself

The Guaranteed Auto Protection insurance or GAP insurance is essential for a car lease. You should buy a policy from a third-party auto insurance provider if the insurance is not a part of the contract. If you lose the car, or someone steals it, the auto insurance will cover the cost.

Look for cars that don’t depreciate quickly

It is essential to look for vehicles that will not depreciate fast. You can take a look at information online regarding car models and their depreciation related information. Depreciation value affects the amount you have to pay each month. Besides, cars that depreciate quickly are probably of lower quality compared with vehicles that don’t depreciate so rapidly.

Limit the lease

Don’t lease beyond the factory warranty of the car. If you do, you will be responsible for paying for the repair costs and other potential issues. The average is 3-4 years for the lease.

Consider buying the car

If you think the car is worth it, and you have come to love the car after years of driving it, you can buy it at the end of the lease. Make sure that you will not pay a high amount to purchase it once the contract is over since you have already paid a part of its value over the years. Ask for the computation of the car’s worth if you want to buy it. Compare it with the current value of the vehicle in the market. If you feel like the price is fair enough, you can purchase the car. Try negotiating first if you think the amount is still high. If you can’t get the amount you want after negotiation, walk away. You can find newer models out there for the same amount.

You want to save money, so choosing to lease makes sense. Don’t sign the first deal you find. Keep searching until you are satisfied with all the details.

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