Leasing cars is a much better choice than purchasing. When people opt for leasing, they do so to enjoy a new vehicle with less of a dent in their wallet. Retail car prices are currently on the rise, so for you to get the vehicle you want, you may want to give serious thought to leasing.
Having a car in an auto shop for major repairs or services is both time-consuming and expensive. However, when you lease a car, it usually terminates before any major work becomes necessary. A leased vehicle always stays under manufacturer warranty, leaving needed repair expenses covered.
What Does Leasing a Car Involve?
Leasing a vehicle takes consideration of various factors. The following list below describes many of the aspects to understand when contemplating a lease:
Your Payments Reflect the Car’s Value.
The price that you will pay on a monthly basis depends upon that car’s sale price. Consideration of a vehicle with a lower value is necessary for the quest for saving money.
Higher Residual Percent Saves You Money.
The lease on any vehicle factors in a residual value percent into the monthly payments, which covers the cost of that vehicle’s depreciation. Lower monthly payments come from finding a car with a higher residual percentage.
Understand Your Set Miles.
Your car lease contains a set number of miles per month that you can utilize. Going beyond this set number incurs a fee which depends on how many miles you go past your limit. You must understand what your mile limit is so that you will not acquire the fee per mile for going over your limit.
Expect a Disposition Fee.
Though leasing is a bit more than making a monthly rental payment on a car, a disposition fee is something that you are generally expected to pay when you return your leased vehicle. This fee can run anywhere between $300 and $500.
Understand What Money Factor Means.
Money Factor is the equivalent of ARP. Make sure you look for the lowest money factor: this way, you will have more greenbacks in the bank.
Is it Better to Lease or Buy a Car?
Rocket science isn’t necessary to tell you that if you’ve landed on this page, you are trying to find a car. So, before going any further, you need to understand the differences between leasing and purchasing – this way you can decide which option is the best one for you. Tulsa has some great car leasing options, but Zooomr believes that before you sign on the dotted line, make sure you completely understand your choices.
You Won’t Own the Car
When you have purchased a vehicle, you can do with it whatever you wish, as long as you realize that you may still have to pay for a while. When you lease a car, you are merely paying to use the lender’s vehicle. You can pay less to lease a car in Tulsa, but you have no right to sell or mortgage it.
Leasing Cuts Down Up-Front Costs
If you need to finance a car you want to purchase, you will need to do one of two things – either make a down payment or have a vehicle as a trade in. When you opt to lease a car in Tulsa, you won’t have to make a down payment: just pay for the first month along with a security deposit, acquisition fee, and other fees and taxes. While not required, you can put some extra cash in, if you have it, which will lower the payments you make each month.
No Need to Worry About Selling Car Leases
No selling means no hassles – when you sell you wind up meeting people who will not pay a high price for something used, and you also have to maintain the vehicle on a steadier basis. You don’t have to worry about a high resale value when leasing a car. You also don’t have to find anyone to purchase the car; selling it is completely unnecessary.
When you come to the end payment of a purchased vehicle, this means that you own it. In making the last payment, you receive the “title,” freeing you to do as you want with the car. However, when you lease a vehicle, you do have the choice of purchasing that vehicle when the lease runs out. You have to let the lender know that you wish to pursue buying the leased vehicle at the end of the contract.