Save with Used Car Lease Quotes
More and more people are leasing used cars because investing in a used car lease makes it possible to get excellent deals on almost-new vehicles.
Any time you lease a car the payments are based on the depreciation of the vehicle's value over the life of the lease. Used car leasing can be a great deal for you because the most rapid depreciation of a vehicle happens in its first year. A used car can be less expensive to lease because that depreciation has already happened. Request used car lease quotes today!
Here's how to get the best deal on a used car lease:
- Pick a car that is about one year old. The most rapid depreciation has already occurred, but the car is still new enough that it should need minimal repairs.
- Keep the lease term short. If you lease a one-year old car and keep the lease term at three years or less, the car should hold its value well.
- Look for cars that hold their value well, like luxury cars and some SUV's.
- Do your homework to determine the car's fair market price. Because leasing can seem inexpensive, many people don't work hard to establish a fair market value for the car. If you don't do this you will pay more over the life of the lease!
- Just like buying any used car, verify and inspect the vehicle.
- Just as with a new-car lease, you need "gap" protection (or auto gap insurance) in case your leased car is stolen, destroyed, or totaled in an accident. Your insurance company will only pay what the car is worth, not what you still owe on the lease. Gap protection can cover the difference so you don't have to.
Leasing a used car is more complicated than leasing a new car because you have to factor in more variables. In addition to variables like the initial value of the car and the installed equipment, you have to factor in the car's mileage, it's overall condition, even where the car has been used.
Think through the following issues before you sign your lease papers:
- Interest rates are generally higher for used car leases than for new car leases. Though you save money because the car costs less, you will usually pay a higher interest rate.
- Pay close attention to the "residual," the amount the car is worth at the end of the lease. Determining the value of a used car at the end of a lease is harder than determining that residual value of a new car. Because it is more subjective there is more room for error, so watch this number carefully!
- If you lease a used car you may not be fully covered by the manufacturer's new-car warranty. This puts you at a higher risk of paying for repairs, or you may choose to purchase an extended warrantee.
If you're not sure where to start, try requesting used car lease quotes. There's certainly no obligation to buy, and by comparing used car lease quotes, and looking at the car's fair market value, you should be able to determine a fair price for your used car of choice.
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