What are the Benefits of Leasing a Car? When to Lease a Car?

Admit it. Not all Americans can afford a shiny brand new car.

A recent study by Bankrate.com has found that purchasing a car is still a dream for households with median incomes in the USA.
Are you one of those Americans? Don’t lose your heart.

Have you ever thought about leasing a car?

Yeah, like a property, a car can be leased for a specific amount of time for a fixed fee.

It is just like renting a vehicle.

Unlike car purchasing, car leasing comes with lower monthly payments with little to no down payment. As an added bonus, you can change to a new car every two or three years.

Here’s how leasing a car can benefit you down the road…

Driving the Car that would be Otherwise out of Your Price Range:

One of the key benefits of a car leasing is that you can drive any car, from a budget one to a high-end model. Although the leasing rate may vary based on the model, it is affordable.
At World Wide Automobile, our car for lease services let you choose a brand new car every two or three years, from Kia Sedona, Cadillac to Chevy Malibu. Plus, driving a new car means that you can enjoy the latest technology like Autonomous Emergency Braking and MirroLink.

Monthly Payments are lower than Traditional Car Purchase:

Car leasing is comparatively cheaper than buying a new car.
Monthly payments remain lower up to 60% of that of a new car purchase. After all, you are paying for the depreciation of the car during the asked period of time rather than the whole cost. Although deposit or down payment is generally not required, you may be asked for registration fees. If there is any deposit or upfront payment, it would be lower and minimal.

Leasing is a Budget Friendly Option:

You can manage your budget according to the monthly payments involved in the lease. Most lease options have low down payments or you can convince the company to waive the down payment. Also, you will pay less for the sales tax on a lease. Besides, you don’t need to pay for insurance as the car is already covered. So the expenses will come in the form of monthly payments only. This way, leasing has a smaller impact on your budget and cash balance as well.

No Hassles of the Vehicle Inspection Tests:

Most US states require the vehicles to go through the vehicle inspection tests at least once a year.
With a leased car, you don’t need to go through those tests. This is because the car will most likely not be your responsibility any more by that time. Just hand over the car at the end of the lease and you are free to pick your next new vehicle.

When to Consider Leasing a Car?

So you must have understood the benefits of leasing a car. In a nutshell, leasing makes it easier to get a car for less money. That said, leasing often comes with a tradeoff. This is because you don’t get any equity in your vehicle despite making payment. Once you are done with making payments on a leased car, you will have to lease another vehicle. In case of having a financed car, you can own the vehicle once you pay off all the installments.
Should you get the car on a lease? Well, it depends. If you enjoy trying out new cars or you don’t drive very much, leasing is a good idea for you. It is also a great idea if you aren’t planning to buy a new car for a while.