You’re not alone if you’re considering leasing your next car, as leasing has become an increasingly popular alternative to car finance or purchasing a vehicle outright in recent years. Choosing to lease has many benefits – your monthly outlay tends to be cheaper than other finance options, you don’t need to worry about depreciation of your new car and your maintenance costs will be reduced.
But how does it work? Think of leasing as a rental contract. So, just as you would rent a home, you can lease a vehicle.
How to find a car to lease
Many dealerships and finance companies now operate online, meaning it’s simple to review and compare lease deals and choose your new car without even leaving the house. Therefore, a quick online search is often all you need to compare and select the right lease deal for you. Online van hire Bristol and the wider area is also available from specialists such as https://www.autolynecarvanrental.co.uk/van-hire-bristol.
The leasing process
First, you’ll finalise a deposit at the get-go for your brand-new vehicle and agree on a monthly cost with your finance company or dealership. This will be dependent on several factors, including your annual mileage and how long you’d like to keep the car, as well as, of course, the make and model of the car you choose. Your monthly payment will typically be the same each month, with your first payment being the larger deposit amount.
The difference with leasing is that, although you’ll never own the car outright and it remains the property of the finance company, you won’t have to worry about its depreciation. And once your lease has finished, you can upgrade to a brand-new model again. Understanding depreciation can be tricky but it is the biggest single cost when investing in a new car.
Why lease?
Some of the perks of leasing include the typically lower monthly cost and deposit, offering a predictable payment amount for a budget-friendly option. You’ll probably also enjoy reduced maintenance costs, and you’ll get to drive a brand-new vehicle without the upfront outlay!