Friday, March 18, 2016
Car Lease Firms Detail the Advantages of Leasing a Car
Leasing is still a popular financing option for new car shoppers. In a recent study by Experian Automotive, it was found that 28% of financing deals for new cars are leases. Although buying remains the most popular option by far, there are many benefits to leasing that are frequently overlooked. The key benefit to leasing is cost utility. Essentially, you get more for less by leasing a car. Unlike a typical loan, where you make payments for the full cost of the car at time of sale, a lease allows you to pay the difference between the current value of a lease car and its expected future value at the end of the lease. Cars are notorious for rapidly depreciating in value, and thus are considered a terrible investment, unlike a home. While this is a significant drawback to buying, it works to your advantage in a lease.