Getting a great lease deal involves choosing the right car and through an affordable process. This becomes difficult, especially because many are not aware of parts of a leasing deal that are negotiable and also what criteria are used to arrive at a monthly payment figure. Auto leasing is a great option for many for various reasons. If you are convinced that leasing is the solution for you, below are tips on ensuring that you secure cheap car lease deals.
Familiarise yourself with lease terminology
It is good to understand the terminology used in leasing before going to negotiate. This can be achieved by researching online. Below are some defined terms that are commonly used.
- Cap Cost: This is the price of the car.
- Money Factor: This is the lease interest rate.
- Residual Value: This is the worth of the car after the leasing period, arrived at by using the estimated depreciation percentage.
- Acquisition Fee: This is the amount charged at the beginning of the lease to cater for the costs of processing the deal.
Come up with a budget
It is good to calculate and see how much you can comfortably set aside from your financial sources to finance the leasing deal. This will be important as you will only go for the deal that favours your financial capability.
Research the car model
Choosing the best car will save you money and ensure you enjoy the leasing experience. A leasing deal has a mileage limit. Choose a car whose mileage limit is favourable to you. Also, choose a car that has a good residual value. This means that the depreciation rate is lower, thus the car will exhibit great performance all through the leasing period and you will pay less.
Find a reputable company
There are many companies and you might face a challenge choosing one. A quick online search will save you time and money. Read reviews to evaluate the experience of previous clients. A good company has quick response on their online platforms. You can also ask for recommendations from family and friends.
You can get quotes for the same car model from different dealers. However, do not suggest that you want to lease. Negotiate on the total price of the car because the lower it is the lower the total leasing cost will be. You can choose the dealer that offers a deal preferable to you.
Close the deal
With a reputable dealer, you are now ready to seal a deal. Make sure that you see the car and ensure it is in the right condition. Go through the paperwork carefully, ensuring that everything you have agreed on with the dealer is properly stated before finally signing.
The greatest advantage of leasing is that you will always be driving a new car, thus minimum maintenance costs. You will always have the latest model and at an affordable price. Follow these tips and you will have the best leasing experience.