How To Lease A Car The Right Way
By Gregg Hall
Leasing can be very confusing and there is a bit of a paradox here. If you do it right leasing can save you a ton of money and allow you to drive a much nicer vehicle than you could otherwise afford, but done wrong it can cost you thousands!
The principle behind leasing is simple; you are simply renting the car just as if from Enterprise or Alamo but for a longer period of time. You never own the vehicle unless you take out the option to buy it at the end. You do usually get to add things to it if you wish like custom wheels.
The transaction is very similar between a lease and a purchase with one important difference. When you purchase a vehicle you pay for the entire cost with your payments and down payment so for example if you bought a car for $20,000 and finance the car for 36 months you will pay the $20,000 plus interest and end up paying as much as $25,000 total.
If we look at a lease on the same car the transaction may be the same except that $10,000 is subtracted in advance from the amount
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