There are plenty of financial myths that are running amok, but perhaps none more than the supposed financial calamity of leasing a vehicle. I personally ONLY lease cars, and have never purchased one. In fact, I am on my 7th lease in the past 14 years of my life, that’s how much I am in favor of it. Which is why I’m going to take the opportunity to lay out some common myths that you often hear about leasing vehicles.
First and foremost, you too often will hear that leasing is simply a bad deal. Nothing could be further from the truth. When you consider the out-of-pocket costs to fix and maintain the car when you own it, it comes out to be an additional cost above and beyond leasing. Likewise, a lease doesn’t come with financing and interest charges like purchasing a car does.
Next, you may hear that negotiating on a lease is next to impossible, but that too is a fallacy. In fact, when I went into the dealership for my current car I simply gave them a rock bottom price I wanted. I was truly unwilling to budge from this amount, which is something you are going to have to be firm about. While it took far too many hours and rebuttals for my liking, inevitably the salesman hit the number I was looking for from the start.
Most people feel that you when you buy a car you always have the option of selling it and relieving yourself from the expense, whereas with a lease you are obligated to remain with that lease for the life of the contract. There is actually a lot more flexibility with leasing a vehicle than you may realize. Many websites out there offer services for consumers to list their lease contracts to other consumers who may want to buyout that lease. Sure there is a fee to post your leased vehicle that you are trying to get rid of, but much smaller of a fee than breaking your contract!
You will typically hear about the high cost of fees for turning in your leased vehicle. It is true that certain things like over mileage can be costly, but you also have the option of negotiating increased mileage from the get go. Also, most leases allow for normal wear and tear, so as long as you are getting the proper oil changes and tire rotations you are most likely in the clear.
Regardless of whether or not you agree with my debunking of the myths above, I am a vehicle leaser for life. If you have been converted then see Leasing4Business for options of what’s available to you.