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Why lease a used car?

If you're like most people you're generally ready for another car every three years. This is probably more so the case when you purchase used cars. So unless you plan to drive your car until the wheels fall off then leasing makes perfect financial sense.

Used cars do not lose their value as quickly as new ones. This means you will pay less depreciation over the term of the lease which equates to a lower payment. When you finance, you are basically paying the value down to $0 this is why a finance payment is almost always higher than a lease payment.

So what do most people do when they payoff their car loan? Finance another one, right? To do this you have to hassle with trying to sell your current car for market value or lose money by trading it in. Most cars older than six years are wholesaled not retailed, making it harder for you to find a buyer.

With leasing you're paying for the use of the car for a given term. When financing you are paying for the whole car and when you go to sell it trying to recoup the value of the amount you didn't use. What a waste of time and money!

Leasing a used car can help you get more car for the same amount as a traditional finance payment. As a bonus most luxury models have a longer warranty from the manufacturer than non-luxury.

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 LeaseCompare.com is a service of Automobile Consumer Services, Inc.  Saving customers time and money since 1989.
   
ACS has been helping customers save money on their auto lease since 1998  LeaseCompare.com is a service of Automobile Consumer Services, Inc.  Saving customers time and money since 1989.
   

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