Americans spend a lot of time in their cars and for good reason: it’s the best and fastest way to get where you need to go reliably. In fact, the average driver puts more than 220 miles on their car every week!
Spending so much time behind the wheel means it’s incredibly important to choose a car you’ll love to drive. If you’re in the market for a new-to-you vehicle, you have two main choices: buy one outright or lease from your dealership.
Believe it or not, the benefits of leasing a used car often far outweigh buying a new vehicle. Here’s what you need to know.
1. You’ll Need Less Money Up Front
Anytime you lease a car, you’ll need to give the dealership a down payment to secure the lease agreement. The required down payment amount is largely based on the type of car you’re leasing and its overall value.
The more valuable the car is, the more your down payment will need to be.
If you’re leasing a brand new car, your down payment will be much higher. This is because the car is worth more at the time.
If you’re leasing a used car, the dealership calculates your down payment amount based on the car’s value at that time. All cars depreciate in value over time, even if they’re in perfect condition. This means your down payment will be significantly lower than it would be for a new version of the same make and model.
2. Monthly Payments Will Be Lower
As part of every lease agreement, you’ll need to make monthly payments for the car until the lease ends. The dealership sets those payments according to the car’s value, just like your down payment amount.
The more valuable the car is, the higher your monthly payments will be. However, since used cars have started depreciating and no longer have the same resale value as a brand new car, you’ll end up saving money.
Your payments will be lower for the full term of your lease. This means you’ll have more money available to use toward your other bills, expenses, or to build your savings without sacrificing the quality of the car you drive.
3. You Can Keep Upgrading
When you buy a new car and finance the purchase with an auto loan, you’ll eventually become the owner of that car after you repay the loan. This may sound great in theory, but it doesn’t always work out in your favor.
New cars depreciate as soon as you drive them off the lot and they keep depreciating the longer you own them. When your loan ends, you’re stuck with a car that’s not nearly as valuable as it once was. If you decide to trade it in, you’re stuck accepting a lower trade-in value than you think you deserve.
One of the biggest advantages of leasing a car is that you’re able to trade up without losing your investment. At the end of your lease, you can turn the car back in and immediately lease a newer model.
You won’t end up losing money on the deal and can keep leasing newer makes and models or try cars you wouldn’t necessarily want to own outright.
4. You’ll Get More Bang for Your Buck
The average new car costs more than $36,700. The more features you want in a car, the more expensive it will be.
For most drivers, that high price tag means they have to sacrifice certain features or choose a car that’s not the exact one they want to drive. Not only is this incredibly disappointing, but it can also cost you thousands of dollars in your cars’ resale value each time.
When you lease a car, you’re able to get more car for your money. You’ll end up paying the same amount for a nicer used vehicle that you’d spend on monthly loan payments for a car without the features you want.
This means you’ll enjoy your driving experience more and won’t have to take on the headache of over-priced loans.
5. You’ll Have More Options at the End of the Lease
Though many drivers choose to trade in their leased cars after the lease expires, you don’t have to. That versatility makes it an especially attractive option.
If you find that you love your car, you’ll be able to purchase it from the dealership after your lease expires. Most of the time, you’ll get a better sale price for the car, too!
Should you decide to switch cars and start a new lease, you’ll already have connections at the dealership that understand the types of cars you want. You’ll find a newer car more quickly with a dealership you already trust.
6. Insurance Will Cost Less
The newer the car is, the more expensive it is to replace or repair if it gets totaled in an accident. Insurance companies know this and typically charge you higher rates the newer your car is.
One of the best benefits of leasing a car, especially a used car, is that it costs less to insure.
A car that’s just a few years old, even one that doesn’t have high mileage, will cost less to repair or replace should something happen to it. Since insurance companies have to spend less on claims for these types of cars, they’re more willing to pass the savings on.
You’ll end up with lower monthly premium payments as long as you’re in the car.
See the Benefits of Leasing a Used Car for Yourself
You don’t have to buy a brand new car and take on high levels of debt to get behind the wheel of a ride you’ll love. Leasing a used car can save you money and help you get into a car you’ll want to drive every day.
If you’re ready to experience the benefits of leasing a used car for yourself or just want to explore your options, don’t wait. Contact Monster Cars today to schedule a showing or to speak with a member of our team.
We’ll help you get into a car you’ll love no matter what your budget is.