How to Lease a Car ?

Leasing a car inolves using a the car for a particular length of time at the sum of money that is agreed between two parties; the buyer (lessee) and the seller (leaser). Leasing a vehicle allows you to drive home new vehicle without payment of cash which will be a huge amount.

Points to be considered while leasing a car
Leasing a car is an task, but still you need to know how to lease a car. Consider the following points.

• Select a type of car: When trying to lease a car, first thing is to decide is the type of car you need and what kind you prefer the most ? The types include an SUV, sedan, convertible, station wagon, hatch back or minivan.

• Picking the model you prefer: When deciding to lease a car it is better to do some homework and make a list of types of the car in terms of price, mileage, safety features about insurance premiums. This is to be done regarding the models you are preferring.

• Test driving the car: Once you have shortlisted the cars you are preferring now it is time for you to test drive. Each car should be taken for test drive that will help you to understand much about a car. Much attention should be paid to the comfortability, visibility, steering and brake pedals. At this stage you should not mention whether you are buying a car or leasing a car.

• Ensuring about safety: During the test driving stage, you should ask the sales person about the safety features in the vehicle like air bags that are head protecting, anti lock brake system and electronic stability control.

• Comparing the lease deals: After a test drive when you are satisfied with a car, go home and take sometime to calculate lease deals that was offered thereby figuring out the monthly payment you require to pay. Consider the amount you will pay every month is affordable.

• Discussing the price: When returning to the dealer to deal, you still not mention about your plan to lease until the price of the car is negotiated. When leasing a car, most of the people don't know that their payment is done on the price that is finally agreed.

• Negotiating the price: Finally when everything satisfied you, begin to negotiate with low price. If the dealer is not satisfied, raise the price slightly. When both the parties are satisfied with the price, it is better to finalize now.

• Payment of lease: If the amount of initial down payment is large, you need to pay less amount of installment monthly. As in case of any other bills, penalties will be faced by you if the monthly payments are not done on time.

However, there are some drawbacks in leasing a car :

• When the lease period expires, you will not own the car. It is like renting a car and not owning it.
• Over time, the amount of leasing cost will exceed actual purchase price of the car.
• You will face penalties if :
• You are not keeping the car in good condition especially the interior and the exterior.
• When you are exceeding the miles that was mentioned in the contract when leasing.
• If there is any wear and tear in the performance and appearance of the car.

The procedure to lease a car is less complicated when compared to buying a car. It is important for you to have more information and knowledge about leasing a car.