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The Benefits Of Leasing A Used Car |
By leasing a used vehicle, you can obtain a luxury model car or SUV at much lower monthly payments than are imposed when you buy a new one. However, you must do your homework in order to find the best deal available.
When researching leasing costs, pay close attention to the initial market value and the estimated residual value of the used car you are considering. This value is more difficult to predict for used vehicles than for new ones because there is no 'sticker price' as set by a factory on a used car. You can use a variety of sources to obtain a rough estimate of the used vehicle's value, however. These include local dealerships and online car-evaluation tools, a quick search on the internet will find a host of these car evaluation tools and most are provided free of charge. You can also get a good estimate by comparing the lease on a used car to a lease on a new car of the same model and make. Used vehicle leasing is best when residual value has depreciated least. You'll find better bargains at the luxury end of the vehicle market where cars retain their value better.
Initial mileage and overall vehicle condition should be two other things to consider when leasing a used automobile. With a used car, the maximum mileage should total no more than 12,000 miles per year. A car that is three years old with 50,000 miles is not a good leasing deal. You should also examine a vehicle for worn fabric on the seats, worn pedal pads, or a dirty engine. These are signs of excessive use and might indicate a rolling back of the odometer. If the used car has not been certified, it should be inspected. You can ask the dealer for a certification program sponsored by the manufacturer or have it certified by a qualified service or mechanic.
Most used-car lease arrangements do not include gap coverage. Gap coverage is a special kind of insurance that is usually offered on new-auto leases. It protects the consumer if the leased automobile is lost, damaged, or stolen. Car insurance policies usually only cover what the car is worth at the time of the loss or damage and not what you may still have owing on the lease. This difference could total thousands of dollars. Therefore, you shouldn't consider a used-car lease that does not include gap coverage. This coverage can be arranged separately, either with the lease dealer or with your own car insurance company.
Article written by Ken Snow (automobiles and transport)
This entry was posted on Friday, April 27th, 2007 and is filed under Car Hire, Used Cars. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.
There is also a lot of downfalls with leasing a car. Getting in debt and receiving bad credit is not good!
Also, don’t forget that you are fully responsible for the vehicle and even small scratches on any of the panels could cost you roughly £100 per panel so keep those kids tied up.