The Benefits of Leasing
Vehicle leasing is now more popular than ever. In fact, 29-36% of the 15 million-plus cars sold in the United States every year are leased. So, why is car leasing so popular? What are the advantages of auto leasing?
Auto Leasing is More Affordable
Monthly lease payments are significantly lower than a conventional purchase finance agreement. In most cases, when leasing a vehicle, you will not be required to put any money down (other than inceptions). Another benefit to leasing a car is that you can essentially get much more car for your money.
Pay for What You Use
When you lease a vehicle, you only pay for the time you are actually USING the car and it’s value therein. When you lease a car, you only pay for the amount of the car’s value for the time that you are actually using it, plus interest. Why pay for the whole car when you only plan to use it for a few years?
Tax Benefits of Leasing
Financial advisors and asset experts agree that you should purchase items that appreciate in value, and rent or lease items that depreciate in value. The vast majority of automobiles begin to depreciate in value as soon as you drive the car off of the lot, and continue to do so. There are also many tax deductions that favor leasing.