Leasing Can Put You In A Nicer Car!July 24, 2017
As you have probably picked up by now, leasing a car gives you a significantly lower monthly payment compared to financing it. This means that a given car will cost you much less each month to lease. That’s money in the bank, and easy to understand.
But let’s say you would like to drive a car that’s nicer, more prestigious, better equipped, higher performing, or all of these? You already know that financing this type of vehicle is just not possible, budget-wise. But what if you could afford to lease it?
This is the other side of the “leasing is more economical” benefit. It may be possible to lease a much nicer car and still be able to afford it. There ‘s just a little more to be aware of before you pull the trigger on a BMW over a Honda, for instance.
There Are Other Costs To Consider
Okay, you have shopped around for lease deals on that BMW that caught your eye. There are some that are very affordable on a monthly basis. But did you check how much they want as a down payment? Can you swing that? Many upscale brand leases ask for several thousand dollars down, which may be a deal breaker for you.
You may be able to negotiate a lower or even zero down payment, in exchange for a higher monthly lease payment. It’s a sliding scale, so as one goes up, the other goes down, and vice versa. Just make sure you can afford the higher monthly cost of the new deal.
Upkeep Costs More On More Expensive Cars
Unless your scheduled maintenance is included during the lease term (and BMW is one of the few that still offer it), you will have to pay for it, out of your pocket, at higher rates than the Honda dealer charges. Things that wear out, like brakes and tires) are also on you, and will also cost more to replace. Keep this in mind as you put your budget together.
Insurance Is More Expensive As Well
Since you are required to have full insurance coverage on your leased car, this is another cost to consider. Just as with service, higher-end cars cost more to insure. The body parts are more expensive and accidents result in more damage, dollar-wise. Choosing a high-performance model will raise it even higher.
Shop around and get quotes from several different insurance companies. You may be able to save some money on this particular item.
But Wait There’s More!
Many upscale and performance cars have finely tuned, high-output engines that require premium fuel to perform at their best. Budget another twenty or thirty cents per gallon!
If You Can Still Swing It, Go For It!
If you are going to lease a nicer can than you can afford to purchase, first be sure that you are aware of all the costs involved in driving this type of vehicle. They are wonderful cars to drive, and you will enjoy the experience a lot more if you know exactly what it’s all about. Enjoy!carLeaseleasing