Don’t get up in advertising on a lease, and remember to negotiate. You will probably see a lot of lease advertising hitting the airwaves soon. It is a sure fire way for the manufacture to move cars in the short term. I hope it doesn’t happen, but if it does here are some things to look out for.
Always remember to negotiate your car deal before you mention you are leasing. Do not fall into the trap of negotiating payments. Negotiate the price of the car first, then your trade if you have one, then the money factor. The money factor or lease factor is a number like .00375, and that is not 3.75%. It is 9% (multipy the factor by 2400 to get an interest rate.
When you finance a Car $20,000 equates to the same payment, not true in leases. Because of different residuals, the guaranteed price you can buy the car for at the end of a lease, lease payments will be different on same priced cars. Be careful, cars with great residuals can look very attractive…..negotiate.
Any questions just ask.
Lease ads are very confusing for the customer and most salespeople. Most ads will be at the lowest mileage allowed for that particular leasing company; show 10% cash down or equity in your trade; plust tax title and license down. This upfront out of pocket costs are huge to get there advertised payments.
I never really understood how leasing worked, thanks for the info.
MissMentor
I will definitely negotiate
Jose Escalante
http://www.joseescalante.com
Great information about negotiating car leases! I have considered leasing before, but I keep my car for forever so leases don’t make mathematical sense.
Kate
Thanks for the info.Leases are more confusing than simply buying a car outright.
Steve Chambers, Sale Trainer Speaker
Ah ha! I would have mentioned I was leasing before anything else. Good thing you’re around.
Keri Eagan
Anything Alternative
You are right that leases are more complicated because you have to worry about how much the car will be worth at the end of the time period, and how you drive it an treat it has effect on that.
Simple Survival Tips For Disasters and Emergencies
Leases continue to be opaque for many people. I think it is sound advice to negotiate price before financing. Some dealers will deliberately muddy the waters by trying to cover all “quadrants” in one go.
http://www.martin-wright.com
I have never leased a car. I can’t justify it because I usually keep a vehicle as long as it not a lemon. I’ve been lucky – knock on metal!
Vicki http://www.bridalthreadshq.com
I think I mentioned how I leased a car once. Not a good experience for me. Wished I bought one instead.
Lisa McLellan
Child Care Expert,
Babysitting Services, Babysitting Tips, Babysitters, Nannies
Thanks for the information, thats a perspective I never thought of. Keep up the good work.
Scott
http://www.scottpayne.me
Yes, lease ads use a car with NO options, lowest mileage, and high downpayment….well, higher than you’d hope for….
yes, yes, yes, negotiate price FIRST! then get your broker to work out the rest of the details….
Happy Dating and Relationships,
April Braswell
Single Baby Boomer Dating Success Expert
You’ve been providing a great education in the right way to negotiate a car purchase.
Martin O’Connor
http://smallbusinessdesigncenter.com
Valuable information. Thanks!
Bert (alter ego- Mister P)
MisterP.org/blog
Great info on leasing. Leasing seems much more complicated than just buying the car.
Health, Fitness for Working People — Darryl Pace
So if I were interested in potentially leasing, would it be better for me to wait for ads to hit the airwaves or to just walk into the dealership?
Kate
I just saw a news piece on the different cars men and women chose.
Do you sell differently to men that to women?
What about couples. This reminds me of a line about car sales in particular but which applies to all sales.
A woman remarked that she couldn’t believe the car salesman never looked at her or addressed her during the sales process. She finished her remarks with the question “Didn’t he know or at least suspect the check book was in my purse?”
Martin O’Connor
http://smallbusinessdesigncenter.com