How Do You Lease a Vehicle?


Quick Answer

When leasing vehicles, consumers should make a visit to a dealership to browse the selection and test drive potential vehicles, according to Wall Street Journal. After the visit, consumers need to evaluate the various lease offers for total cost and affordability, then return to negotiate and finalize the lease.

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How Do You Lease a Vehicle?
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Full Answer

Leasing a car is a popular option for buyers who do not possess adequate financial stability to purchase a vehicle, according to Wall Street journal. Consumers that lease vehicles do not have equity over the vehicle and must abide by the lease contract's regulations, such as a limit on mileage or early contract termination restrictions. Failure to follow the guidelines and policies of a lease contract usually results in additional fees.

Preparatory visits to dealerships to browse the various lease offers, test drive potential vehicles and research car model features are important for leasing vehicles, states Wall Street Journal. The return visit to the dealership to negotiate the terms and final price of the lease contract takes place once a consumer chooses the vehicle. When negotiating a contract, consumers are advised to negotiate starting from the vehicle's wholesale price and increasing toward the final price.

Paying a higher down payment on a lease lowers the required minimum monthly payment, according to Bankrate. However, consumers must be wary of depositing too large of a down payment as the money may be more beneficial in an interest-accruing account. In addition, lease contracts that are too long can be costly to consumers due to maintenance costs. Most car lease contracts range from two to four years.

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