4.2 C

These are the 5 Keys to “Winning” a New Car Lease Negotiation



  1. Number 1 – It is the best time to lease a car. Lease return vehicles are holding onto their value extremely well due to the limited supply of used cars in the country. Lease payments have fallen to historic lows due to this increased “residual” value. Although your lease payments do not generate equity, they are so low that it almost doesn’t matter.

You can lease a Toyota or Hyundai for as low as $99, depending on which model you choose and where you live…that’s incredible transportation!

Must Read: tips to buy a luxury car

  1. Key #2 – Negotiate, negotiate, negotiate when leasing a vehicle. You can negotiate finance fees (also known as the “money factor”) of the lease agreement.

The money factor does not have the same meaning as the annual percentage rate (APR). The money factor is typically a decimal number, such as.003, that you must multiply with 2400 to get a true interest rate. This example shows that.003 divided by 2400 gives you a 7.2% APR interest rate. You should always clarify with the salesperson if they give you a number such as 3.0. It is often a money factor of 0.03. There is a huge difference between 7.2% and 3% APR. When negotiating a lease, don’t leave any options open. Reduce your interest to save as much as you can by lowering the sticker price.

Never Miss: car lease excess

  1. Key #3 – Short term is the third key to securing a lease deal. Leasing vehicles at a low price is the main purpose of leasing. Long-term leases can be detrimental to your wallet. This is how it should be viewed:

Leasing vehicles doesn’t usually require maintenance, particularly if they’re low mileage (between 10-12k miles per annum) for 2 or 3 years.

Your warranty covers your vehicle, so there’s no need to worry about repairs.

Leasing vehicles are safer than used cars and more efficient than those that have been in service for a while.

Leases that are longer than three years will result in the loss of most of the benefits. You will also pay more in finance fees if you lease for a longer period of time. Also, it is less likely that you will receive a “sub-vented” lease offer from the manufacturer. Stick with a 2- or 3-year lease.

Also Read: california could have sound sensing cameras

  1. Key #4 – If your driving habits are high, you will need to pay an additional 10 dollars per month for a higher mileage limit. While most leases have a limit of 10,000-12,000 miles per year, the Federal Highway Administration (FHWA) reports that the average male between 20 and 54 drives 18,000-19,000 miles each year. This is a large gap, which can lead to problems if you don’t spend a few extra bucks per month to get more mileage. You should consider this: If you exceed your mileage limit, the average cost per mile is $.20. That means that an additional 5000 miles would run you $1000.
  2. Key #5: Finally, it is important to understand the early termination fees for any financial agreement that you sign. While some automakers may penalize you for leaving early, others will let you leave the agreement under certain circumstances. You need to be aware of the early termination fees before signing on the dotted line.

Subscribe to our magazine

━ follow us


━ more like this

Road Signaling Devices: Safety Tips and Advice

You were stuck in the rain at night and it was one of the worst things that could happen to a car. The operator...

Five Best Spark Plugs on the Market

Our daily lives are enriched by cars. Thanks to their invention, we can travel anywhere and everywhere. It is important that your vehicle is...

Sources say that Tesla has put India’s Entry Plan

on hold following a deadlock over tariffs NEW DELHI -- Tesla has placed on hold plans for selling electric cars in India and abandoned a...

Guns are just as dangerous as cars

It has 67 answers, including one from yousel, 122 followers and more than 24k hits. This question is very popular, I would guess, because...

Hybrid Powertrain Extracurricular Activities

After a few longer drives in our 2022 BMW 330e xDrive, I have settled into a routine with my children's school and other extracurricular...

Related Articles

Here are some tips to help you find a reliable automotive locksmith

Choose a local service provider For faster services, you should consider choosing a reliable automotive locksmith that is near your home or neighborhood when searching...

Automotive technician work environment

Automotive technician work environment Some aspects of auto repair work are similar from one shop to the next. Other aspects will differ depending on whether...

Here are 4 steps to help you solve your surplus automotive parts inventory problems

Here are 4 steps to help you solve your surplus automotive parts inventory problems In excess surplus automotive parts inventory can cause losses and waste...

What is Dealership Management System (DMS) and how does it work?

What is Dealership Management System (DMS) and how does it work? You may have heard of a certain automotive tool in the recent months. It...

An Overview of Essential Automotive Tools

An Overview of Essential Automotive Tools There are several types of automotive tools on the market and if you're in the business of fixing cards,...

Trusted CNC Motorcycle Parts Maker in 2022

CNC machines have transformed manufacturing and allow people to create their own custom parts at home and not rely on the local shops for...

Major Automobile Manufacturers Switch to Electric Vehicles

Why major automobile manufacturers are switching to electric vehicles The Road to an Electrified Future Electric vehicles dominating our roads seemed like a distant dream...

6 Car Repairs That You Should Never Try Yourself

Cars are a complex machine with many operating parts that can be controlled digitally in the newer models. Before you take your car on...

Aston Martin DBX Luggage Test

Does it really matter how much stuff you can pack into the Aston Martin's cargo space? Yes! Yes! You should at least have two...
error: Content is protected !!