Most people think only new cars can be leased. Used cars can be leased too. This is less common than leasing a new car, says A Better Way Wholesale Autos, one of the top used car dealerships in CT. There are both pros and cons. There are a few things to know about leasing a used car. Here’s what you should know.
Can Used Cars Be Leased?
Used cars can be leased like new cars can be. There are a few differences. It’s a great option to have.
You should know about leasing a used car as there are requirements. The car must be four years old or newer. It also must have 48,000 miles or less on the odometer.
Other than that, a used car lease works the same as a new one. As always, make sure you understand the lease. Ask questions before signing any paperwork.
You should keep in mind that you may have to search a little harder. Not every dealership leases used cars. It also may not be advertised by the dealership. Be sure to shop around and ask questions. You should be able to find one that will lease used cars. If you want to lease a used car, be sure to voice that.
What Are the Benefits of Leasing a Used Car?
There are a few reasons you might want to lease a used car. Consider these reasons. Decide what makes sense for you financially.
– One reason is you can save money. You won’t save up a lot, but it adds up. Your lease payments go toward the car’s predicted depreciation. Depreciation is how quickly the car loses value. New cars depreciate quickly. Keep in mind that lots of things affect what you will pay. These include car age, model, and condition. If you were going to lease an inexpensive new car, the price may be comparable to a pricier used car. This can vary though.
– The lease may be shorter. If you are taking over someone’s lease, the duration is shorter. This can be nice if you simply wanted to try out a car. Then, you will know whether you like it and want to get a longer lease.
– You can trade it in instead of selling it. According to the Balance, you don’t have to worry about selling your car. You already have an agreement with the dealership. When your lease is up, everything is already taken care of.
What Are the Drawbacks of Leasing a Used Car?
As mentioned, there are pros and cons to leasing a used car. The benefits might sound nice. The drawbacks are important too.
– One drawback is the age of the car. Older cars have more issues in general. As mentioned, a used car for lease must be four years old or newer. At that point, problems should be minimal.
– There may be an acquisition fee if you take over a lease. Some financial institutions don’t charge a fee. Others charge up to $600. This is something to look into and consider.
– The car may not be under warranty. Because the car is older, the warranty could be up. That would mean you’re responsible for any repairs.
Where to Find Used Car Leases
As mentioned, it can be hard to find a dealership that offers used car leases. They are definitely out there. You will need to look a little harder.
Another option is to take over someone else’s lease. There are a few trusted websites for this purpose. People who no longer want their car lease can put them on a website. Then, someone else can pick up that lease. You may get a good deal because they want someone to take over their lease. According to Credit Karma, SwapALease.com and LeaseTrader are good options.
Should You Use a “Lease Here, Pay Here” Dealerships?
If you have credit issues, this is one way to get a lease. It’s still not a good idea though. You will have to pay high costs for the lease. Plus, the payments are more frequent than regular leases. They’re weekly or biweekly.
Should You Lease a Used Car?
Whether you lease a used car is up to you. For many people, it’s a great option. As mentioned, there are great benefits to leasing a used car compared to a new car. Weigh your options, as well as the pros and cons.
One of the biggest considerations to make is the financial commitment. The nice thing about leasing a used car is that it’s more affordable than leasing a new car.
Just be sure to take some time and think about your decision. Do your research. Compare new leases with used leases. This is a personal decision. There’s no one correct answer for all people.
Leasing a used car is an option you should consider. There are some great benefits. Before agreeing to lease any car, make sure you understand the policies. Get plenty of information about the lease. Ask questions if you have them.