Many people view leasing or buying a car from a financial perspective, but that’s not the only factor to consider when in such a dilemma. Other critical aspects to look into include personal preference, lifestyle and your priorities. Some drivers get a car because of prestige; others need an emotional connection to a car. Regardless of your motive, there are benefits you stand to enjoy by leasing a car than if you opt to buy.
Every car requires maintenance, servicing, and repairs whenever an issue develops. That means an expanded budget. Leasing an automobile lets you by-pass such eventualities. A car lease contract usually excludes maintenance and repair expenses, because the lease car is covered under the manufacturer’s warranty, which is usually valid over your lease period. You have peace of mind, knowing that the major components like the motor, gear-box, and electricals can be repaired without having to dig into your pocket.
Lower Initial Payments
If you’re the driver whose monthly expenditure is a concern, then consider a business lease broker. Leasing an automobile provides savings opportunities over a short term. The interest attached to the lease contract may be more, but the initial amount you pay for a lease is lower than what one could have otherwise paid when acquiring a brand-new car on loan. Resultantly, leases have a shot of driving luxurious cars than their counterparts using loans.
No Resale Worries
Once your lease contract is done, you only need to return the car to the dealer shop and carry on with your life. It saves you the time required to look for a potential buyer, dealing with worrisome Craigslist inquiries, or haggling with non-familiar faces. Furthermore, it alleviates other financial implications like calculating the car’s inherent-value depreciation. It is critical, however, to avoid wear and tear due to heavy use as most leasing agents add extra mileage and wear-n-tear charges.
When you lease an automobile from a reputable car leasing dealer, part of car’s financial costs and depreciation fees are deductible on your tax payments. On the other token, the interests attached to loans for buying a car are not deductible. According to IRS guidelines, tax calculations are based on how much you operate the car for business purposes, the cost of the vehicle and other additional expenses pertaining to gas and mileage. By driving the leased car 50% of the lease time, you become eligible for tax benefits.
New Car After Few Years
For most automobile lovers, there is no better feeling than having to drive a brand-new car now and then. If you belong to this pool, then leasing a car can be a stellar option. With every lease, you’re at liberty to choose and drive the latest car model with state-of-the-art technology, stand-alone interior upholstery and other features of your preference.
Getting around your usual business activities don’t have to be a challenge because you don’t own a car. Leasing a car is an economically viable option with numerous benefits besides financial advantages.