One of the most complicated factors of leasing a new vehicle undeniably understands what a good lease deal is. Thankfully, by looking at a few important factors you can track down the top car lease specials and locate the best car lease deals in your region.
Select a New Vehicle with High Residual Value
Residual value is what your car will be valued at the termination of the lease period. As leasing is paying for the utilization of a new car you only pay for the value depreciated during the lease period. The higher the residual value, the smaller the percentage of the overall cost of the vehicle you’ll be required to pay.
- Track Down car lease residual values before you begin negotiating.
- Investigate comparable vehicles from various manufacturers and select the highest.
- Compare residual values by duration of lease period, as values nosedive rapidly after 24 months.
- You will get the best car lease deal for a new car with at least 50% residual value after 24 months.
Track Down the Lowest New Car Price
Frequently the lease price will be called capitalized cost or cap cost. The capitalized cost is the same as if you were to buy the vehicle.
Select the Lowest Money Factor
To Begin With it is crucial to comprehend that the money or lease factor is not the annual interest rate. Some dealers play around with these numbers to bamboozle uninformed buyers into paying more. Normally the money factor will be a small number like 0.00291.
- Before visiting the dealership find out the MSRP and factory invoice price.
- Negotiate with the dealership to secure the lowest lease price possible.
- A good capitalized cost will be a smaller amount than MSRP.
A low lease price, high residual value or reasonable interest rate will not make a great lease deal on its own. Shop for the best deal on each and you’ll track down the best car lease deals available. Save time and money by requesting a free lease quote now. Locate the top lease deals in your region in minutes and track down pre-qualified dealers prepared to offer the best leasing specials!
- Work Out the annual interest rate or APR using the following formula: Money Factor x 2400 = %APR, case in point 0.00291 x 2400 = 6.98% APR.
- Work Out a money factor based on APR using the following formula: APR / 2400 = Money Factor, like 6.98% / 2400 = 0.00291 Money Factor.
- Find Out your credit or FICO score before visiting a dealer, if you locate problems work to straighten out before leasing to get the lowest interest rate.
- Compare dealer offers to various banks and credit unions, they frequently can supply a more reasonable APR.
- APR should not be more than regional new car loan interest rates, the lower the APR, the more advantageous the deal.
