Are you curious about leasing? Do you want to find out how to get the best car lease deal? In this post, we give you five of the best tips to get the best car lease deal. Knowing a little bit about leasing will give you an advantage when it comes to locking in the lowest repayments and most benefits. Here are our top five tips to get the car lease deal:
Estimate your average kilometres travelled first
Leases are like cars you essentially “own” for a period of time (usually two to three years) which you then have to hand back to the dealership or financier. Before you look for makes and models that fit your budget, you should estimate how much you’ll be driving each year. This means you can set up a lease agreement around how much you’ll expect to drive without going over. Going over the limit means paying excess fees, which might leave you four figures out of pocket.
Check your credit history
Leases are a finance product like any other. The health of your credit is a major factor in what interest rate you’ll get from your financier. If your credit history is poor or has many errors on it, it’s your responsibility to correct them. Make sure your credit history is in top shape before you look for cars to lease.
Research cars that better retain their value
Cars that retain their value better than cars that don’t are ideal candidates for leasing, as the residual value payment largely determines how much you’ll be paying back each month, fortnight or week in repayments. Don’t look for used cars to lease – you’ll always be paying back more compared to factory fresh new cars over the lifetime of your lease.
Negotiate the price with a dealer as if you were buying
When you’re leasing, you’ll still have to negotiate with a dealer (Gumtree is a great place to search for cars). This means going through all the same tactics for lowering the price and enhancing your bargaining position. Some sure fire tips to get the best price is buying during sales, buying at the end of the month when salespeople need to make quota or buying just as a new model is due to hit the dealer floor.
Shop around for car leases like car loans – don’t rely on dealer leases
You wouldn’t buy the first car you saw and it’s the same for car lease products. You shouldn’t rely on dealer lease offers (unless you’re an expert in car leases to begin with) as these can end up costing you more. Shop around for car leases or use a professional car lease broker. They can find car lease solutions from many lenders and will save you money. Talk to a financial professional for more information.