Can you Make a Deal with a Car Leasing Company?
Car leasing is a great option if you are looking to drive the car of your dreams but do not necessarily want to own it. Consisting of initial payment and a set of fixed monthly payments over a specific time period, you will be effectively renting a car.
Once the lease comes to an end, then you can choose to renew it or lease a new car. The only way to lease a car is through a car leasing company.
So, the million-dollar question is, can you make a deal with a car leasing company? Let’s break down the important steps that will get you a great deal!
Step #1: Choosing a car that holds its value
Remember, leasing a vehicle is all about paying for its depreciation, tax, interest, and cumulative fees.
To make the best deal, go for a car that not only holds its value but depreciates less so that your lease payment will be lower. Many leasing companies offer a list of monthly or annual deals that you can go through.
Step #2: Keep your eyes on leasing specials
There are instances when a car is not selling quickly enough. In this case, the car leasing company offers a special deal so that they can “move the metal”. This specific type of deal provides low payment monthly options by tweaking the leasing formula.
To ensure that you go home with the best possible deal, the car should not allow less than 12,000 miles or even require a higher initial down payment.
Step #3: Price the car before you lease
Just like any other kind of transaction, it is important to be aware of what you will pay before going into the negotiations.
Using pricing websites like the National Automobile Dealers Association will give you the fair market value of the car as well as its leasing price. This amount represents the price that you are most likely to find.
Step #4: Request for quotes from dealers
Now that you have the target price, it is time to request quotes from dealers. To make work easier, send out a couple of emails, inquiring about the different types of cars that are available, and ask for the best deal possible.
Remember not to mention your leasing interest at this point. You are only requesting the prices first.
Step #5: Spot the best deal
You have requested quotes from a variety of dealers, it may be difficult to compare them at the same time.
This is especially because car leasing companies stack together various options that may be difficult to tell apart. The best way to spot the best deal is to look at what the dealer is charging over the invoice price. This will lead you to the best deal.
Step #6: Asking for leasing prices
This is where you ask for lease prices, as well as the car and color options that you want. It is best to inquire from the salesperson who offered the quotes that you had requested as you have already built a rapport with them.
Therefore, it will be easy to negotiate a deal. Ensure that you set the terms and discuss the interest rates upfront. Remember, interest rates can be subject to change depending on factors such as the selling price of the car.
Step #7: Close your deal
If the monthly payments fit into your budget and are happy about every other element on the lease, then it is time to close your deal.
But before doing so, ask the salesperson to deliver the car to you rather than picking it up from the dealership.
This way, you will avoid getting upsells on the lease from those in the office. Granted, dealerships do not necessarily deliver cars, but if you make this a condition for the acceptance of their lease, then they might make an exception because it will be a win-win scenario for both the dealership and you.
There you go! 7 foolproof steps that will allow you to make a deal with a car leasing company! Whether you choose to do your deal at home, or at the car dealership, it is important to ensure that the contract matches your agreed-upon terms and conditions.
If all looks good, sign the agreement and check to verify that you have insurance over the car. Once this is done, remember to keep up with your routine maintenance visits and take good overall car of the car so that you do not face any penalties when turning it in.