Is it better to lease or buy a car? To this day, some people still agonise over the decision.
We understand that getting your perfect car is a big deal – you’ve dreamed about it for so long and the day is finally here! But now you’re stuck in this predicament.
The advantages of leasing a car may outweigh the advantages of buying a car for many people.
With car leasing, you get the obvious benefits of being able to change your car every few years, low monthly rental and you don’t even have to think about depreciation!
Here at LeaseCar, we have a wide range of leasing deals so you can find the perfect car for the perfect price.
There are even more advantages to car leasing that we will be exploring in this article, so you know when comparing leasing vs buying a car, leasing is the way to go!
If you already know that leasing is the right option for you, why not get in touch today? Our expert team is more than happy to help!
What is car leasing?
A McKinsey & Company survey found that 60% of people could not explain car leasing to a friend – so let’s change that!
Car leasing is very similar to renting in the sense that you are able to drive a brand new vehicle without actually owning it.
Sometimes referred to as personal contract hire (PCH), a lease agreement is made between you and a leasing company. The price of your monthly rental is based on:
- The lease length
- Annual mileage
- Initial payment
At the end of your lease period, you simply hand back your vehicle – it really is as easy as that! This way, you never have to worry about the value of your car lowering every year.
Plus, you’re able to return your car and lease a new model or get a car from a completely different brand – just alter your new lease contract to meet your situation at the time.
Five reasons why you should lease a car
According to a JATO report titled, ‘An Industry in Flux | Leasing in the Automated Age‘, five million vehicles are currently leased in the UK. If car leasing is good enough for five million people, don’t you want to know what all the fuss is about?
The kinds of car available
When you choose to buy a car outright, money can often limit the pool of cars available in your price bracket. However, car lease deals give you access to vehicles that may have initially been outside of your budget.
For example, we all know how expensive a luxury car can be, but with leasing you are more likely to be able to afford the monthly costs – so you can still drive your perfect car.
Here at LeaseCar, we offer leasing deals for various models, including Land Rover, BMW and even Tesla! We can help you find a car lease deal that meets all of your needs, and has a price that works for you and your budget.
Therefore, when deciding if you should lease or buy a car – especially one that falls into the luxury category – leasing is the way to go.
No need to take out a loan
These days, a brand-new car costs between £12,000 and £17,000 – and that’s for a small car!
For families who need more room, that price just increases! In this day and age, most people don’t have that kind of money sitting in a bank account ready to spend. Therefore, they end up turning to a bank loan.
When you take out a loan, you have the interest rates on top of the amount you already have to pay. You can easily lose control of your outgoings and potentially jeopardise your credit score and future.
With leasing, you do have to pay an upfront rental, but this is far less than the price of a new car.
For the initial rental, you can typically choose to pay 1, 3, 6, 9 or 12 months upfront cost – this amount is calculated off the car lease price. The more money you spend initially, the lower your monthly rental will be.
No matter how much you choose to pay upfront, with leasing you can rest assured that you won’t have to worry about being able to pay the bank’s extortionate interest rates.
Predictable monthly costs
It’s no secret that everyone’s been tightening their pockets recently. The Guardian reported that a fifth of UK households actually have ‘negative’ disposable income, so it has never been more important to know the total cost that is going out of your paycheck each month.
When you lease a vehicle, the lease rental remain the same for your entire lease term. That way, you can accurately budget your total outgoings and know just how much disposable income you’ll have that month.
Plus, when you initially set up a car lease, you can easily alter the monthly rental when you change the lease length, annual mileage and upfront payment.
More often than not, car lease prices are lower than other types of financing deals too. So, you can be confident that you are getting the best deal for your vehicle.
Fair wear and tear
We all know a perfect car doesn’t stay perfect for long. A little wear and tear on your leased vehicle is natural, especially if you opt for a longer lease term.
However, at the end of your lease period, if your vehicle is deemed to be in a condition that exceeds the typical wear and tear damage, you may be charged with a penalty to repair the damage.
Therefore, regular maintenance on your vehicle is essential to keep it in good condition. During your lease agreement, you’re in charge of taking care of your vehicle, but how do you maintain it?
Here at LeaseCar, we also offer various maintenance packages with clear information so you know exactly what it includes and what is expected from you.
With different levels available, you can find the right one for you and your needs. We can include this in your total cost, so you can track your outgoings accurately.
No resale hassle
Anybody who has ever sold a car will tell you it is a logistical nightmare! It is a long-winded process that can take weeks if not months.
When you lease a car, you simply arrange the collection at the end of your term. Some of them – including LeaseCar – will collect it free of charge!
Like we said, fair wear and tear is expected, but you have to ensure your vehicle condition is commensurate with its age and mileage is in good condition (to avoid any repair fees) and is within the mileage agreed at the beginning of your lease contract.
With LeaseCar, there are no final fees to pay – so you can simply focus on finding your next car.
Maybe you now need a car to fit your growing family or perhaps you want an upgraded model with a higher car lease price. Either way, we are sure to have the perfect car for your needs, without the hassle of having to sell your last vehicle.
Should you lease or buy a car? A quick comparison
|Depreciation in value||✓||✕|
|Low monthly costs||✕||✓|
|Low upfront payment||✕||✓|
|More choice of cars||✕||✓|
|Fixed monthly costs||✕||✓|
|Own the vehicle||✓||✕|
Leasing is made easy with LeaseCar
We hope this article has shown you that when it comes to leasing vs buying a car, leasing is the way to go! There are so many advantages to leasing that benefit the modern driver – some that we’ve not even mentioned here.
Here at LeaseCar, we have been providing UK drivers with the best car lease prices for over 25 years! We are committed to providing you the best service available and our five-star Trustpilot score is proof of how great our service is.
With a wide range of lease deals available, we are sure that you can find the perfect car for your lifestyle requirements. There really is no better place to find your next vehicle.
If you’re ready to start leasing your next car, why not give us a call to chat with our experts and see what deals are available for you.
Or if you’d prefer, you can simply fill out our online contact form, we’ll get to work straight away so you can be on the road before you know it!