Leasing your new vehicle offers some great benefits for the right person or situation.
What is leasing? Leasing is a financing option that allows the customer to pay for what they actually use. The payment is based on the estimated depreciation and a small cost of borrowing.
Lease
Leasing offers affordable payments with shorter terms
This lets you…
Consider vehicles with more options
Choose your desired trade cycle
Have peace of mind since most terms are within the warranty period
You have options at the end of your lease
If the vehicle is worth more than the residual value
Exercise your purchase option and keep it
Exercise your purchase option and apply the equity to the next vehicle
If the vehicle is worth less than the residual value
Drop off the keys and walk away (subject to any excess kilometres or wear-and-tear charges)
Buy
Conventional loans typically require longer terms to achieve affordable payments
This keeps you…
From trading into a new vehicle sooner
Driving the same vehicle longer even when you are ready to trade
Conventional loans have obligations when you trade
The owner must find a buyer
The owner assumes all of the risk for unexpected depreciation
The vehicle’s condition, mileage, and wear and tear will be a factor in assessing the total value of the vehicle
The owner must satisfy the loan balance regardless of the vehicle value
NO CAR CRAP: SHOULD I LEASE
Our Finance Manager, Chris Halliday explains why a vehicle shopper may want to lease their next vehicle instead of purchasing. Watch and learn the benefits of leasing!
IT’S MORE THAN JUST THE PAYMENT
At the end of a lease, a customer can choose to:
Return the vehicle with no negative equity
Exercise the option to purchase the vehicle
Lease a brand new vehicle with up-to-date technology and safety features, and receive total loss protection
Save on sales tax for only paying on the portion of vehicle used
Eliminate potential accident damage depreciation during the term of the lease
Whereas a finance customer may still have to:
Deal with potential negative equity
Pay more in maintenance costs and deal with the vehicle being past its warranty period