Deciding between leasing a car or buying a vehicle can be extremely difficult. In fact, it could be downright confusing. This is partly the case because there are many leasing options.
For example, you could shortlease an electrical car or in Dutch shortlease elektrische auto. Een auto leasen, as it is called in Dutch, can also be done with a personal lease. If you decide to do this, it is smart to compare all options. In Dutch this is called private lease vergelijken. Whichever way you decide to lease a car, it definitely will bring you a wide range of benefits. Below some of the reasons for leasing a car instead of buying one.
No second-hand vehicles
One of the main pros of leasing a car is that it offers you the possibility to get newer models. Without the lease these cars may be outside of your price range as they can cost a lot of money, which you may not have. You can of course decide to buy a second-hand one instead, but a newer model could actually help you save money in the long-run. This may come as a surprise to you, but it does make sense since newer cars are more economical when it comes to fuel. On top of that, you can save on maintenance costs because the newer parts are less likely to develop faults.
No more depreciation worries
So with the help of leasing you will not have to buy and use a second-hand vehicle. Instead you will be able to drive a brand new car. This, of course, has one important downside since the car will instantly drop in value as soon as you drive it off the forecourt. This remains the same throughout the time you own the car. It will never be worth as much as what you originally paid for it in most cases. Usually a new car loses around 50 percent of its value after three years. By leasing the car you will not have this problem. This is the case since you do not own the depreciation so you do not have to worry about how much money you are losing each year.
No repair or maintenance costs
On top of that, there is quite a high chance that you will not be the one that has to pay for repairs and maintenance of the leased car. Even though this depends on the leasing form you have used, in most cases the leasing company will be responsible for these costs. On top of that, you are typically covered by the manufacturer’s warranty during your lease. This, however, depends on the length of the lease contract. You definitely do not have to worry about the repair costs in this case. Furthermore, some car manufacturers offer free maintenance for the first few years.
Fixed price
Furthermore, when leasing a car it is quite normal to pay a fixed price every month. This, again, does depend on the leasing form you have picked. However, it is definitely smart to opt for fixed payments. By doing this you will know exactly how much you have to pay to the leasing firm every month. There will not be any grey areas on annual mileage or equity, for example. Everything you pay is agreed up front, which offers a lot of clarity. The company that you have a contract with for leasing the car will tell you precisely how much you have to pay each month. Throughout the duration of your contract these monthly costs will not change.