If you enter a car dealership without already knowing the true price of the vehicle you want, you are unlikely to get the best deal. Lack of preparation means spending more money.
What’s the best way to get the best deal on a new car lease? Get your FREE, Car Quote – The process is fast and easy, there are no obligations, and best of all…it’s FREE!
Select a Car & Apply For Free Car Lease Quote
| Compact | Sports | Hybrids | Trucks |
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• Audi S5 • Volkswagen Golf • Suzuki SX4 • Suzuki SX4 Crossover • Volkswagen Beetle |
• BMW 3 Series • Porsche 911 |
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| Midsize | Luxury | Minivans | SUVs |
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• Mazda MAZDA6 • Honda Accord • Suzuki Kizashi • Volkswagen CC • Volkswagen Passat |
• Audi S5 • Mazda MX-5 Miata • BMW 3 Series • Hyundai Azera • Mercedes-Benz SLK-Class |
• Ford E-Series Van • Mazda MAZDA5 • Ford Transit Connect Van |
• Nissan Xterra • Dodge Journey • Volkswagen Jetta • Volkswagen Tiguan • Volkswagen Jetta SportWagen |
Open-End vs. Closed-End Lease?
- Open-End Lease: An open-end lease is most common for cars used for business or commercial use. Instead of the lender, the company who leases the vehicle, holds the financial risk, potential write-off, and responsibility. At the end of the lease, the cars Actualized Market Value (the price the dealer could get on resale of the car) will be deducted from the Fair Market Value (what you agreed to pay for the vehicle). These prices will be determined at the beginning of the lease agreement.
- Closed-End Leases: Closed-end leases also need to factor in actual market value (AMV) and the fair market value (FMV). These amounts are closely connected to your monthly payments. The leasing company will attempt to offset the vehicle’s depreciation by estimating the FMV higher or by setting a higher monthly payment. At the end of this type of lease, you can simply walk away. Your only obligation is to compensate for any damages or excess mileage – you do not need to factor in depreciation.
What’s the Residual Value of Your New Car?
The residual value is the value of the car at the end of your lease, otherwise known as the resale value. You will want to know this important number before signing a lease contract. If the residual value is too low or too high, you might pay too much for your lease when you return your car.
Lenders determine the residual value of a vehicle based on percentage of depreciation from the automotive lease group (ALG).
Always Be Prepared!
Being educated about dealers’ lease quotes will help ensure you get the best deal possible for your new lease. By doing your research and having the above information handy, you can successfully navigate the process of applying to lease a car for less.
Get a FREE and accurate lease price quote now for an inside edge on the points you need in order to meet with the dealership and negotiate for your new car lease! Lease a car like a pro!
