More Auto Information

The Art of the Auto Deal: How to Lock in a Great Car Lease Agreement

Are you interested in getting a new car but unsure if you have the budget to do so? Do you wonder how you’ll get your hands on a car that’s worth the investment? If so, then you should learn more about how to find the right car lease agreement.

Doing so can help you find the best lease deals around. You’ll be able to lease a car within your budget and drive around town in a newer vehicle. No more having to go the “used car” route if you don’t want to.

See below for several car leasing tips and how to handle dealer negotiations to find the right price.

1. Set a Budget

Before you start your search, you want to make sure and figure out how much car you can actually afford. 

You can start this process by simply creating a monthly budget. Add all of your monthly bills and costs together, then subtract them from your monthly take-home pay.

Be sure to give yourself wiggle room with the car lease budget you make. For example, if you find that you have $500 left after costs are taken out, you don’t have a budget of $500 to spend on a new car. You should give yourself a max of $250 to $300 per month.

Remember, you’ll also need to factor in car insurance, cost of repairs, and other costs beyond the monthly payment.

2. Research the Best Deals

You wouldn’t schedule to tour a home without researching the local listings for ones in your price range. You wouldn’t get a loan without looking for the best rates. Why do any differently for your next car lease?

To find the best deal possible, you need to do some homework first. Take the time to search the internet and locate the best initial deals on car leases.

You can use sites like InterLease to find both personal leases and business leases (if offered) on some of the best cars available. The offers range from a Honda HR-V to a Jaguar E-Pace, and more.

Be sure to pay attention to the price and the term details of the lease (more on this in a moment). This can be a tremendous starting point with which to further work on the lease terms. 

That said, don’t inquire about a car lease that’s out of your price range in hopes that you can haggle it down into your budget. Find one that already fits your budget and attempt to negotiate the deal down a bit further.

3. Keep an Open Mind

The more specific you are on the car type, year, make, model, color, and so on, the less likely you are to find a car lease that flatters your budget.

Many people let their emotions and preferences stand in the way of finding a good deal on a car. For example, if your budget calls for a price of $300 per month, don’t go shopping for a lease on a truck.

Remember, it’s all about priorities. Your budget is the most important part. You want to make sure that the details or price of your lease don’t blow up in your face one day. 

That said, you shouldn’t sign the contract for a lease on a car you don’t love. Keep the search going until you find a good compromise. 

4. Understand the Terms of the Lease

Finding optimal car lease deals is all about the numbers. Rather than fixing your eyes on only one aspect of the lease, you need to focus on all of the numbers and how they collaborate. 

Too many people only look at the monthly payment on the lease. They think they’ve struck a deal if they’re able to lower the payment on the car from month to month.

However, dealers of less quality will try to trick you by extending the term of the lease, raising the APR rating, lowering the mileage limit, and so on.

First, you need to understand the prime purpose of a car lease. Generally, you lease out a car for a few years. Then, at the end of the lease, you either choose to pay for the rest of the car to purchase it or trade it in to get a new car lease.

Make sure you’re paying attention to these six components of the car lease: 

  1. The down payment on the lease
  2. The monthly payment amount that you will owe
  3. The duration of the lease
  4. How many miles you’re allowed to drive each month/year
  5. The buyout price
  6. The total cost of the car

5. Go for a Test Drive

No matter how many different cars you look at. No matter how many different car dealerships you go to in search of a car lease. You always want to test drive the car you’re thinking of purchasing.

It doesn’t matter if you’ve previously test-driven a car with the same make, model, lease, year, trim, or anything else. You want to test drive that specific car.

Not doing so can be setting yourself up for failure. Give the car a test drive to get a feel for the car. Do you like the way it drives? Does anything concern you about the way the car runs? How does it feel behind the wheel? Take it all into consideration.

Find the Right Car Lease Agreement for Your Needs

Everyone’s needs are different. Some need a car lease agreement that fits their budget while others need to find a car to fit the entire family. 

Be sure to factor in your priorities, but keep your options open. Don’t fall too deeply in love with one specific car make or model if you want to find the best deal.

Make sure to browse our website for more articles on how to find a good car lease, as well as many other topics that you’ll find interesting.