An Arizona driver's guide to lease options and benefits
What is auto leasing?
Leasing is a lot like renting a new Buick, GMC vehicle for a set period of time. A contract is established between the dealer and the driver and, at the end of the contract, the car will be returned to Yates Buick GMC in Phoenix, AZ. A new agreement for the driver to purchase the car outright could also be established. Drivers often choose to lease a car because it gives them options for the future.
Why lease a car in Phoenix:
Leasing almost always allows you to drive a car for lower monthly payments than if you purchased the vehicle outright.
Try out a vehicle before buying it from our dealership. You’ll likely fall in love, and if you don’t – leasing or purchasing an alternate vehicle is a great next option!
Keep outfitted with the most up-to-date technology and superior performance.
Leasing a vehicle for work affords the business opportunities for significant tax deductions while not having to pay for a new vehicle outright.
What should people consider before making a decision to lease?
Leasing contracts set mileage limits, and drivers who go over those limits will have to pay extra at the end of the contract. If you intend to use the vehicle primarily in GOODYEAR and Avondale, leasing is likely an excellent option. If you regularly travel all around Arizona and the greater Phoenix metro however, owning a vehicle might be a better financial choice. Standard lease contracts allow 12,000 miles a year (that’s 36,000 miles total) for a 3-year lease contract. Lessees who go over the mileage limits pay approximately $0.25 for each additional mile. That would be approximately $125 if you went, say... 500 miles over the limit. If this makes you think that car leasing isn't for you, it’s worth considering that there are often low-mileage and higher-mileage lease offers available to save you money.
While leasing is a great way to drive a new car with a low monthly payment, there are up-front costs. Standard auto lease deals require a significant down payment in the area of $2,000-$3,000. There are sometimes OEM incentives which waive or significantly reduce these costs, so be sure to check Buick, GMC incentives for the Phoenix area. Much like purchasing, you will also need to cover sales tax, title, and licensing costs. You may also need to pay for the first and last month’s lease payments. In most instances, the cost of leasing is still less than if you paid for the vehicle outright - that's definitely something to consider! Nevertheless, it’s important to know what the possible charges will be before making your decision. To offset or cover the initial costs when leasing a vehicle, many customers include a trade-in of their previous car, truck, van, or SUV. You can easily estimate the value of your trade-in vehicle in the Phoenix, AZ area today.
Drivers should also carefully read the lease contract, making note of their responsibility for anything which affects the vehicle’s residual value. This includes items such as 1) damage due to an auto accident, 2) if the interior is damaged beyond typical wear-and-tear, and 3) following the vehicle’s recommended maintenance schedule. It is important to understand residual value so that when your lease contract ends, you are in the best financial position possible.