Basics: Lease
January 30th, 2010 by carla_guillermoBy all means, lease is similar to rent but with a longer term. In the end of a car lease for example, you return the leased car. Aside from the upfront payment, you will give monthly payments for using the car and you need to maintain it. On the agreement, there is a limit on miles to cover and you will pay for any additional. You will also need to pay for any damages you may caused the car or repair it.
The advantage of having a car lease will be paying a lower monthly payment for a great car. Before doing so, further check the benefits, mechanics and possible complications. Generally, lease payments depend on the capitalized cost of the car, the residual value and the amount the vehicle will depreciate when you use it. Some websites offer special calculators like Purchase vs. Lease Calculator that will allow you to compare the two methods.
