If you want to drive a better, newer car at a lower cost, don’t bother saving up for that sizeable down payment. Increasingly, Canadians are looking to the lease as a smarter way to get behind the wheel of their dream car. Here are 5 excellent reasons why you should lease a car:
1) Tax Write-off Benefit
Many people choose to lease because it means they get to drive a unique, luxury car, hassle-free. Whether you want it for business, or you’ve just always wanted to cruise around in a Mercedes, leasing is the “have your cake and eat it too” option. If you’re leasing for work, a portion of your lease payments are tax deductible when you file your company tax return. If you’re leasing for yourself, you only have to pay taxes on the monthly lease payment, rather than the full vehicle price, saving you money.
2) The Newest Technology
If you’re one of those people who loves to always have the newest thing, leasing is for you, regardless of whether you want to pay less for depreciation or reap the tax benefits. Having the latest in engine technology, infotainment and appearance can be reward enough, and since, with leasing, you’re able to swap your car out for a new one every few years, you’ll never be far from the best the industry has to offer. Check out the AUTO ONE Group blog, which is a car blog run by car experts that touches on everything from luxury cars to leasing, to get an idea of what your next car should be.
3) Payments Are Low
Short-term leasing saves you more. Your monthly payment will be much lower for newer cars, and although you will probably pay a higher interest rate, it will still be less than obtaining a loan to purchase a car. So go ahead and start looking for that luxury sedan you always wanted as a student in high school, but couldn’t afford.
4) Change of Taste
When you do decide to lease your dream car, whether that’s tomorrow or in a few months, you may find that unforeseen life changes pop up. You may get married or have kids, or get offered a job opportunity in another city. If you lease, you can quickly transition from that two-door hot red sports car to a four door minivan or SUV that will accommodate your new situation. All you have to do is talk to your luxury car dealership agent and lease a better car!
One of the nice things about leasing your dream car is that your car will be under a warranty from the factory, so you won’t have to worry about maintenance and repairs. It’s a new car, so the chances of breakdowns and repairs are low, however, in case it does happen, you don’t have to worry – It’ll be covered in most cases. Some newer cars even provide complimentary oil change and brake coverage during the first couple years of your lease.
As you can see, there are a mountain of reasons why leasing blows buying out of the water. If you can get past the hang-up about “ownership”, you’ll have access to the hottest, newest cars at a price you can handily afford.