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Popularity Explosion
Leasing has grown more than tenfold
in less than a decade. It accounts for more then 36% of the over 15 million
vehicles sold in the United States each year. Why the dramatic upsurge in
leasing?
The main causes are changes to the tax laws. Additionally, the many
tax deductions that favored purchasing over leasing were eliminated. Since those
tax laws were changed, leasing has enjoyed a steady 2% to 3% increase per year
for the last ten years.
How it Works
Leasing is a simple concept. Payments are
low, because you pay only for the portion of the vehicle's value that you
actually use, not the total value. Also, most leases require little or no down
payment.
INITIAL LEASE COSTS
First & Last Lease Payment in Advance
Some leases
require the first and last payments at the beginning of the lease term. If you
have a good credit rating, you may not be required to make the last payment
until the end of the lease.
Capitalized Cost Reduction
You may have the opportunity
to lower your monthly lease payment by making a one-time payment to reduce the
car's initial capitalized cost (the total cost of the vehicle) including any
fees, insurance, maintenance contracts or options you request.
Insurance
Signature Auto Leasing provides you with all
necessary insurance information when entering into a leasing contract. Insurance
may be purchased through the agent of your choice.
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