Can You Lease a Used Car?

So, you like the idea of leasing, like a lot of Freehold drivers, but you’re wondering if you can have even lower payments if you lease a used car. Can you lease a used car? It’s possible, but not very common. Many lending institutions stopped providing leases on used cars in the wake of the Great Recession. Some dealerships may offer it on certified pre-owned vehicles with very low mileage. But oftentimes, those same dealerships structure their lease prices so that used car leasing costs almost as much as leasing a new car. Let’s talk about used car leasing and if it’s right for you. 

The Benefits of Used Car Leasing

There really is just one main benefit of leasing a used car over leasing a new one: the down payment and monthly lease payments can be lower. However, you will want to factor in potential repair costs, which are much more likely to come up on a used car than a new one. You can mitigate that risk by making sure the used car you are leasing is still under an extended warranty. Even so, some repairs may not be covered by the warranty. Can you lease a used car? Yes, but that may not be the question you should be asking. 

Used Car Leasing vs Buying

The question is really not can you lease a new car, but should you. Buying has a number of advantages over used car leasing. Here are a few:

• You don’t own the car at the end of the lease or have any equity in it.
• If there is more wear and tear on the car at the end of the lease than what the lender thinks there should be, you will be charged a fee.
• Leasing limits the number of miles you can put on the vehicle in a month. Let’s face it, most of us in the Toms River area like to put a lot of miles on our vehicles.
• If the car has depreciated more than what you paid during the course of the lease, you may have to pay the difference. 

Get Your Next Car from Honda Universe of Lakewood

Hopefully, this has helped you decide whether used car leasing is right for you. Our finance department is more than happy to walk you through your leasing and buying options. While you’re here, check out our pre-owned vehicle specials. We’re just a short drive away from Jackson, so drop by or contact us today!