Mistakes to Avoid When Leasing a Car

If  done right, leasing a car  can save a lot of money. You might pay less for the newest models with the  latest features, for example, with a 2019 Ford lease, but leases are  complicated. Before you sign a lease contract, be smart by avoiding these car leasing mistakes:

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Paying Too  Much

The  dealer has advertised a very low monthly price. Assume it’s too good to be  true. You’ll probably have to put down thousands of dollars to start. You’re  just paying part of the lease in advance. The less you pay up front, the higher  your monthly lease  payments will be, but if you pay thousands and the car is stolen or totaled soon  after, you’d be out a lot of money.

Skipping  Negotiations

Most  leases are not based on the sticker price, as when you buy a car. Instead, the purchase price is  the car’s capitalized cost, which you can lower by negotiating with the dealer.  Trade-ins and dealer incentives can lower the total lease cost as well.

Not Getting  Gap Insurance

Make  sure the lease includes  gap insurance. This “gap” is the difference between what you still owe  and how your car is valued by the insurance company. If something happens to your vehicle, you may  still be liable for this difference. Gap insurance protects you from having to  pay it out of pocket.

Forgetting  to Calculate the Total Cost

Read  all the fine print  so you know how much you’ll spend. Know the total cost of the lease, out of  pocket costs, and the down payment (if you pay one), before you sign the  contract. That way, you know what the long-term cost will be.

Settling on  Too Long a Term

  For  the most part, lease terms  range from two to four years. If you lease a car for too long, you might pay extra for maintenance.  As a general rule, keep the lease period shorter than the warranty period,  which is up to three years on average. Purchase an extended warranty if you plan to keep the  car longer.

Underestimating How Much You Drive

Leasing companies often  post limitations on mileage to keep monthly payments low. If you exceed the  limit, you’ll be charged per extra mile you drive. Therefore, review your  driving habits and ask for a higher limit if necessary.

Not  Tracking Your Credit Score

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By  knowing your credit score,  you can take steps to improve your credit or correct errors in your credit  report before leasing and know when you have an opportunity to negotiate. The  better your credit, the more eligible you’ll be for the best lease offers.

Shopping at  Just One Dealership

Contact several dealers’ sales departments  online. The lease terms from one dealer to another may differ dramatically,  depending on their sales goals and what they paid for the vehicle.

Get the  Best Deal on Your 2019 Ford Lease

By avoiding common car leasing mistakes, you can bank on your lease deal and save.  Contact Salerno Duane Ford at 908-277-6780 to learn more about our inventory,  leases, specials, and financing.

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