Negotiate a Car Lease
Negotiation is an art not mastered by many. One needs to be ready for it, especially if the object for negotiation is of a high value, such as a car. So if you are looking to negotiate for a car lease, you must do your assignment and know all the stuffs that you need to know so you are ready to negotiate.
What is the first thing you need to know? You need to look for the ‘capitalized cost’ of the car in the leasing contract because that is the actual price. Compare that with annual car guides to see if you are being offered the right price. All these figures will act as your ammunition while bargaining your car lease. As a leaser, you are paying the difference between residual value and the capitalized cost. So do the math. You want the lowest capitalized charge and the highest residual worth for the best yield. Majority of the people know that the lesser the car price, the lower the lease payments will be. But what they forget is that they can actually haggle on the cost of the car lease, just like when they were to buy a car. So that is the first thing to do; know the car price and haggle.
Pay the Down Payment for a Car Lease or Not?
Paying the down payment or not? That is the question. It will surely lessen your monthly payment, but that would also defeat the very purpose of leasing: keeping the up-front payment to the minimum. So if you can avoid paying for down payment, do so. Additionally, always remember that you want a car that depreciates less over a period of time. Do not go for a car that is at the end of its model year. It tends to depreciate faster.
Get the Best Car Lease Deals: Get the Fine Print
Lastly, read the fine print. Check the conditions for a capitalized cost cutback fee. It is fancy talk for a deposit. Then charges of excess-mileage are the other thing to look out for. Dealers maximize resale value while leasing, so they will limit the miles you drive annually without extra payment. If you predict you will use more miles, then confer for added ones.
In the end, do not go for a longer car lease period which you might not be able to handle. They will lower your monthly payment, but if you go for an early termination, there will be a big fat penalty for you to pay as stated in your contract.
If you have made up your mind and want to lease a car without the hassle, ZadCars can help you. Give us a call for a free consultation (818)986-7070 or send us an email and we'll handle everything for you.