Advantages of Buying Lease Returns - Dallas Lease Returns

Advantages of Buying Lease Returns

Purchasing a lease return is one of the most financially advantageous ways to buy a vehicle for many reasons. In most cases, you can get way more vehicle than for the base price of a brand new one. This savings allows you to enjoy upgrades that you have always dreamed about at a fraction of the new vehicle price. In addition to costing less than a new car in terms of price, sales tax, and insurance, a previously-leased vehicle can benefit you in other ways. Often you will see discounted late model financing opportunities through the dealer.

Lower Costs All Around

Starting with the most obvious factor, a lease return costs less than buying new. A new vehicle depreciates quicker than you might think – some up to 30% in the first year! Certified pre-owned (CPO) vehicles are an option, but they are also priced higher because they are backed by the original manufacturer’s warranty coverage and that has a cost figured in to qualify as Manufacturer Certified. A returned lease vehicle is the sweet spot between a CPO and a used vehicle, and this is just one reason!

Better Upkeep

Leased vehicles are often under contracts that require the lessee to follow specific maintenance guidelines and have all work done directly at the dealership. After only 2 or 3 years, a lease return may still be in like-new condition. Excessive wear and tear is charged to the original lessor to offer you a vehicle that is in line with wear and tear plus may also still have its existing warranty. If not, it could be eligible for an extended warranty, depending on the dealership.

Less Wear & Tear

A leased vehicle will usually have less mileage since many lease contracts set annual mileage limits and charge for every mile over that amount. The end result of a vehicle that has been leased according to the terms of its contract is a high-quality used vehicle. A car history report will reveal anything you should know about the vehicle, including service history. The dealer may also be able to let you know what the original lease terms were and verify the history report.

Recent Technology

The newer the vehicle, the more recent and innovative its technology and features. A lease return is an excellent opportunity to get these features at a fraction of the cost of a new car or truck. This is where a test drive is important so you can check out the vehicle’s features to ensure they work the way they should. For example, if you are looking for a car with smart device integration, make sure the one you’re considering works well with your phone. We encourage you to take the time to ask questions and test the safety features, as well, such as cameras, sensors, adaptive cruise control, and other such systems.

Purchasing a lease return is one of the best ways to get more car for your money. Here at Dallas Lease Returns, we have models as recent as 2018 and 2019 in fantastic condition and available at a reasonable price. If you are looking for a near brand new car, without the brand new price tag, check out our inventory of lease return sedans, lease return trucks, and lease return SUVs! To browse our inventory click here or call (214) 960-1388 for more information!

3 Reasons Why You Should Never Purchase a New Vehicle

3 Reasons Why You Should Never Purchase a New Vehicle

While there are benefits to buying a brand new car, it might not be the smartest financial choice. Before you think a car with only 10 miles is the better deal, here are three arguments why you should never buy new!

You’ll Pay More

Buying a great car does not have to complicate your financial life! If you have good credit and you’re able to qualify for a new car loan with no hassles, banks may compete for your business and offer the best rate possible.

But even with low-rate auto financing on a new purchase, a new car will be more expensive than an older version of the same car. Not only because of the higher sale price, but you’ll also pay more in other areas. Brand new cars can have higher insurance premiums than used cars as well.

Faster Depreciation and Negative Equity

It’s kind of a trap, but new cars depreciate faster than used vehicles. The sad reality is that the average new car can depreciate as much as 19% in its first year! What does this mean for you? To put it simply, if you buy a brand new car without a down payment, or if your monthly loan payment isn’t high enough to compensate for depreciation, you could end up owing more than the vehicle is worth.

Negative equity isn’t the worst thing to happen if you plan on keeping the car until it’s paid off. But if you’re the type of person who trades in vehicles every two or three years, negative equity can increase the cost of your next vehicle. Say a dealership gives you $19,000 for your trade-in, yet you owe $22,000, the $3,000 difference doesn’t just go away.  You have to pay it when the dealer tacks the negative equity onto your next car loan. So instead of a sale price of $27,000 for your next vehicle, you end up financing $30,000.

On the other hand, if you skip the brand new car and buy a vehicle that’s one or two years old, you’ll be able to get the car at a price that’s more comparable to its actual value, and possibly avoid an upside-down loan.

You Get More for Your Money

Since cars depreciate rapidly within the first year, buying used is an opportunity to get more for less!

For example, you can buy used cars that are less than a year old and save thousands of dollars! Here at Dallas Lease Returns we have great quality, used vehicles that are in perfect condition! Most are just a couple years old and we even offer used luxury brands! It’s like buying a brand new car, without the brand new price tag.

In summary, buying used is the way to go! It saves you money in the present and future, and is also the most practical method. To browse our inventory, visit our website!