4 reasons why you should always pick leasing over buying
Why leasing always makes more sense
Car leasing is one of the most popular forms of vehicle acquisition in Dubai and overall UAE. The main reason why car leasing remains a viable option for frequent travelers is the easy vehicle acquisition; you can acquire your favorite car without worrying about the huge upfront cost. Research shows that in the past couple of decades car leasing services have escalated to become a prominent part of auto rental industry. This article highlights the reasons that make leasing a worthwhile decision for those looking to acquire a car for long term.
- Leasing is just simple: Leasing is just a simple option for those looking to acquire a vehicle that fulfills their long-term travel needs without costing them a hefty amount of money. Leasing gives you myriad options to choose from with the flexibility to change car and acquire a newer model without worrying about selling your old model; at the end of the leasing period, you simply return your car and acquire a new one with a new lease contract.
- Leasing gives your freedom to choose: Many car hire Dubai companies, like Quicklease.ae, offer bendable conditions for leasing a car, which makes the process smooth and easy-to-access for anybody. You can choose from an extensive fleet that includes all the latest models of all your favorite cars. Leasing is a special treat for drivers and car enthusiasts who love to ride a brand new car every two years.
- It costs less in the long run: Before making the decision to buy or lease, you need to compare the cost of buying or leasing a car with 10 different elements that include:
- Cash down payment
- Vehicle purchase price
- Sales tax
- Total fee
- interest rate (APR)
- Estimated retail value
- Annual savings rate
- monthly payment
- Trade-in allowance
If you are not certain about whether to lease or rent, you can always calculate the cost using online buy or lease calculators. The following example shows the calculation for a vehicle worth $ 24,000 (AED 88152.0).
- It doesn’t affect your cash flow: In comparison to buying a vehicle, leasing does not affect your annual cash flow. With buying you have to incur a combined cost. Most travelers loan money in order to fulfill the cost requirements of buying a vehicle, which adds up to a bigger number than what you have to pay for a leased vehicle.
The decision to buy or lease shouldn’t be hard; leasing is and will always be a great option if you are a car enthusiast who always looks forward to drive new models. When you buy a vehicle, your choice and flexibility is restricted. In addition, another important thing that you must keep in mind is the annual and regular maintenance. Leased cars are to be returned to the company after the leasing period after which the company incurs all the costs to maintain the vehicle and restore its functionality, while a purchased vehicle requires you to pay for all the maintenance costs for as long as the vehicle stays under your ownership.
Know your requirements and make a wise decision!