The Price to Pay in Car Leasing

Right now maybe you are convinced that Car Leasing is the right choice between the Lease vs Buy battle in your head. You have an idea what car you would want; you've perused the Contract Hire Special Offers, so basically you have done your homework as a potential customer. So how much should you pay for a lease for a car of your choice?

Before anything else, know the factory invoice price of the Contract Hire or Finance Lease car. This is the amount that your car dealers pay the manufacturers; basically this is your biggest arsenal in dealing and haggling with the dealers. The difference between the factory invoice price and the suggested retail price of the Lease Purchase vehicle is the range with which you can bargain. Remember cars of the same tag price may have different invoice prices. The dealer may add up to one-sixth of the invoice in the sticker price depending on the vehicle and the demand for it.

Knowing the difference between invoice price and retail price and thereby being aware of the range to bargain is very important. For example, asking for a 10% discount on a car, which the dealer has added 8% is futile, 5% is possible, higher than that, your chances are slim.

Moreover, better deals can be gotten wherein you may pay lower than the invoice for Contract Purchase and Hire Purchase arrangements. This is possible because dealers buy in bulk, and have factory-to-dealer rebates. Just be alert for the possibility of these deals in case you get the chance to be involved in one of them

Saving money will be a way of life for this generation, that is why you need to apply this when Car Leasing. Sweeter deals can also be achieved through different financing options available for you, whether you're looking to lease a company car for personal use, or leasing a car for yourself. Just familiarize yourself with finance options, some of them offer tax advantages that could save you some money. Some other finance options available in most car lease companies are Personal Contract Hire and Personal Contract Purchase.