vftzmayfatc: Jan 31, 2008

Are you struggling with the decision whether to lease or buy a new car? You many not realize that leasing a used car is another option that's available to you. Leasing a used vehicle is an attractive option for those drivers who want an affordable alternative to driving a luxury sedan or truck.

Thorough research is the key to finding the best deal when leasing a used vehicle. The place to start is price research.

When you research price, focus on the initial market value and the estimated residual value. These are the vehicle's key figures. It's harder to predict these figures with used cars, because there are no pre-determined factory sticker prices and the residual percentages are determined by the subjective current retail value. That's why it's important to gather several value estimates and then find a median price. You can find this information by visiting local dealers or searching online at sites like cars.com and edmunds.com.

Comparing the used car lease with a lease on a new car of the same make and model is another way to pin down a good estimate. This tactic provides an overview of the differences between new and used car leases. Similar to leasing a new car, a used car lease is naturally more attractive when the residual value depreciates the least. It's easier to find a leasing bargain with a high-end luxury vehicle that holds its value.

Your next step is to verify the initial mileage and the overall condition of the vehicle. The used vehicle that you choose should not have mileage that exceeds 12,000 miles per year. If you find a three-year-old care with 50,000 miles on the odometer, keep shopping. It's not your best choice for a used vehicle lease.

After you've verified the mileage, look for signs excessive use. Check for worn seat fabric, damaged interior elements, worn pedal pads and a dirty engine. These can all indicate poor maintenance or a potential odometer roll-back. The car may well be marketed as "certified", but it's still in your best interest to have it thoroughly inspected by a trusted and qualified mechanic.

Gap coverage is a type of insurance that is offered on a new car lease to protect the driver against vehicle loss, theft or damage. However, this type of coverage is not typically offered on a used car lease. Your automobile insurance policy may only cover the value of your car at the time of loss, and not cover the amount owing on the lease. This difference can run into thousands of dollars, a serious deterrent to most people.

Try to arrange your own gap insurance on the used car lease, for your own peace of mind. These arrangements can be made directly with the dealer or through an automobile insurance company.

If you've always wanted to drive a high-end car, but can't manage the high payments, consider a used car lease. It can be just what you need to get you cruising in high style, without the high price.

Michael Trusthold is an expert in the automotive industry, and contributes to several well-known car web sites, providing tips on used cars buying and road trip suggestions.

vftzmayfatc

Thursday, January 31, 2008

Used Car Leasing the Smart Way

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