Vehicle Leases Michigan

Before leasing a vehicle, consumers should be aware of how leasing works plus the advantages and disadvantages of leasing compared to buying. To learn about these differences, read the following article.

Local Companies

Penske Truck Rental
(734) 981-5866
47255 Michigan Ave
Canton, MI
U-Haul Company
(734) 397-0825
41479 Michigan Ave
Canton, MI
Enterprise Rent A Car
(734) 946-1313
12510 Telegraph Rd
Taylor, MI
U-Haul Company
(734) 946-2166
24680 Eureka Rd
Taylor, MI
National Parts Depot
(734) 591-1956
2435 S Haggerty Rd
Canton, MI
U-Haul Company
(734) 454-9680
40671 Joy Rd
Canton, MI
Avis Rent A Car
(616) 532-8133
5420 Division Ave S
Wyoming, MI
J C Auto Rental
(248) 855-4430
7020 Orchard Lake Rd
West Bloomfield, MI
Rent-A-Wreck
(734) 729-5200
39600 Michigan Av
Canton, MI
U-Haul
(616) 281-8879
3233 Eastern Ave SE
Wyoming, MI

Provided by: 

Before leasing a vehicle, consumers should be aware of how leasing works plus the advantages and disadvantages of leasing compared to buying.

Leasing a vehicle is similar to renting a car or truck; you pay for the time that you drive it. Leasing also involves paying for the depreciation a vehicle incurs during the lease period. The depreciation value is based on industry and economy trends, normal wear and tear and the vehicle manufacturers’ reputation for quality.

Leasing companies are subsidiaries of car manufacturers and financial institutions such as banks and credit unions. Auto dealerships act as intermediaries between the leasing customer and the leasing company. The dealership sells the car to the leasing company and sets up the lease agreement with the customer on behalf of the leasing company. After the lease agreement is final, the auto dealership is on longer involved. The customer makes monthly payments to the leasing company.

Generally, leases last for 24 to 48 months and the monthly payments are much lower than car loan payments. However, at the end of the lease, the customer does not own equity in the vehicle. The leasing company actually owns the vehicle, so it is in the company’'s best interest only to lease for the duration of the manufacturers’ warranty. It is also in the customers’ best interest to have full warranty coverage because any mechanical problems will be their responsibility.

To qualify for a lease, customers must have a high credit rating. Leasing companies need to be confident that a leasing customer is financially responsible, since the vehicle is essentially ”loaned” to the customer for a specific period of time.

Some salespeople may claim that leasing a car makes the price non-negotiable; this is not true. In addition to the commission from the car sale, the salesperson also receives a percentage from the leasing company. The auto dealership sets the final price, not the leasing company, so customers should negotiate the price the same way they would to buy.

After the lease has expired, customers can choose the option to buy the vehicle by paying the remaining value plus fees or they can lease a new vehicle. However, if the vehicle’s condition does not meet industry standards for normal wear and tear, the customer may end up paying extra at the end of their lease.

The attractions for consumers to lease a vehicle are low monthly payments and they get a new car or truck every few years. On the other hand, the monthly payments do not result in any equity and some consumers like the idea of eventually owning their vehicle.

References

How Leasing Works. Retrieved October 3, 2006, from LeaseGuide.com Web site:
http://www.leaseguide.com/lease07.htm

Lease vs. Buy. Retrieved October 3, 2006, from LeaseGuide.com Web site:
http://www.leaseguide.com/lease03.htm

What is Leasing?. Retrieved October 3, 2006, from LeaseGuide.com Web site:
http://www.leaseguide.com/lease02.htm

Click to read more from TopTenReviews.com

Featured Local Company

Penske Truck Rental

(734) 981-5866
47255 Michigan Ave
Canton, MI
http://www.pensketruckrental.com

Related Articles
- Auto Leasing Basics Michigan
Have you ever considered leasing a car instead of buying? If you have and you want to know more about the advantages and disadvantages of auto leasing, read the following article.
- Transportation Lease Michigan
- Auto Lease Glossary Michigan
- Leasing 101 Michigan
- Lease Assumptions Michigan
- Auto Leasing Pros and Cons Michigan
- New Car Leases Michigan
- Certified Pre-Owned Vehicles Michigan
- How a loan works Michigan
- Maintenance of a leased car Michigan
Regional Articles
- Vehicle Leases Adrian MI
- Vehicle Leases Allegan MI
- Vehicle Leases Allen Park MI
- Vehicle Leases Alpena MI
- Vehicle Leases Ann Arbor MI
- Vehicle Leases Auburn Hills MI
- Vehicle Leases Battle Creek MI
- Vehicle Leases Bay City MI
- Vehicle Leases Belleville MI
- Vehicle Leases Benton Harbor MI
- Vehicle Leases Berkley MI
- Vehicle Leases Big Rapids MI
- Vehicle Leases Bloomfield Hills MI
- Vehicle Leases Brighton MI
- Vehicle Leases Burton MI
- Vehicle Leases Cadillac MI
- Vehicle Leases Canton MI
- Vehicle Leases Cheboygan MI
- Vehicle Leases Clarkston MI
- Vehicle Leases Clinton Township MI
- Vehicle Leases Clio MI
- Vehicle Leases Coldwater MI
- Vehicle Leases Commerce Township MI
- Vehicle Leases Comstock Park MI
- Vehicle Leases Davison MI
- Vehicle Leases Dearborn Heights MI
- Vehicle Leases Dearborn MI
- Vehicle Leases Detroit MI
- Vehicle Leases Dowagiac MI
- Vehicle Leases East Lansing MI
- Vehicle Leases Eastpointe MI
- Vehicle Leases Eaton Rapids MI
- Vehicle Leases Escanaba MI
- Vehicle Leases Farmington MI
- Vehicle Leases Fenton MI
- Vehicle Leases Ferndale MI
- Vehicle Leases Flat Rock MI
- Vehicle Leases Flint MI
- Vehicle Leases Flushing MI
- Vehicle Leases Fort Gratiot MI
- Vehicle Leases Fraser MI
- Vehicle Leases Garden City MI
- Vehicle Leases Gaylord MI
- Vehicle Leases Gladwin MI
- Vehicle Leases Grand Blanc MI
- Vehicle Leases Grand Haven MI
- Vehicle Leases Grand Ledge MI
- Vehicle Leases Grand Rapids MI
- Vehicle Leases Grandville MI
- Vehicle Leases Grosse Pointe MI
- Vehicle Leases Hamtramck MI
- Vehicle Leases Harper Woods MI
- Vehicle Leases Harrison Township MI
- Vehicle Leases Hazel Park MI
- Vehicle Leases Highland Park MI
- Vehicle Leases Hillsdale MI
- Vehicle Leases Holland MI
- Vehicle Leases Holly MI
- Vehicle Leases Holt MI
- Vehicle Leases Howell MI
- Vehicle Leases Hudsonville MI
- Vehicle Leases Inkster MI
- Vehicle Leases Ionia MI
- Vehicle Leases Jackson MI
- Vehicle Leases Jenison MI
- Vehicle Leases Kalamazoo MI
- Vehicle Leases Lake Orion MI
- Vehicle Leases Lansing MI
- Vehicle Leases Lapeer MI
- Vehicle Leases Lincoln Park MI
- Vehicle Leases Livonia MI
- Vehicle Leases Ludington MI
- Vehicle Leases Macomb MI
- Vehicle Leases Marquette MI
- Vehicle Leases Midland MI
- Vehicle Leases Monroe MI
- Vehicle Leases Mount Clemens MI
- Vehicle Leases Mount Morris MI
- Vehicle Leases Mount Pleasant MI
- Vehicle Leases Muskegon MI
- Vehicle Leases New Baltimore MI
- Vehicle Leases Niles MI
- Vehicle Leases Northville MI
- Vehicle Leases Novi MI
- Vehicle Leases Oak Park MI
- Vehicle Leases Okemos MI
- Vehicle Leases Owosso MI
- Vehicle Leases Petoskey MI
- Vehicle Leases Pinckney MI
- Vehicle Leases Plymouth MI
- Vehicle Leases Pontiac MI
- Vehicle Leases Port Huron MI
- Vehicle Leases Portage MI
- Vehicle Leases Redford MI
- Vehicle Leases Rochester MI
- Vehicle Leases Rockford MI
- Vehicle Leases Romulus MI
- Vehicle Leases Roseville MI
- Vehicle Leases Royal Oak MI
- Vehicle Leases Saginaw MI
- Vehicle Leases Saint Clair Shores MI
- Vehicle Leases Saint Johns MI
- Vehicle Leases Saline MI
- Vehicle Leases Sault Sainte Marie MI
- Vehicle Leases South Haven MI
- Vehicle Leases South Lyon MI
- Vehicle Leases Southfield MI
- Vehicle Leases Southgate MI
- Vehicle Leases Sterling Heights MI
- Vehicle Leases Sturgis MI
- Vehicle Leases Swartz Creek MI
- Vehicle Leases Taylor MI
- Vehicle Leases Temperance MI
- Vehicle Leases Three Rivers MI
- Vehicle Leases Traverse City MI
- Vehicle Leases Trenton MI
- Vehicle Leases Troy MI
- Vehicle Leases Utica MI
- Vehicle Leases Walled Lake MI
- Vehicle Leases Warren MI
- Vehicle Leases Waterford MI
- Vehicle Leases West Bloomfield MI
- Vehicle Leases Westland MI
- Vehicle Leases White Lake MI
- Vehicle Leases Wixom MI
- Vehicle Leases Wyandotte MI
- Vehicle Leases Wyoming MI
- Vehicle Leases Ypsilanti MI
- Vehicle Leases Zeeland MI
Related Local Event
AUTOMOTIVE LOGISTICS GLOBAL CONFERENCE 2009
Dates: 9/22/2009 - 9/24/2009
Location: Ritz-Carlton Hotel
Dearborn, MI
View Details

Rss   Delicious   Digg   Add To My Yahoo   Add To My Google   Bookmark   Search Plugin

Topics:
Advertising Family Home Services Real Estate Resources
Business Services Fashion Industrial Goods & Services Retail & Consumer Services
Career Financial Services Insurance Software
Cars Food & Beverage Internet Technology
Computer Hardware Franchise Legal Telecommunications
Construction Health Miscellaneous Trade Shows
Education Holidays Nightlife Travel
Entertainment Home Appliances Online Database Weddings
Environmental Home Electronics Pets World History