On last Saturday’s Car Pro Show, we had a number of callers who identified themselves as senior citizens who were considering leasing for the first time.
I explained on the air that as we age, our mobility becomes more and more important and, frankly, precious. For many seniors, they have never given much thought to leasing a vehicle, many grew up in a time this just wasn’t done. However, it should be considered, along with the purchase option. It is wise to look at both in-depth to make the right decision.
Here are some of the reasons I think senior citizens should look at leasing their next vehicle:
1. Lower monthly payments.
There is no doubt if you are not in a position to pay cash for your next car, a lease will cost you less per month. Depending on the vehicle and the incentives, at times the lease payment will be substantially lower.
2. Keep your cash.
Just about any lease can be done with little or no money down. While certificates of deposit and other interest-bearing accounts are not paying huge dividends, for some people it gives them peace of mind to know where their money is.
3. More options.
With leasing, if the vehicle you chose turns out not to be right for you, it is easier and quicker to get out of a lease than a long-term finance contract. I’ve seen many cases of people suddenly needing something very different, like a mobility van and, again, getting out of a lease will be easier. If leasing just did not work for you, you can purchase your lease car at any time.
4. Lower out of pocket expenses.
For most people who lease, over the term of a lease, you will only be out the lease payment, gasoline, insurance, and very minor things like a few oil changes and tire rotations. Most won’t even…