5 things you have to know before leasing a new car

1. Before thinking of leasing, make sure you can live without the ownership feeling because using this method means that you will only own the car after the leasing period is over and after you pay the residual value of the car.


2. Most people are attracted to leasing because of the low and affordable monthly payments compared to making a loan. But be very careful at all the hidden costs because leasing a car will always be more expensive than buying it.


3. If you plan on keeping the car for only a short period, leasing is a very good solution because studies reveal that the costs on short term are much lower for leasing compared to buying. However, the situation changes when we talk on long term.


4. If you decide to lease a car, choose one that holds its value over time. If the car depreciates less, it will have a higher residual value, so you will have to pay smaller monthly fees.