Best Lease Cars Arvada CO
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Best Lease Cars
As you probably already know, leasing provides much lower car payments than buying with a loan. However, unlike loan purchases, lease payments actually depend on the type of car and other factors. The cheapest lease may not be for the cheapest car. Let's explain.
What determines low lease payments?
First, let's look at how loan payments work. If we have two different cars (different makes and models) with the same price — say, a Ford and a Honda — and we have a loan for each, the monthly loan payments will be exactly the same, assuming same price, same loan terms, same buyer. The type or brand of car doesn't matter.
However, given the same two cars, same price, same buyer, lease payments will be different. Why is that, you might ask?
The reason is that one car's lease-end residual value will almost certainly be different that the other's. The car with the highest residual value will have the lowest monthly payment and be the cheapest to lease. In our example, Honda cars will generally have higher residuals than Fords, which makes Honda the cheapest to lease. See our for a table showing residual values for all car makes and models.
Sometimes car companies offer special promotional lease deals with artificially boosted residual values that make those vehicles great deals for the time of the promotion.
What is considered a cheap lease?
Based on emails we receive and other sources, it appears that most people consider a ver...