Who Is A Good Candidate For Leasing A Car?

People often claim that nobody should lease a car. They argue that leasing is always a bad deal because you don’t end up owning the vehicle. That’s an oversimplification of the issue. In fact, many people are actually good candidates for a lease contract. Even though leasing isn’t the most frugal way to “own” a car, it can make sense for certain types of drivers. Below, I’ll explain who might be better off leasing a car rather than buying a new or used car.

Candidate #1: Likes New Cars

This is the primary reason why most people enjoy leasing: they enjoy driving newer cars. Some drivers grow tired of their vehicles quickly. After 2 or 3 years, they prefer to trade them in for a new model. Leasing a car makes this process very easy. The dealership can quickly transfer the lease from the old vehicle to the new. A related benefit from the lessee’s perspective is that they won’t have to deal with the effort of selling a used car later.

Candidate #2: Enjoys Low Maintenance

When you own a car and something goes wrong, you’re forced to pay for replacement car parts and repairs. By contrast, most lease agreements coincide with a car manufacturer’s warranty. If the transmission fails, the engine gives out, or the timing belt breaks, everything is covered. For the lessee, that translates into very little maintenance, regardless of how the car performs. If it doesn’t start, the lessee can simply have it towed to the dealership, confident that solving the problem won’t cost any money.

Candidate #3: Wants More Car

While nobody enjoys making car payments, most people accept them as a necessary evil if they want to drive. There’s a disparity between the monthly payments required to service a car loan and those needed to carry a leasing agreement (for the same make and model). In essence, the car loan is always saddled with higher payments. That’s why you’ll often hear people say that a lease gives you “more car for the dollar.” Of course, that fails to address the issue of ownership, but for the lessee, the lower payment is attractive.

Should You Lease A Car?

Having said everything above, most people are far better served by purchasing a new or used car rather than leasing. Even when things go wrong with a car that you own (and they always do eventually), paying the costs associated with repairs and car parts is still a better option financially. You’ll need to determine what is most important to you. Keep in mind that very few people make great candidates for a car lease. Plus, there are always fantastic deals in the used car market.

Accessories For Your Car

If your car is a newer model, you probably won’t have any problem passing a smog or emissions test. However, if you’re driving an older model car, taking it in for an emissions test can be stressful. If your car fails, you won’t be able to renew your vehicle registration. You’ll need to make the necessary repairs and find used auto parts before your car can be tested again.

Unfortunately, mechanics won’t always be able to resolve the problem on their first attempt. So, you may end up having your car tested, repaired, and tested again before another trip the repair shop. And each visit means more time and money. To say the ordeal is inconvenient would be an understatement.

Below, I’ll explain why properly maintaining your car is the best way to ensure that it passes the emissions test. Then, I’ll describe how emissions test waivers work.

Good Car Maintenance

Car emissions tests are required by the government in the pursuit of cleaner air. If your car spews toxic gases and fumes, the government wants you to either correct the problem or stop driving your car. The most effective way to make sure your car passes the emissions test is to maintain it over time. There are a lot of things you can do to substantially reduce the emissions coming from your car.

For example, your catalytic converter should prevent your car from releasing pollutants such as carbon monoxide and nitrogen oxides. If it’s not working properly (a mechanic can test it), consider having it replaced. You should also replace your air and fuel filters regularly. Have your oil changed every 4,000 miles (or, according to your car manufacturer’s handbook). If you’re driving an older car, check the carburetor to make sure it’s functioning well. Anything that you can do to help your engine run cleaner and more efficiently will reduce your car’s emissions.

Settling For A Waiver

A lot of states offer an emissions test waiver to those people who can’t seem to pass the test after repeated repairs. The theory is that these drivers have made a significant attempt to comply, investing both time and money in the process. As such, many states will grant a waiver that helps drivers avoid the mounting costs of continuous repairs. The waivers are typically offered after the driver spends a certain dollar amount on repairs.

Facing The Inevitable

Unfortunately, in most states, you won’t be able to escape the mandatory emissions tests. Eventually, you’ll need to either pass the test or acquire a waiver in order to have your car registration renewed. Keep your vehicle well maintained and replace parts whenever the need arises. If you neglect to do these things, you’ll increase the likelihood that your car will fail the emissions test. And that can be… inconvenient.

Accessories For Your Car