At AVC, we know how important it is to understand what you're committing to when leasing a vehicle. If there's something you would like to know about leasing with us, check out our FAQs below for more information!
Q: What is vehicle leasing?
A: Vehicle leasing is an agreement between you and a leasing company where you agree to pay a monthly fee to use a vehicle for a set period of time, typically 2-4 years.
Q: What is the difference between leasing and buying a car?
A: When you buy a car, you own the vehicle and are responsible for all maintenance and repair costs. When you lease a car, you are essentially renting the vehicle and are responsible for maintenance and repair costs only if they are not covered under warranty.
Q: Is it better to lease or buy a car?
A: This depends on your personal situation and needs. Leasing can be a good option if you want lower monthly payments and the ability to drive a new car every few years. Buying can be a better option if you want to own the car outright and plan to keep it for a long time.
Q: How does the mileage limit work with vehicle leasing?
A: Most leasing agreements come with a mileage limit, typically 10,000-15,000 miles per year. If you exceed this limit, you may have to pay extra fees at the end of the lease. It's important to accurately estimate how many miles you'll be driving each year to avoid these fees.
Q: Can I modify a leased vehicle?
A: Generally, you cannot modify a leased vehicle without the leasing company's permission. Any modifications that are allowed must be removed before you return the vehicle at the end of the lease.
Q: What happens at the end of a vehicle lease?
A: At the end of the lease, you typically have several options. You can return the vehicle and walk away, buy the vehicle outright, or negotiate a new lease on a different vehicle.
Q: What is a residual value?
A: The residual value is the estimated value of the vehicle at the end of the lease. This value is used to calculate your monthly payments, and can be affected by factors such as mileage, condition, and market trends.