Automotive Leases: A Guide
The term lease refers to arrangement by the user of a commodity to pay the owner for the use of the item. Leasing is essential since you can drive a new car without having to pay a large sum of cash or taking out a loan.
The most common items that are leased include automobile, buildings, and property. In a lease, the two parties get into an agreement and sign a lease contract. In the agreement, the lessor, who is the legal owner of the property comes up with the list of rules for the contract while the lessee agrees to abide by various conditions regarding their use of the property or equipment. For example during the lease of a house, a person may agree to use the house for residential purpose and not for a commercial reason, also in car lease one may agree to use the car for personal use.
Automotive leasing, on the other hand, refers to the lease of a vehicle for a fixed period at an agreed amount of money for the lease. The leasing is mostly preferred by car dealers as an alternative to purchasing of the vehicles. In the lease agreement, the owner of the vehicle, includes the early termination fee and limit the number of miles a lessee can drive. In the event that the lessee exceeds the mileage allowance, then additional charges apply. At the end of the automotive lease agreement, the lessee, must either return the vehicle to or buy it from the owner.
To help in getting the best dream car, the following are the steps on automotive leasing. The most important step in leasing a car is to choose the type of car that you want. Once you have chosen the car type, you … Read More ...