Least Lease: Carmakers deliver deals to put buyers in popular models for dollars a day
For a lucky few motorists — think celebrities and “sweet 16” girls with doting parents — price is no option. But cost matters to about everyone else.
That’s why shoppers so often take the frugal route and buy vehicles they need, even if the brands are not necessarily their dream car. Or, they try to coax a couple of extra years out of their current vehicle that saw the odometer top 100,000 miles in the early Pleistocene era.
A handful, of course, might be more adventuresome. These people will buy a lottery ticket, anxiously await the results, curse their bad luck and tear up the stub.
Then they’ll take the frugal route.
But there’s one other move that can be practical and enriching, as long as it’s carefully researched. Perusers can bypass the traditional car purchase and lease a vehicle.
Prices are falling to where car hunters can lease a new or newly new mid-sized vehicle at less than $200 a month. That’s according to Miami-based LeaseTrader.com, which says it matches car shoppers with people looking to escape their auto leases.
“Compared with any other time in the history of LeaseTrader.com there are the highest number of leases available (new and existing) offered at less than $199 per month,” says John Sternal, vice president of marketing communications.
According to LeaseTrader.com, 8.5 percent of the company’s inventory is priced at less than $199 per month. That compares with 3.2 percent in 2005.
The drop in prices started in early 2010, when “many carmakers reintroduced aggressive lease deals,” LeaseTrader.com says.
Among the company’s low-priced leasing inventory as of late August:
A 2011 Mazda3 iSport. It has a new 36-month lease for $109 per month.
A 2012 Nissan Altima 2.5. It has a new 36-month lease for $144 a month.
A 2010 Toyota Camry LE. It has 14 months left on the lease for $149 per month.
A 2010 Toyota Corolla. It has 17 months left and offered at $185 per month.
The lower-priced leases also take the least time to transfer, just eight days on average.
“Aggressive lease programs fueled by rising consumer demand, healthy residuals” — the predicted values of the cars when they are returned — “and lease financing make for an environment that’s ripe for lower pricing that benefits the consumer,” said Sergio Stiberman, chief executive and founder of LeaseTrader.com.
Among other findings, the compact cars group is the fastest-growing segment for the under $199 month lease at 14.7 percent, and imports top domestic models by 5 to 1 in the lower price range.
LeaseTrader.com offers tips in seeking a low priced lease:
• Comparison shop online.
• When an existing lease is nearing an end, try to negotiate the lowest possible payment with the dealer.
• Research lease financing to compare the best rates among lenders.
This story posted by LeaseTrader.com, the automotive service company that lets people transfer out of their Car Leases early. If you're looking to swap a lease or transfer out of your car lease, please visit www.leasetrader.com