The Ultimate Guide to Prestige Car Leasing

For those individuals who may want to drive a prestige car but do not have the cash to purchase the vehicle, then leasing the prestige car is the best option. Over the term of the prestige car leasing, the customer may be able to save cash in the process. Any car owners are aware of the fact that once you have driven off your new vehicle from the showroom, its value decreases immediately. Any vehicle which has been used for approximately three years, then its residual value drops to around 40 per cent of the buying price. If the owner has driven the vehicle for more than 10,000 miles, then the depreciation of the vehicle can be a little bit substantial. Most car owners, normally drive their vehicle for more than 12,000 miles each year, while business drivers normally cover much more distance.

Thus, at the end of 3 years, your vehicle may have lost more than 60 percent of its initial value. Model refreshes as well can have a significant impact on the residual value of the vehicle.

Prestige Car Leasing Could Minimise your Costs

There are several benefits associated with prestige car leasing over purchasing a new vehicle. Prestige car leasing is an effective long-term rental, where one agrees to pay a fixed monthly fee to lease a vehicle for a certain period, normally 2 to 4 years as well as the number of miles. There are mainly two types of prestige car leasing deals PCP (personal contract hire) and PCP (personal contract purchase) prestige car leasing contract. Under a PCH prestige car leasing contract, one does not own the vehicle, this will give back the vehicle at the end of the agreement. When it comes to a PCP car leasing contract, the user has an option of purchasing the vehicle when the contract ends by paying a balloon payment.

One of the major benefits of the PCP prestige car leasing agreement is that the leasing funder normally guarantees the outstanding value of the vehicle. This, in turn, means that the owner is less vulnerable to the various factors that are beyond their control, like the release of new and updated models. With the PCP prestige car leasing contract, it does not matter at all what happens to the value of the vehicle, when it is handed back towards the end of the contract. With that said, if you may choose to purchase the vehicle at the end of the prestige car leasing contract, then it is import to put into consideration, the type of vehicle that you are purchasing. Many at times the value of fuel-efficient vehicles normally reduces at a much slower cost mainly because potential buyers are always looking for ways to minimise their motoring costs.