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Auto Leasing Intro
What is Leasing?
Lease vs Buy?
Benefits of Leasing
Who Should Lease?
Types of Leases
How Leasing Works
Monthly Payments
Taxes and Fees
Lease Contracts
Prepare to Lease
Finding Lease Deals
Negotiating the Deal
After the Deal
Lease-End Options

car lease kit

Lease Payment Tables
Lease Deal Evaluator
Getting Out of a Lease
Vehicle Lease Ratings
Lease Agreement Form
Residuals Calculator
End of Lease Advisor
Leasing Worksheet

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auto leasing aids

Leasing Quiz
Payment Calculator
Lease vs Buy Calculator
Lease Resources
Frequent Questions

InvoiceDealers
Edmunds
CarsDirect
Yahoo! Autos
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Auto Leasing - Art of the DealAuto leasing has exploded in popularity in the last few years, particularly as car buyers are being more challenged to find affordable financing alternatives. Yet, many automotive consumers don't understand how car leasing really works, or how to determine if it's right for them.

It's a fact that many people now leasing a car are overpaying because they didn't know how to get a good deal — or how to recognize a bad deal. Others who could greatly benefit from leasing are shying away because they are not comfortable with the leasing process or its unfamiliar language. Some think leasing is the same as renting, or have other misconceptions about it.

Car Lease KitSo if you're thinking about leasing a new car, or don't know if you should lease or buy — or need help with your current lease — this web site was created with you in mind. Remember, knowledge is power — especially in car leasing. An educated automotive consumer will get more respect from dealers and will benefit from better deals.

How to Use This Site About Us
Lease Guide A complete online consumer's guide to car leasing; everything you need to know, simply explained, with plenty of examples and tips. Download an ebook version of the Lease Guide here.

LeaseGuide.com has provided car leasing information and advice to millions of automotive consumers since 1995. It is brought to you by automotive leasing expert, consumer advisor, and Lease Guide author, .

This web site is dedicated to helping auto consumers understand leasing, take advantage of its benefits, get the best deals, and avoid potential problems. We are not a lease company or a dealer. We do not sell or lease cars.

More About Us >>

The
Lease Kit
Car leasing tool kit: lease deal calculators, lease-end guide, vehicle ratings, sample contract, checklists, payment tables, worksheets, and more.
Lease Calculator Calculate new car lease payments and total costs, including taxes with this user-friendly online calculator.
Lease vs Buy Calculator Compare leasing versus buying — payments and total costs. A unique, easy to use calculator.
Leasing Resources Additional leasing resources, information, and web sites.
Top Articles Exclusive LeaseGuide articles on a variety of topics of importance to all automotive consumers. Also see our ShortNotes section.
Glossary Comprehensive index of automotive terms and definitions, particularly related to leasing
Frequently Asked Questions Common leasing questions, with all the right answers and explanations
If you don't find your answers in the Lease Guide, FAQs, Resources page, or Lease Kit, ask the car lease expert, , founder and owner of LeaseGuide.com

Auto Leasing Information

Best Car Prices? Get a Car Quote.
Regardless of how you finance your new auto — lease or loan — price is the most important factor. But haggling over prices with dealers can be stressful and most people hate it. LeaseGuide.com recommends the following online pricing services who have already worked out good prices with dealers in your area. Just specify the vehicle you want and they'll get you a fast, free car quote, no strings attached. ——— InvoiceDealers is our top recommendation because it's consistently rated #1 ——— but don't stop there. Also get prices from Edmunds,  CarsDirect , Yahoo! Autos , and Automotive.com . Compare all the deals, and pick the best one.

See our article, Car Price Secrets - What Dealers Don't Explain for more details – learn how dealer car pricing really works.

Canadian car pricesCanadians have limited options for Canadian car price quotes. The best source is CarCostCanada .


Locate the Car You Want at the Price You Want

Top 10 Lease Cars From   Yahoo! Autos
Be sure to ask for free dealer price quotes — 2008 Honda Accord, 2008 Toyota Corolla, 2008 Chevrolet Malibu, 2008 Toyota Camry, 2008 BMW 5-Series, 2008 Mercedes C-Class, 2008 Honda Odyssey, 2008 Mercedes E-Class, 2008 Chevrolet Corvette, 2008 Land Rover LR2

What is the Lease Kit?
We frequently and proudly mention our popular Lease Kit. When you want to go beyond simply understanding how leasing works and are ready to actually get into (or out of) a lease, then that's where the Lease Kit comes in. It contains online tools, evaluation calculators, worksheets, checklists, vehicle ratings, dealer margins, residual data, and reference guides that you need to put yourself in control of any real leasing deal. Update: Also works great on your Apple iPhone and iPod Touch with WiFi Internet connection.
Where is more detailed information about the Lease Kit
?   
What are current users saying about the Lease Kit ?
How to get the Lease Kit ?


car leasing consumer web site LeaseGuide.com Celebrates 10th Anniversary
LeaseGuide.com has been serving automotive consumers in the U.S. and Canada for over 10 years. In that time, we have grown to become the #1 car leasing information and advice site on the Internet, thanks to our millions of loyal visitors. Our Lease Kit has been purchased by many thousands of satisfied customers who have used it to confidently lease their personal and family automobiles. Thank you to our visitors and "fans." We hope to be around for at least another 10 years. Happy car leasing.

To Lease or to Buy?  That is the Question
Almost everyone who has thought of car leasing wants to know if they would be better to lease or to buy. The fact is that one way will nearly always be significantly better than the other in any particular situation. Therefore, it is important that you understand both methods and how to determine which is best for your own situation. Our article, Lease vs Buy, is your starting point.

New Cars Without a Dealer with CarsDirect
If you wanted someone to help you find the car you like, get you the best "out-the-door" price, arrange financing for you, and handle the paperwork — all without visiting or talking to a dealer — you would be describing one of our top recommended online car buying services, CarsDirect.com . We like them. They have a great reputation and have helped thousands of people buy and lease new cars.

Download the Lease Guide
Many of our visitors have asked for a version of our complete 15-chapter Lease Guide in a downloadable book format that they can easily read anytime on their computer or print it for convenient off-line reading. It's available now. The Lease Guide can be accessed on your Apple iPhone and Apple iPod Touch (with WiFi connection) as well. Click here for more details.

Lease Calculators — Calculate Lease Payments
lease calculatorUse our full-function Car Lease Calculator to quickly find your monthly car lease payment and total leasing costs
——— Just be aware that simply knowing a lease payment doesn't tell you if it is a good deal or not. Only the Lease Evaluator in our Lease Kit can do that. Lease Calculator for Apple iPhone and iPod Touch.

Auto Loan Calculator — It's Different
We realize many of our visitors choose to finance with a loan, or want to compare loan payments to lease payments. We've created a new and unique Auto Loan Calculator that is about as thorough as it gets when calculating car payments. Those who like our lease calculator will like this one too.

How Much Car Can You Afford to Lease ?
Leasing allows you to drive a more expensive vehicle, but don't lease more car than you can handle. A useful new "compare by payment" feature by LeaseCompare allows you to specify the monthly lease payment you can afford and shows you all the vehicle makes and models that fall within your budget. If you like one of the deals, they handle all the details. This is a great alternative to dealer shopping.

Independent Lease Companies Offer Alternatives
Independent lease companies who are not associated with car manufacturers can often get you a better deal on on your lease, especially if you have good credit, want flexible terms, and are looking at higher-end vehicles. Independents now offer better deals on hybrid vehicles than "captive" finance companies. See our article, Advantages of Independent Lease Companies,

Car Lease Ads - What's the Story? Good Deals or Not?
bmw leaseYou've seen those attractive car lease advertisements in the newspaper and on TV. They advertise low monthly payments and imply that these are "special" deals. Are they special? Are the payments really good deals or not? What does the fine print mean? What are they not telling you? Is there a catch? See our revealing article, Understanding Car Lease Ads, and learn how to evaluate such deals.


What's a Good Lease Deal?  How do You Know?
Even though the payments may seem very low on the lease deal you're considering, much lower than buying with a loan, how do you know if it's actually a good deal? Are your payments higher than average? The Lease Evaluator in our Car Lease Kit can tell you instantly. It enables you to specify a vehicle make/model and then see the best-case, and worst-case, monthly lease payment for that vehicle. See this article for some real examples.

car lease tipsYour Credit Score Makes a Big Difference
When you lease or buy a car, the dealer and his finance company check your FICO credit score from one or more of the three national credit reporting companies — Equifax , Experian, and TransUnion. Your score determines what interest rate (lease money factor) you'll pay, or if you'll be approved at all. Each reporting company can have a different score for you — you need to know them all. Scores above 700 get you the best rates. Below about 640, you're in trouble.Your score also affects your car insurance rates, your ability to get a mortgage, or even your ability to get a job. Credit history reports are now free to most consumers in the U.S., but credit scores are not. For more details, see Your Credit Score - Know It and Understand It.

What Dealers Don't Tell About Car Prices
Dealers prefer to keep customers in the dark about how car prices work. This way, there's more opportunity to extract maximum profit. It's a fact that dealers sell the same vehicle make/model to different customers at widely different prices, depending on how well the customers understand pricing. For more, see our informative article, Dealer Car Price Secrets.

Car Lease Residual Values
Residual value is one of the most important factors in car leasing, yet it is the factor that is least understood by leasing consumers. Why is residual value important? How are residuals determined? Who sets residual values? Are they negotiable? Find out by reading our article, Car Lease Residual Values.

Garmin Car GPS UnitGot a GPS Navigation System for Your Car?  Why Not?
Those who have never used a car GPS wonder why they would ever need one. Those who have, wonder how they ever did without one. Read this article about GPS Navigation Systems and decide if you can do without one or not. Also see our Auto Electronics section. Explore new audio, video, satellite radio, gadgets, and electronics for your car.

Lease a Luxury Car for Less
Luxury cars have higher lease-end residual values than most other cars, making them the most-leased category of all vehicles - 70% are leased. It's possible to lease a luxury car for less money than a similarly priced ordinary car. Find out how and why in our article, Luxury Car Leasing Explained.

Get Out of Your Lease Early
Have someone else take over your lease is a good way to do it. It's the easiest and the lowest cost method (no penalty fees). There are a few specialized companies who will list your car, find a "buyer", and take care of the details for you — for a small fee. We especially like Swapalease, the long-time respected leader in online car lease transfers. Another online lease company we like is
PriceaLease ——— As easy as this method might seem, it doesn't work for everyone. The Lease Termination Guide in our Lease Kit explains all your other options.

Do Your Research Before You Lease
Don't get your car information from a dealer salesperson. You should know as much as possible about your prospective car before you ever set foot in a dealer showroom. Here are convenient links to information and pricing, and dealer discounted price quotes, for each vehicle:

Don't Be a "Payment Buyer" When You Lease or Buy
Dealers love "payment buyers." These are customers who only look at monthly payment amounts when they buy or lease. Unfortunately, this isn't a good way to shop, especially when you lease. You can be offered what appears to be a great deal and find out that you significantly overpaid. Read our Payment Buyer article to see some real examples and learn more.

Looking for a Ford?  Go Direct
Ford Direct FordDirect enables you to custom-build your Ford vehicle, search local dealers' inventories for that vehicle, get their best price — and finance the deal. This sure takes a lot of the pain and legwork out of leasing and buying — as long as you want a Ford.
Just make sure you compare Ford's prices with prices for the same vehicle from InvoiceDealers, Edmunds, and CarsDirect who also have pre-arranged prices at Ford dealers.


Ford Direct

Free Cars!   Really?
Yes — and no. Of course, nothing is really free, but there are companies who will pay you to drive your own car, or provide you a free car to drive. Real people are participating in these real programs. What's the catch? Read our article, Free Cars - Fact or Fiction?, to learn more.

Car Dealers Boost Interest Rates for Profit
Did you know that car dealers routinely "bump" interest rates on loans and leases for extra profit? It's called "dealer reserve." For leases in particular, it is important to understand how interest rates affect lease cost and how to convert lease "money factor" to interest rate. See our article, How Car Financing Really Works, for details.

Read Your Lease Contract - Please !
We remind you over and over again here at LeaseGuide.com to read and understand your lease contract before you sign. There are just too many ways to make mistakes, or not catch dealer mistakes. Unfortunately, taking 20 minutes to really read and really understand a long complex contract in a dealer's office when you're anxious to get the process over with is almost impossible. That's why we've provided a Sample Lease Contract and a Contract Checklist that is now part of our Lease Kit.

Short-Term Lease - No Money Down
It's possible to lease a practically new car, with no money down, for a short term, by simply taking over the payments from someone who wants out of their lease early. Real bargains are available since "sellers" are often desperate. We recently examined a list of lease-takeover vehicles at Swapalease and PriceaLease and found some outstanding transfer deals — many late model vehicles for under $200 a month! Luxury cars for less than $400! For more, read our article, Short Term Leasing.

Does Car Make/Model Make a Difference When Leasing?
You bet it does. Vehicles that have the highest lease-end residual values (future resale value) make the best lease vehicles. For example, when we look at a typical 36 month lease for both a Honda Accord and a Ford Taurus, each priced at $22,000, no money down, the monthly payment for the Honda is only $348, but the Taurus payment is $430 — $82 more a month — almost $3000 more over the life of the lease. Our Car Lease Kit includes a comparison of all vehicle makes and models. According to the Lease Kit, the best lease vehicle makes are Acura, BMW, Honda, Infiniti, Lexus, Mercedes, Mini, Nissan, and Toyota.

In a Long-Term Loan or Lease? You May Need an Extended Warranty
If you have a loan or lease for a term that is longer than the car manufacturer's general bumper-to-bumper warranty (not the drive-train warranty), you will be responsible for all repairs after the warranty expires. You can protect yourself by getting an extended warranty. The earlier you buy, the less it costs. For more details, see our article, Car Warranty Advisor.

“ Just wanted to let you know that I got another great deal on a lease thanks to your website. I got a 2009 Dodge Journey, for $266.26 for 36 months and 36000 miles.”

About to Lease?  Already Leased?  How Good was Your Deal?
So you're about to sign or have already signed your lease contract. Did you get a good deal? What interest rate did you actually pay (you won't find it in your contract)? How much was your bank fee ( not shown in most contracts)? What does that mumbo-jumbo in your contract really mean? The Car Lease Kit contains a fully-explained lease contract form and contract checklist, and a special Lease Inspector calculator that will completely analyze all figures in your lease deal and tell you where you did well, or not so well — and whether there were mistakes in the dealer's calculations.

Leasing and Car Insurance
Did you know that leasing may require a higher level of insurance coverage than you are carrying now? It's true, and it catches many people off guard. But it's easily possible to reduce your rates for more coverage so that it doesn't become an added cost. This makes understanding insurance even more important than ever when leasing. See our articles, Car Insurance and Leasing and Cheap Car Insurance, for more details.

Dealer Leasing Tricks
Learn about the most common ways that car dealers can mislead customers about leasing. These are techniques that may be new to many automotive consumers who have never leased before. The dealer gets his deal, but you may be left holding the bag. Download our free ebook, "Dealer Leasing Tricks".

Does Your Lease End Soon?  Be Careful.
One of our readers told us that she really disliked her leased sedan and so, at the end of her lease, she simply returned it to the lease company and walked away. What's the problem? She found out later that she could have bought the vehicle from the lease company for her contract lease-end purchase price, which was less than market value, and could have sold it for a $6000 profit. —— The point is this: it's very important to examine ALL your lease-end options before you make a rush decision. See our Lease-End Considerations page for more details.

Best Cars for Teenagers
In our article, Best Cars for Teens, we discuss how to select the right cars for young drivers. But, is leasing right for teen drivers who haven't yet established credit histories? How about long-term loans? How about auto insurance for teenage first-time drivers? Also look at the First Car Guide web site.

Best Gas Mileage Cars
If you are tired of paying high gas prices and need a more fuel-efficient car, we tell you which vehicles — cars and smaller SUVs — get the best mileages. See our informative article, Best Gas Saving Cars.

Lease Buyout - Good Deal or Not?
Most new car leases allow you to purchase — buyout — your vehicle at lease-end, for a price specified in your lease contract. Is a buyout always a smart choice? Is the price a fair price? Is it negotiable? How do you go about it? How about an early buyout? See our article, Lease Buyout .

Looking for a Cheap Car — Extra Money for a Car?
We frequently get emails asking about the least expensive way to get into a car. Leasing is obviously one of the ways, but we explain a number of other ways in our article, Cheap Cars - Where to Find Them. —— Rather than a cheap car, you might be simply looking for a way to make extra money to pay for the car you want. If so, you may find our Extra Money for a New Car article of interest.

Find Auction Cars for $200. Is It Really Possible?
Ever wonder about those government surplus and seized auto auctions where it's claimed you can find bargain cars for as little as $200? Yes, it is possible — it happens every day — but there's more you need to know before you jump into it. Learn how it all works in our article, Car Auctions.

Used-Car Leasing.   Smart Move or Not?
Leasing a used car can often make good sense, especially if it's a vehicle that is relatively new and holds its resale value well. Great deals can be had on a used car lease but make sure you understand how it works. It's not quite the same as a new-car lease. See our article, Used Car Leasing, for more details. Also visit our Used Car Advisor web site to learn how not to get ripped off.

Sell Your Used Car - Don't Trade
It's common knowledge that you'll not only get more money by selling your old car before you buy or lease a new car, but you'll also give the dealer less opportunity to juggle the numbers in your new car deal. However, be sure you know how to sell your used car to maximize your return. See our article, Sell Your Used Car, before you decide.

Why is CarsDirect.com Different?
CarsDirect.com is a popular and well respected online car buying service that is different that other companies of its type. Find out how and why - Online Car Leasing with CarsDirect.

Damaged Cars
Unusual national weather events have created what has become a wave of affected cars, trucks, and other vehicles for sale — possibly with hidden damages. One way, it can be a potential problem for unaware buyers — the other way can present some incredible buying opportunities. Read our articles, Damaged, Flooded, and Salvaged Cars  and  Insurance Salvage Auctions  for more details. Wrecked and rebuildable cars are another opportunity for those looking for ways to take some risks and get bargain cars.

TODAY:
 
New News


Dealer Leasing Tricks explains how car dealers can misinform and trick leasing customers.

Car Price Secrets provides a quick understanding of how car pricing works and how to get discounted price quotes from dealers.

Luxury Car Leasing explains how leasing makes luxury cars more affordable and how luxury car leasing is different.

Exit a Lease Early - See our latest advice on early lease termination. One option saves money.

 
New News


Short-Term Car Leases
Get short-term lease bargains from people desperate to get out of their car leases. Cash incentives, low payments.
www.swapalease.com

Cheap Car Insurance
Compare car insurance quotes from multiple companies. It's fast and it's free. Best rates.
www.insurance.com

Discounted Dealer Prices
Free price quotes for any new vehicle make and model. Dealer prices already discounted. Lease or buy.
www.edmunds.com

FICO Credit Scores Online
Get your most recent credit report and credit score from all three credit agencies - instantly. Find mistakes and problems fast.
www.myfico.com

End Your Car Lease Fast
Find people all over the U.S. who want to take over your lease and your monthly payments. It's the best way.
www.swapalease.com

 
Auto Leasing Resources

Glossary
Lease Transfers
Free Car Insurance Quotes
Extended Warranties
Auto Insurance
Free Cars
Car Price Secrets
Certified Cars
Cheap Cars
Cheap Car Insurance
Auto Loan Calculator
Short-term L eases
Best Cars for Teens
Lease Mileage Calculator
Lease Calculator Tips
Lease Buyout Tips
Get Paid to Drive Programs
Extra Money for Free Car
Rebuild Wrecked Cars
Government Car Auctions
Lease Termination Tips
Dealer Lease Tricks
Used Car Leasing Tips

More >>

 
Frequently Asked Questions

Question: Isn't leasing just a scam and a way for dealers to make more money?
Answer: No. Leasing is a very common and legitimate method of financing buildings, land, equipment, computers — and cars. But, if the customer doesn't understand how it works, he'll almost certainly make mistakes and pay too much.

Question: I need to get out of my lease. How? What are the steps? What will it cost ?
Answer: Depending on your situation, you have a number of options. Because this is such an important topic and requires full explanation, we've created a special how-to section in our Lease Kit, which covers everything, including easy to understand examples.

 


"I have been leasing cars for 20+ years and this is the most informative site I have ever seen or read."
Henry (aol.com)

" I am writing to inform you that your Lease Kit saved me $1919.16 in total lease payments for a 36 month lease I just negotiated ..." 
Thomas E. Hooper, CPA

"Your Lease Kit saved me over $1,200 over a 3 year lease through BMW financial services. The dealer tried to use a higher money factor then they quoted me in writing and the result was a payment that was $38.00 more each month than it should have been."
G. Nevius - aol.com


"... With all the information that I gathered from your web site I was able to save close to $5,000 over a 39 month term. This is not from the sticker price but from the best offer that the 2 dealers that I worked with, gave me! When they realized that I knew how to work the numbers ...

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