Car leasing depends a lot on the depreciation value of the car. This value is dependent normally on long term leases for more than a integrate of years. So there are many factors which rule the depreciation value of a car such as the model and make of the car and also the year of make. If the model is extremely costly one, then the depreciation value is much slower compared with ordinary cheaper ones and this makes the car lease value much cheaper. If for e.g. costly cars depreciate over 15 % over a duration of months and cheaper ones depreciate 50%, comparing the costs of both cars we can hypothesize the ration of the depreciation and certainly make out that it was certainly cheaper to lease the more costly car than the cheaper car.
Cars always depreciate in value the more miles they are driven. This is a very prominent factor one more look into. So if one wants to purchase a car during a lease period, then he/she must consider these factors which sway the depreciation value of the automobile and do a acceptable check before deciding the purchase. Many citizen happen to like the model which they have taken on lease and after a inescapable duration of time wish to purchase it. The car leasing firm takes into inventory the previous months payments and deducts it from the comprehensive price of the car. But, one must check if the depreciation value has also been taken into observation agreeing to relative percentage.
Car Value
So seeing at the key factors mentioned above, certainly it seems that leasing an costly car which has a slower depreciation value might be a much cheaper selection than purchasing a brand new one. At the same time, it also reduces the maintenance costs and wear and tear expenses.
Depreciation Value and Car Leasing