Leasing 101 at Gibbons Ford
Everything you Need to Know When Considering this Popular Finance Option
You’ve heard about friends and family members that choose to lease their vehicles and wonder what makes this auto finance avenue so appealing to many here in Dickson City, PA. Our team at Gibbons Ford is ready to outline the specifics of lease agreements, from terms to restrictions, providing necessary context for your model-specific research in this regard. Consider respective term lengths, what to look for when assessing the specifics of your agreement and more before proceeding with a new Ford lease through our finance experts on hand.
What is Leasing and Why Consider it?
To understand leasing from a specific angle, it’s best to first look at this finance option generally. When you choose to lease a new Ford model here in Dickson City, you agree to a Lease agreement with a clearly defined term length and monthly payment structure. Term lengths usually run 36 months, but additional options do exist for your consideration. When this lease agreement concludes, you will get to either pay a pre-determined price for outright purchase or return this vehicle to our dealership!
Advantages of Leasing:
Leasing makes it easier to get more car for less money. This is because you only pay for the value of the car that you drive, instead of buying and owning the entire worth of the vehicle.
- Lower monthly payments with a low – or no – down payment.
- You can drive a better car for less money.
- Lower repair costs because you are usually still covered under the 3 years or 36,000 miles bumper to bumper warranty included in the vehicles factory warranty.
- You can more easily transition to a new car every two or three years.
- There are no trade-in hassles at the end of the lease.
Leasing is factored by how much you drive per year; you would choose the mileage and the length of the loan. Options are:
Mileage: 10,500 (standard), 12,000, 13,500, 15,000 (more mile options are available through Ford but it sometimes does not make sense to increase this)
Term: 24, 36, 39, 48 months
Money down is not required unless requested by a lender or if you are looking to be in a certain price range we may recommend you put money down to reach your desired payment
You don’t own the car at the end of the lease (although there is always the option to buy). This purchase price is determined at the time of the lease.
General rule of thumb:
24 month lease every $1,000 that you put down is about $42 a month decrease in payment.
36 month lease every $1,000 that you put down is about $28 a month decrease in payment.
Ford lease GAP insurance is included in the lease (it is built in) GAP insurance is the difference that you would pay if the vehicle the vehicle was totaled. If the vehicle is valued less then what you owe GAP would pay the difference.
Frequently Asked Questions – Leasing Edition
What are the Respective Pros and Cons of Signing a Lease Agreement?
Leasing a new Ford model here in Dickson City comes with an extensive list of advantages. The condition of the vehicle is a good place to start, as you get to operate a new Ford model and enjoy many of the same ownership privileges – some warranty coverage and protections – as those who decide to purchase outright. Flexible term lengths allow you to move on from this truck, sedan or SUV in a few years and upgrade to a new Ford vehicle with the latest technology and innovations.
On the flip side, some restrictions will apply to your new Ford lease. It;s important to know about how many miles you typically drive per year(i.e. commute to work or school). Maintenance requirements, similar to purchasing your vehicle outright, will factor into your signed agreement, as repairs are also covered out-of-pocket. Insurance coverage is relatively limited over what you enjoy when choosing to buy, and you are held responsible for lease violations and any damage accrued. Talk to our finance department about products we offer to protect against possible accrued damage.
What Vehicles are Eligible to Lease?
Most new Ford models qualify for lease agreements here in Dickson City, PA. Used vehicles typically don’t qualify for this finance option.
What Should I Understand Prior to Signing my Lease Agreement?
Review all the specifics of your lease agreement, from term length to mileage limits and specific fees that may apply, carefully before officially committing. Our finance team here in Dickson City can walk you through this process step by step and answer any questions you may have.
Please feel free to contact us at anytime. We are happy to answer any questions you may have regarding leasing a new vehicle!