The rate at which millennials prefer leasing cars continues to increase. In 2016, 1/3 of millennials chose to lease a car over buying a car. Here are a few reasons leasing is becoming their go-to method:
Millennials have become accustomed to budgeting in order to pay for monthly payments such as credit cards or their cell phone bills. Lease payments are typically lower than the monthly loan payments for the same car if it was bought. These lower payments benefit their financial lifestyle and they don’t see it as overwhelming. Overall, leasing is less expensive for them.
These young buyers are more also flexible with the idea of owning a car. 25% to 39% of millennials will keep the car for five years or less so it makes sense to lease it. They also want to have cars with the latest tech and once a new car comes out with upgraded tech, they will move on to that one.
The benefit of owning (but really leasing) a new car at a low price point with the latest features is a win for millennials. But they should also keep in mind that any car payment, whether on a loan or a lease, needs to fit financially with their lifestyle so they can pay off their debt and save up for retirement.
If you’re one of these Millennials that is more interested in leasing a car than buying one, check out Swapalease.com where you have the ability to take over the remainder of somebody else’s lease anywhere across the United States. For more information on finding the best car lease deals or to learn how you can have a successful car lease trade, visit Swapalease.com or contact them at 866-SWAPNOW.