Can You Lease A Used Car?

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If you want to upgrade your commute to Frankfort without breaking the bank, consider a certified pre-owned model. While on your search, you may be wondering if you can lease a used car. Although not advertised like new-car leases, many automakers offer used-car leases. Learn more about the details you need to know about leasing a used car in this guide from the team at Lincoln of Lafayette.

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Used Car Leasing Facts

Most manufacturers only allow leases for certified pre-owned vehicles. As a general rule, CPO-leased cars must be less than 4 model years old and have fewer than 48,000 miles on the odometer. West Lafayette drivers who want to lease a certified used vehicle must visit a franchised dealership, such as Lincoln of Lafayette, as only franchised dealerships offer certified pre-owned cars. 

 

According to the National Automobile Dealers Association (NADA), the list of manufacturers that are said to offer CPO leasing includes Acura, Audi, BMW, Chrysler, Dodge, Ferrari, FIAT, Honda, Hyundai, INFINITI, Jeep, Kia, Lexus, Lincoln, Mazda, Mercedes-Benz, MINI, Mitsubishi, Nissan, Porsche, RAM, Toyota, Volkswagen, and Volvo.

How Does Used Car Leasing Work?

Leasing a certified used vehicle follows a process similar to that for new-vehicle leases. The difference between the vehicle's sale price and its estimated value at the end of the lease determines the monthly lease payment. 

 

Used cars depreciate more slowly than new cars, so the difference between the sale price and estimated lease-end value will be insignificant, reducing monthly payments, which is an excellent benefit for Frankfort shoppers. As with a new-car lease, when your CPO lease ends, you will need to return it to the dealership. There will also be mileage limits you will need to adhere to. 

Benefits Of A Used Car Lease

 

  • Monthly Payment Amount: As we noted above, you can lease a used car for a lower monthly amount than you would a new car. 
  • Potential for Lease Buyout: The estimated value of a used vehicle will be lower at lease-end when compared to a new car, which could make a lease buyout more affordable when you reach the end of your lease term. 
  • Lower Insurance Rates: There's a good chance you can get a lower car insurance rate with a CPO lease, as the car's value partially influences insurance costs. 

 

Contact Us With Questions

Have lingering questions about used car leasing? Contact us for more information on how the process works at our dealership serving the greater West Lafayette area. Our friendly finance team is here to help you secure the most advantageous car-buying solution for your needs. Be sure to explore our new and used car inventory.