Leasing a Mazda 101: FAQs
Leasing a Mazda is a great way to drive the latest models and trims at a fraction of the upfront cost. How does the entire process work? Our Northtown Mazda finance center receives FAQs about this on a daily basis, so we compiled the following answers on questions that .
What's the difference between a new car lease and a loan?
Leasing a car is like renting it temporarily. An auto loan helps you finance the overall cost of a Mazda and pay down the cost over time. Both are great ideas financially.
Leasing comes in extra handy when you don't necessarily want to purchase the vehicle outright or when you've just relocated to Amherst, NY and need a great ride for the time being. There are tons of other scenarios in which leasing is quite convenient. Do talk to our financing department near Niagara Falls, NY to see if your situation might benefit from leasing vs. getting an auto loan.
How do Car Leases Work?
A car lease term lasts for a certain amount of months, usually from 24 to 60. Over this time, you pay a monthly installment to cover the cost of leasing.
How are leases calculated?
That's a great question. Calculating leases and payments involves a variety of different numbers. To calculate for yourself, you need:
- Vehicle sticker price or MSRP
- Money factor or interest rate
- Lease term
- Residual vehicle value
- Fees
- Rebates
Contact our dealership to get a more detailed breakdown of specific number types that we use to calculate your lease payments.
What are my options when the lease ends?
When your lease ends, you can purchase the vehicle or return it.
What is lease equity?
'Lease equity' refers to a car's value at the end of your lease term in North Tonawanda. Car values depreciate at a rate of roughly 50 percent every two to three years. This depreciation depends on how much mileage you log on your lease.
If you do not log as many miles as expected and take good care of your Mazda in Tonawanda, it might end up having more residual value at the end of your lease term than anticipated during the initial buyout stage. This value is lease equity.
How is mileage calculated on a lease?
Each lease agreement corresponds to a certain amount of mileage you're expected to travel annually. It might be from 10,000 to 15,000. The odometer in your Mazda tracks this mileage.
What are lease mileage charges?
Lease mileage charges are fees incurred when you use your leased vehicle to travel more miles annually than your lease agreement outlines. We know it can be hard not to travel a bunch of miles around Lockport, NY. However, during the leasing process, think about how much you intend to use your leased Mazda, and opt for the preset annual mileage amount in your lease agreement that you feel best corresponds to your daily travel requirements.
How do I get out of a lease early?
You can sell or trade the leased vehicle or sell the actual leasing agreement to a third party. These options aren't advisable, but they're options. Each option incurs charges.
What are lease termination charges?
Termination fees are fees incurred when you end your car lease agreement earlier than the terms outlined at the initial time of leasing your vehicle. Charges vary according to model, lease terms and depreciation cost.
Where do I turn in my lease?
Turn in your leased Mazda vehicle at any authorized Mazda franchised dealer like ours.
Should I replace the tires?
Yes, you should, but you don't have to. Most lease agreements recommend that your vehicle have a required tread depth prior to return.
What happens after I return my leased Mazda?
The car is returned to the leasing company that bought it. Most leasing companies sell the car back to the dealership or put it up for auction. You can also buy your leased car at the end of your leasing term.
What is lease buyout?
A lease buyout is an auto loan to help you purchase the car you leased at the end of the leasing term. You can extend your car lease for a certain amount of months or refinance it as well.
Contact us your local Amherst, NY Mazda dealership for more details about how you can lease your next dream Mazda. We can't wait to hear from you. Until then, feel free to peruse our Mazda promotions and new inventory. Once you've found a vehicle you like be sure to sign up for a test drive today!
