As far as seniors and the elderly are concerned, the choice between buying or leasing a car is quite straightforward as it affords them more flexibility and options.
Most leases are designed to last for three years or less, making it easy to accommodate changes in your driving needs. You can compare car leases online to determine which leasing package best suits your needs.
Continue reading to find other reasons seniors should consider leasing instead of buying.
6 Reasons Senior Citizens Should Consider Leasing:
1. Reduced Monthly Payment
Leased vehicles require reduced monthly and lower down payments than car buying. These vehicles are conventionally under factory warranties, making the cost of leasing lower than outright purchase.
Deposits for car purchases are typically pegged at 20% of the total purchase cost, which can be expensive for the elderly or their caretakers.
You would not have to worry about such expensive down payments with a lease. All that is required is the first month’s payment, registration and title fees, taxes, and other minor fees, which are cumulatively less than the down payment.
2. Tax Break
Senior citizens heading towards retirement while working part-time jobs and taking out leases on vehicles can take advantage of tax breaks provided by the Internal Revenue Services under certain conditions.
You can also consult your accountant to determine if you qualify for tax deductions under your lease.
The tax break will apply if you use the leased vehicle for work, along with the costs for maintenance and the car’s depreciation. Additionally, you will also enjoy tax deductions on your monthly lease payment.
This option is only available to seniors with semi-retirement employment who cannot finance an outright purchase of a car.
3. Warranty Protection
One of the biggest challenges of owning a car is the likelihood of unexpected breakdown, which can have huge financial implications. This can be particularly problematic for seniors since most retirees are on fixed monthly incomes.
However, most leases are covered by a warranty, with each type providing coverage for various damages.
For instance, a bumper-to-bumper warranty covers repair costs for major damages to your car. However, it does not cover repairs for minor blemishes such as wear and tear on tires, brakes, windshield wipers, and brake pads.
4. Newest Car Models
Leasing a car allows seniors access to new models with advanced features that enable a safer driving experience.
Some new car technologies that make driving easier for seniors include heated seats and steering wheels that can lower back and joint aches while driving.
Seniors with visual impairments can also benefit from adaptive headlamps designed to assist you in finding your way through corners.
The attention alert system, also known as the drowsy-driver system, can detect when seniors are drowsy and quickly alert them.
New car models also have enhanced security features such as parking assistance, GPS, and rear-view cameras.
A lease enables the elderly an upgrade to keep up with the newest trends in car technology.
These features ensure seniors can commute from place to place with a reduced risk of road incidents or accidents. This significantly improves the quality of life by reducing the need for a caretaker or guardian.
5. Short Period of Commitment
Leasing is an effective way to access vehicles you do not need for a long time. Leases typically last two to four years, with a three-year lease being one of the most common.
This allows you to let go of your vehicle at the end of the lease period, especially if you anticipate a lifestyle change in the near future.
One common reason people take out a short-term lease is the weather. You might need a type of vehicle when visiting a location with weather different from yours and can easily make that switch when you are back in town.
6. Easy-access Cars Are Available
You might be thinking you can’t get a lease car if you have additional needs, but that couldn’t be further from the truth.
Perhaps you need a car that you can drive without leaving your wheelchair – that’s no problem with a lease. Or maybe you’re looking for a vehicle that has an access ramp on the side or at the rear so you can roll straight in. Again, you can lease vehicles like this.
Get in touch with your lease provider to see what’s on offer – there’s sure to be something that suits your specific needs.
Leases are great choices for senior citizens, depending on their driving needs and financial abilities. It provides senior citizens with various benefits, such as those explained above.
Always evaluate the benefits and likely downsides of the leasing contract before proceeding to take out the lease. Ensure your choice is well suited to your automotive needs and financial abilities.
Research the car’s features, and ensure you negotiate for the best possible price!