When it comes to getting a care to drive, the debate usually focuses on buying new or buying used. In most personal finances circles, the idea of leasing a car is repugnant. However, when I read the Four Hour Workweek a few years ago, I surprised to see that Tim Ferriss considered leasing a car an option, since it can provide you with the car you want for your lifestyle cost.
Since then, I have seen a few other posts and articles in favor of leasing a car. Generally, you can lease a car for less per month than buying. Plus, after three years or so, you can turn in the car without having to worry about selling and get a new car. While I’m happy with buying cars and driving them into the ground, I can see why those who like to regularly “upgrade” to a new car might want to lease.
But how does a car lease work? Essentially, you are renting your car instead of buying it.
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