How to Get an Open-End Car Lease

An open-end car lease is an alternative way for you to purchase a new car. Leasing will normally give you lower monthly payments and a lower down payment as well. But you'll likely have a large payment—and possibly other costs—to make at the end to finish paying for the car. Use these valuable tips to learn how to get an open-end car lease.

Difficulty: Moderate

Instructions

1. Visit one or more car dealerships to find the auto you want to lease. To help you decide on the right make and model for you, read car reviews, get new car prices and look at pictures of vehicles.

2. Begin negotiating your car lease by agreeing on a firm selling price for the exact car you want.

3. Tell the sales person you want an "open-end" car lease. An open-end lease is best for drivers who rack up a lot of miles on their cars because there are no mileage constraints. At the end of the term, you'll need to pay the difference between the "residual value" and the "actual market value" of the vehicle.

4. Get all of the details of the car lease in writing before you sign on the dotted line. Read the contract completely. Ask questions about any sections that don't seem clear to you.

5. Obtain copies of the lease agreement and all other documents you have signed.

6. Pick up your new vehicle.

Tips & Warnings

• You could be due a refund at the end of the lease term if the value of the car is less than estimated.
• Leasing a car is best for those drivers who want to drive a new car every two to four years.
• You're responsible for paying for all of the car gas, oil, tires, upkeep, repairs and the insurance.
• You have the right to get an estimate of the car's value at the end of the lease. You can do this by hiring an independent appraiser.
• By law, the balloon payment may not amount to more than three times the monthly payment unless you agreed to pay a higher amount.
• Your lease payments are actually for driving the car over the term of the lease. That's why when the lease is over and you want to buy the car, you must pay what it's worth.
• Avoid making verbal agreements at the car dealership that can easily be broken.