At Don’s Ford of Utica, we love making sure that our customers get the most for their money. And when you’re looking to get the most for your money but still want to drive a new car, just straight-out buying your vehicle can be prohibitive for some. So today, we want to provide our Ford customers with some quick insight into how leasing works, and how you can make it work for you.
So how does leasing work? When you finance a used or new Ford Truck, you end up working out a monthly financing plan for the total price of the vehicle until the full price is paid. However, with a lease, you end up financing something else – the depreciation of the vehicle. From the moment any car, be it the 2020 Ford F-150 or the 2020 Ford Fusion, leaves the dealership, it loses value, known as depreciation. The vehicle then loses more value as time passes and you use the vehicle for your own purposes for the duration of the lease. Your monthly payment is dependent on the amount of depreciation we estimate the car will incur over the length of the lease.
Say you want to lease a 2020 Ford Explorer for 36 months. Say it has a value of $50,000, and we estimate it will lose about 25% of its value over those 36 months, which comes to $12,500. That means you end up financing $12,500 over 36 monthly payments, which comes to a grand total of $347.22 per month. If you ended up financing the total price of the Ford SUV, it would be a much higher $1,388 per month over 36 months.
If you’re looking to basically drive a brand-new Ford car or Ford Truck every couple of years, speak to a Ford financing expert today! We’ll make sure that you’re going to have great features like Ford Co-Pilot360™ Assist+, leather seating surfaces, and so much more. See you soon!