Buy, finance or lease new car. The Leasing Question Leasing became popular when businesses wanted to operate automobile fleets while avoiding the high cost of ownership and maintenance. Automobile leasing is not a simple matter.
Cars lose value or depreciate over time.
When you lease a car for two years, you are paying for two years of depreciation in monthly payments plus interest. At the end of the car lease , the automobile can be either sold to you or someone else for its value at that point. There is no ownership, you simply pay for the use of the automobile. The manufacturer's warranty covers most repairs but all maintenance costs and insurance are your responsibility. A model disclosure form is available.