Is Car Leasing Still Worth It In 2024?

Car leasing has been a popular solution for the past 20 years to finance your brand-new vehicle over a long-term duration. But is it still worth it in 2024?

You're here because you want to know whether or not it's still worth leasing a car in 2024.

And we're going to be honest, there have been some ups and downs within the car industry over the past few years and we need to discuss them before we give you an answer.

Let us first explain why you may have noticed car leasing prices increasing over the past few years.

Hard times for the car industry over the past few years

Since COVID-19, Brexit, the global semiconductor chip shortage and the Russo-Ukrainian War, things have been difficult. These issues, in turn, have affected the car industry heavily.

With factory orders taking anywhere between 6 to 12 months due to factories running at low efficiency. And car parts being delayed due to the ongoing crisis in Ukraine, where lots of factories produce individual parts for manufacturers.

These issues resulted in increasingly more expensive new cars and subsequently, car leasing prices increased across the board during these events. 

As customers could not afford the higher costs of new cars, they turned to the used car market. And unfortunately (fortunately for some sellers), the used car industry saw a massive boom in value.

With some used cars selling for more than they did when they were brand new while having 30,000 miles on the clock. Some manufacturers were even ringing up customers asking if they could buy back financed vehicles purchased through them, as they knew they could sell them for a bigger profit.

At the time of writing this article, if you live in the UK, you will be very aware of the cost of living crisis which started back in 2021. This is causing customers to be more careful when it comes to spending their hard-earned money.

Things are looking up now at least

We're now at the tail end of the issues with COVID-19. And the Russo-Ukrainian War, although still ongoing at the time of writing this article, has been adapted to. 

With most manufacturers having relocated their parts processing facilities away from Ukraine, which has made (most) parts delivery times normal again.

The semiconductor chip shortage seems to have been alleviated, for the most part, which has fixed most vehicle and parts delivery times now.

Now that you are caught up, we can get to the point of this article.

Is car leasing still worth it in 2024?

It might sound a bit biased, us being a car leasing brokerage, but the answer is yes. But rather than an outright yes, it's more of a careful yes.

A careful yes because, while car leasing is definitely still an avenue worth pursuing, you should be keeping an eye on lease deals that seem out of this world for now.

Gone are the days of 2015 when you could get a Volkswagen Golf R lease deal for £299/month every week. But while those days are gone, the deals are not outright gone and have just become more rare.

Unfortunately, because of the rarity, when these mega deals do come out they are sold out very quickly due to them being excellent value and spreading quickly via word of mouth and social media.

There have been some excellent car leasing offers that have sold out for us very quickly recently. And we'll show you why below.

This Volkswagen ID.Buzz Style Pro was roughly £60,000 from brand new. When it first came out, leasing costs were roughly £500 - £700 per month for a 24-month contract with a £6000 initial rental. Not exactly affordable. 

During December 2023 we had a flash lease deal on these vehicles with them being £323 per month with a £3878 initial rental for a 24-month contract. 

The best part was that they were in stock and we had 40 vehicles available in various colours. Within just two days all 40 vehicles had been sold. 

The Volkswagen Tiguan R Line is easily our best-selling SUV. We've leased thousands of these vehicles over the years. 

Back in July 2023, we had around 120 of these delivered to our compound to be sold as stock cars. The usual price for these at the time was anything between £350 to £450 per month. 

We had a flash stock lease deal on them for £299.19 with an initial rental of £3590 for a 24-month contract. Within two weeks all 120 vehicles had been sold.

In the middle of November 2023, we had a flash lease deal on the sporty CUPRA Leon hatchback. This was the V1 petrol manual which is a fairly large 1.5 litre engine and 150 bhp. 

This was an absolute steal of a price at just £172 per month, given this vehicle usually ranges between £300 to £350 per month.

These weren't in stock but were scheduled for Feb-April 2024 delivery. This deal lasted about a week before it was sold out. 

The Audi A4 Avant had a fairly large reduction back at the beginning of July 2023. This was the larger 2.0-litre 40 TFSI petrol automatic engine with 204 BHP. 

The price of this car ranges from £350 to £500 per month currently so this was an amazing offer at just £294 per month on a 24-month contract.

This deal lasted a bit longer than the others, around one month before it was sold out.

Back to our original question

So is car leasing still worth it in 2024? Absolutely yes. But you need to keep track of these hot deals as they come out, otherwise, it's easy to miss them before they are sold out.

Why should I lease a car from you over other leasing companies?

We get this question a lot and the simple reason is that we are part of a larger dealership family group (called Swansway Garages) that owns several Audi, Volkswagen, Land Rover, CUPRA, Honda and many more dealerships around the country.

This means that we are allocated stock of vehicles and can secure them far more easily than other leasing companies, who are at the mercy of dealerships rejecting them for stock or causing delays in securing vehicles.

How do I find out when the hot lease deals are available?

There are multiple ways to keep track of our lease deals as they come out. We will list them below.

1) Subscribe to our mailing service. We send you an email every time a hot deal comes out. You can SUBSCRIBE HERE.

2) Follow our social media. We have:

Facebook CLICK HERE

Instagram CLICK HERE

TikTok CLICK HERE

YouTube CLICK HERE

3) Keep an eye on our Special Offers and Stock Offers pages on our website

4) Call us and talk to us. Sometimes we are given hints that a deal may be coming out "soon". Although we might not have specific dates, we can take your number and give you a call when a deal does go live. Our number is 0151 728 4711.

I'm new to car leasing, what are the advantages and disadvantages?!

Advantages of Car Leasing in 2024:

• Drive a New Car Without the Commitment: 

Enjoy the latest features and models without the long-term financial burden of ownership

• Predictable Monthly Payments: 

Budget easily with fixed monthly payments that can also include cover maintenance if you choose it

• Tax Benefits for Businesses: 

Businesses using BCH can refund VAT as an expense, potentially lowering their tax burden

• Flexibility at the End of the Lease: 

Choose to return the car, or potentially extend the lease, giving you options based on your needs. Some funders may let you purchase the car but it's down to their discretion

• Improved Credit Score (Potentially): 

Making consistent lease payments on time can positively impact your credit score.

• Lower Upfront Costs: 

Compared to buying a car, leasing often requires a smaller upfront deposit, making it more accessible for some budgets.

Disadvantages of Car Leasing in 2024:

• No Ownership: 

You never truly own the leased car, and you won't build equity as you make payments.

• Mileage Restrictions: 

Exceeding mileage limits can result in additional fees, so consider your driving habits carefully.

• Wear & Tear Risk: 

You're responsible for any excessive wear and tear, which can be costly at the end of the lease.

• Limited Customisation: 

Modifications to the leased car may be restricted or forbidden, limiting personalisation options.

More info about us

You can find more information about car leasing by visiting our leasing guides here.

You can read more about us, Stable Vehicle Contracts, who are a leasing brokerage here.

You can read our over 1,250 verified five-star reviews by visiting our Reviews.co.uk here.

And finally, all of our contact information is available here.