Your Next Car: Own Or Lease

Owning a car in India is just as much about aspiration of a growing middle class as it is about convenience and comfort. However, with ownership models undergoing transformation over the past few years bringing in lease and subscription options, does it make sense for a consumer to buy a car? While leasing can be a good option, one needs to understand how car lease and car subscription are different from traditional car purchase options. According to experts, leasing a car is like renting it for a specific period of time with terms that are tailor-made. Total cost of the lease is calculated based on factors like the ex-showroom value of the car, duration of the lease and the estimated residual value at the end of the lease. Sunil Gupta, MD and CEO, Avis India, said, “Leasing as an option is increasingly getting popular in India because of its many benefits like no upfront down...