Can you lease a used car?

Wondering if you can lease a used or second-hand car? You can, and it might be smarter than you think. Here’s everything you need to know.

While most people think leasing is just for brand-new cars, you can lease a used car too. It’s a great way to drive a new-to-you car without the big price tag. Here’s how it works and if it’s the right move for you.

Can you lease a second hand car?

Yes, it’s possible to lease a used car. In fact, they generally have lower monthly payments than new car leases as the car has already experienced a significant proportion of its deprecation. However, the number of available leases for used cars is quite scarce, and the terms can vary between providers such as dealerships and leasing companies.

How does used car leasing work?

Leasing a used car works in much the same way as leasing a new one. You’ll make monthly payments over the duration of a contact, typically ranging from two to five years.

At the start of the contract, you will pay an initial rental fee, often equivalent to one to six months of payments, though this can vary. You will be responsible for keeping the car in good condition, and there will be an annual mileage limit that you’ll be charged for if you go over.

Although not a lot of leasing providers offer used car deals, they do exist and are becoming more and more common. Generally, used cars available for lease are newer models, typically less than three to five years old.

Remember, you can buy a brand new or used car right here on Carwow. And you can sell your car, too. We’re here to help you through every step of your car-changing journey.

Pros and cons of leasing a used car

Pros of leasing a used car

• Lower repayments than leasing a new car.
• Payments could cover costs such as tax and insurance – but read the small print.
• Returning the car at the end of the contract removes the stress of selling your car.

Cons of leasing a used car

• Financing might offer similar prices with the added benefit of the option to own the car later.
• Having no option to buy the car at the end of the contract might be off-putting to some buyers.
• You may be charged for damage or exceeding mileage limits when the lease ends.

Is it better to lease or buy a used car?

Whether it’s better to lease or buy a car ultimately comes down to your preferences and circumstances. You may find that buying a second-hand car outright is a better move than either leasing, or using a PCP deal to obtain a new car, for example.

Is it better to lease a new or used car?

Again, this depends on your individual circumstances and priorities. Leasing a new car typically offers lower upfront costs, predictable monthly payments, and the latest features. Meanwhile, leasing a used car can be even more affordable, but may come with shorter terms and potential wear and tear issues due to its likelihood of deprecation.

Leasing a used car FAQs

Can I lease a used car for 6 months?

Yes, it’s possible to lease a used car for 6 months. These short-term leases are often available through specialist leasing companies or brokers.

Can you business lease a used car?

Yes, it’s possible to lease a used car for business purposes. This can be a good way to give employees reliable transportation while potentially offering tax advantage.

Is it a good idea to lease a used car?

Leasing a used car can be a good idea if you’re not overly fussed about having the latest models and are looking for lower monthly payments than leasing a new car. But be mindful of the potential downsides such as limited warranties and higher maintenance costs.

Car change? Carwow!

Looking for a new set of wheels? With Carwow you can sell your car quickly and for a fair price – as well as find great offers on your next one. Whether you’re looking to buy a car brand new, are after something used or you want to explore car leasing options, Carwow is your one stop shop for new car deals.

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