Is car ownership a thing of the past?

There are few more enjoyable feelings than taking your new car out for a spin for the very first time.

The smooth gear changes; the supple steering; the sharp acceleration and, let’s not forget, that new-car smell. Whether you’re a keen petrolhead or you just need a vehicle to get you from A to B, we all experience a sense of excitement when it comes to choosing a fresh set of wheels.

Of course, before you can revel in all that, you need to pay for the car, and there are a number of different ways to do so. Those in a fortunate financial position may opt to hand over cash upfront and own the car outright, whereas others may choose a hire purchase scheme. Some, however, decide to forego the ownership of the car altogether and enter a leasing agreement.

Around 5% of new cars are financed this way and it’s proving an increasingly popular choice, with companies like ZenAuto offering wide ranges of new models. As leasing becomes a more prevalent solution, and with other transport options available, will car ownership begin to decline?

Convenience is key

Leasing a car is a relatively straightforward process, and this simplicity is what attracts a number of people. After an initial deposit, you’ll hand over monthly payments until the end of the term, which is usually two to four years. Your road tax and breakdown cover is also included, so there are fewer things for you to worry about. Once the lease is up, you just hand the car back to the leasing company.

Money talks

If you’ve got your eye on a fancy new model, leasing is often the most cost-effective way of getting behind the wheel. The deposit and monthly payments are typically lower than other financing agreements and, on top of all that, you don’t have to worry about the car depreciating over time, because you’ll be returning it at the end of the lease.

The environmental impact

Of course, there are many who forego the use of a car altogether. A lot of people living in busy urban areas such as London – where room for parking is hard to come by and congestion charges apply – prefer to use public transport. This is not only a more convenient and cost-effective option, but it also helps to reduce the amount of carbon emissions. In these times of greater awareness regarding our environmental impact, this is becoming an increasingly attractive proposition ahead of car ownership.