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What to know about short-term car leases Advertiser Disclosure Advertiser Disclosure We are an independent, advertising-supported comparison service. Our aim is to assist you make better financial choices by providing you with interactive tools and financial calculators, publishing original and objective content. This allows you to conduct your own research and compare information for free to help you make sound financial decisions. Bankrate has partnerships with issuers such as, but not limited to, American Express, Bank of America, Capital One, Chase, Citi and Discover. How We Earn Money The deals that are displayed on this site come from companies that pay us. This compensation may impact how and where products appear on the site, such as such things as the order in which they may be listed within the categories of listing and other categories, unless prohibited by law. This applies to our mortgage, home equity, or other home lending products. But this compensation does affect the information we publish, or the reviews that you see on this site. We do not include the vast array of companies or financial offers that may be open to you. Share: Smederevac/Getty Images

3 min read Published June 27, 2022

Writer: Josephine Nesbit Written by Josephine Nesbit is a former writer for Bankrate. The article was edited by Rhys Subitch Edited by Auto loans editor Rhys has been writing and editing for Bankrate from late 2021. They are passionate about helping readers gain the confidence to manage their finances by providing clear, well-researched facts that break down complex subjects into digestible pieces. The Bankrate promises

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There are money-related questions. Bankrate has answers. Our experts have been helping you manage your finances for more than four years. We strive to continuously provide our readers with the professional advice and tools required to make it through life’s financial journey. Bankrate follows a strict policy, which means you can be confident that our information is trustworthy and precise. Our award-winning editors, reporters and editors create honest and accurate content to help you make the right financial choices. The content we create by our editorial team is objective, factual, and not influenced through our sponsors. We’re honest about how we are capable of bringing high-quality content, competitive rates, and helpful tools to you by explaining how we earn our money. Bankrate.com is an independent, advertising-supported publisher and comparison service. We are compensated for the promotion of sponsored goods and services or through you clicking certain hyperlinks on our website. Therefore, this compensation may impact how, where and in what order items appear within listing categories, except where prohibited by law. We also offer mortgage, home equity and other home lending products. Other elements, such as our own rules for our website and whether a product is available within your region or within your own personal credit score could also affect how and where products appear on this website. We strive to offer an array of offers, Bankrate does not include specific information on each credit or financial item or product. A car lease is a type of financing for cars that permits you to drive a car, truck or SUV for a predetermined length of time as well as a certain number of miles. While most leases are for three or more years, a short-term lease allows consumers to contract a car lease for a short period of time, for up to two years. These kinds of leases are less common but can be a good option if you need the vehicle for a short period. What is a short-term car lease is much like a typical car lease except that it is a shorter time. Although there’s no regulation that specifies the length of a short-term car lease, most experts say it’s at least 24 months. The standard car lease usually comes with a three-year or four-year lease. For some, the traditional lease period is more than they want to commit to a specific vehicle, making the short-term lease a viable alternative. In the case of a are in a situation that is temporary for example, such as leaving town for work, or you are looking to test drive the car for a brief period of duration. Because the duration is shorter than a conventional lease the monthly installments are usually more expensive for this kind of contract. Although it’s short-term, these leases still typically require paying sales taxes and other fees in several states. 3 short-term car lease options There are several short-term car lease options you can pick from, each having each having its own pros and cons. 1. Intake over the lease of someone else. could do this for a few months. Most auto manufacturers will permit a third party to take over the initial lessee to get out of their contract. While this type of transaction could be conducted between two people, it’s easier to use an outside party such as SwapALease , or LeaseTrader as they specialize in pairing existing lessees with those who are seeking a short-term vehicle lease. Getting a short-term lease through a lease transfer lets you avoid having to pay for a downpayment. The monthly lease payment will be the rate that the lessee originally negotiated when they started their lease term. 2. Consider a long-term lease Many rental car companies also offer long-term rentalsthat are often short-term, or known as «mini leases.» This option comes with pros and cons to consider. Flexibility: Because these are not car rentals but leases, you’re not bound into a lease and are able to return the vehicle at any time. No mileage limits — most of the times: Unlike when you lease a car, there are usually no limits on mileage when you go for the long-term rental. However, this may not be the norm especially with regards to specialty vehicles. Change cars at will Car rental companies typically allow renters to switch cars during the term which gives you the option to drive more than one vehicle. Costlier However, while the rates are lower than a typical car rental rate for only a few days or one week, long-term rentals can be more expensive than lease-takeovers. 3. Traditional lease You can also sign the traditional car lease, but for a much shorter term. But the shorter the lease the more difficult it is to locate, and you may need to shop around with several dealers. Longer-term car leases generally have more lease deals from automakers. If cars aren’t performing well or are nearing close to the finish line of manufacturing cycles, manufacturers try to boost sales with special lease offers that come with low costs. There are a lot more leases with 36 months than deals for 24-months. When you opt for an old-fashioned lease that has a shorter duration for example, two years, the monthly payments will be higher since you’re spread all the expenses of the lease across a shorter time. The bottom line is that a short-term lease on a car can be an attractive option if you aren’t looking to be tied to a specific kind of vehicle over an extended period of time or are in need of a temporary vehicle. Keep in mind, however that shorter-term leases usually come with higher prices. Before you decide to lease a car for a short period choose the most affordable contract and compare costs with long-term rental options as well. Find out more about SHARE:

Written by Josephine Nesbit is a former contributor to Bankrate. Edited by Rhys Subitch Edited by Auto loans editor Rhys has been editing and writing for Bankrate from late 2021. They are committed to helping readers to control their finances through providing concise, well-studied details that cut complicated topics into digestible pieces.

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