In the car industry, there are two basic kinds of leases: Open End and Closed End Lease. Lexus had been considered as the highest-selling creator of luxury cars, which provide only a Closed End Lease.

In an open end lease, the vehicle’s end value is created at the start of the lease for calculation payment. When the lease ends, the lessee or customer may buy the car for either the fair market value, which is fixed at the end term of the lease, or the end value which is determined at the start of the lease. The customer may also decide to return the car to the leasing company. The car’s mechanical and physical condition must be maintained by the lessee to realise the highest resale value at the end of the lease. In a closed end lease, the customer is not required to give a predetermined end value. The leasing company is the one that takes the risk in estimating the price of resale.

The Lexus lease is written in plain language and it contains full disclosure. Customers will know what to expect from the beginning of the car leasing since all contract components and details are spelled out for payment calculation. There is no penalty for early termination as assessed by the Lexus lease. The customer may return the car under the terms of the lease or may buy the car for the remaining balance, the taxes, and other charges. At the end of the lease, no administrative fees are charged under the Lexus Lease. The security deposit is also refundable (100%) as long as the car does not exceed its agreed mileage limit and is still in a good condition.