Car Leasing Deals in Germany (2024)

FAQs

Is car leasing worth it in Germany? ›

Germany boasts an extensive public transportation network, but for some, the freedom of driving their own car is unmatched. Leasing a car can be a good option for expats or newcomers who: Want to avoid the upfront cost of buying a car. Don't want the hassle of importing a car.

Have Your Documents Ready! The good news is that there are leasing companies in Germany who are specialized in assisting foreign professionals with financing their vehicles. To move forward, you will need to provide them with the following documents: Valid residency permit (covering the lease period)

The cost of leasing is based on different factors such as the car's model, brand, features, age and mileage, and can be anywhere from less than 100 euros per month to upwards of 400 euros. You will usually be expected to pay a down payment at the beginning, which can be up to 10 percent of the price of the car.

However, it would be wise to keep clear records of your presence in both countries and consult with a tax advisor to ensure that there are no unforeseen tax obligations arising from your activities in Germany.In summary, you can legally own a car in Germany as a non-resident without affecting your residency status.

Driving in Germany

You can rent a car with a US driver's license. International licenses are accepted, but not legally required. There are no tolls for private cars on German roads. Cars pass on the left, with some exceptions.

You'll come across two major types of rental agreements in Germany; indefinite (unbefristet) and fixed-term (befristet). In either case, keep in mind that minimum rental periods in Germany can be lengthy. Most of the German landlords will demand an initial lease period of 2 years.

You must end your lease 3 months in advance, before the 3rd work day of the month. Some leases have a shorter notice period, but the maximum is 3 month. Fixed-term leases can't be cancelled early. The notice period starts when your landlord receives your cancellation letter.

Ground leases/hereditary building rights often have a term of 99 years as this term is usually deemed to be the economic lifetime of buildings. Commercial lease agreements usually provide for a term of five or 10 years with one or two options in favor of the tenant to extend the term by five more years.

Do most people buy or rent in Germany? ›

Germany is the only EU country with more renters than buyers. The share of homeowners actually fell last year from 49 to 47 percent, according to figures published recently by Eurostat. According to Eurostat, the share of ownership across the EU also fell, by almost one percentage point.

Germany is a stunning country with a fascinating history and culture that is well worth seeing. When visiting Germany, one of the essential things to think about is how you will get around once you arrive. Whether you want to see major cities or go on a day trip out to the countryside, renting a vehicle may be helpful.

Leasing a car means you'll have lower monthly payments and you can typically drive a vehicle that may be more expensive than you could afford to buy. On the other hand, if you decide to buy a car, you'll own it in the end, even if it means you'll pay a higher monthly loan payment in the meantime.

Installment loan: This is the classical way of financing. You decide on how much of the down payment you want to pay and a period during which you will pay of the whole price of the car. The rates usually include an interest. The term of the loan is often between 12 and 48 months.

Car insurance (Kfz versicherung or autoversicherung) in Germany is compulsory for all drivers. If you drive in Germany, you will need a minimum of third party liability insurance on your vehicle in order to get it registered and get a German license plate.