Most people who will keep their vehicles until they completely die on them and they absolutely must to get a new car. Then, there are others who enjoy a new car every 2-3 years. If you are the type of person that likes a new car every 2-3, that can get very expensive. We would like these consumers to consider leasing as an option rather than purchasing a new vehicle.
There are pros and cons when it comes to both leasing and purchasing vehicles. Below are a few comparisons to consider for leasing or buying a new vehicle. If you like newer vehicles, leasing is a cheaper option.
At the end of your lease, the vehicle must be returned to the dealership unless the customer decides to purchase the vehicle.
After the finance term, the customer owns the vehicle.
Monthly payments for leased vehicles tend to be cheaper than purchased vehicles depending on interest rates at the time.
Financed payments tend to be higher than lease payments because customers are paying for the full amount the car is worth. These help build up the equity for the vehicle for future trade-in value once paid off.
The vehicle can only be customized through the dealership at the time of the lease purchase.
Vehicle can be customized at any time for extra costs.
Normal wear and tear of the vehicle is covered in the lease agreement. However, excessive wear and tear must be covered by the customer at the end of the lease.
There is no charge for wear on a purchased vehicle. However, excessive wear can significantly reduce the trade-in value.
There is a certain mileage cap for the term of the lease. There are charges to the customer if the mileage is over the allotted amount.
A purchased vehicle will only be effected by miles when it comes to the future trade-in value.
At the end of the lease term, you have a choice to either return the vehicle or purchase it outright for a predetermined price set by the dealership. If you choose to return the vehicle, you then have a choice to either lease another vehicle or purchase a vehicle.
At the end of the financed term, a purchased vehicle belongs to the customer and is theirs to either keep or trade at any time.
Whether you decide to lease or purchase a vehicle, our expert staff will be standing by to help in any way that we can. Our dealership always wants the best for our customers. Stop in today and take a test drive!