You’ve decided on the vehicle you want, but do you want to buy or lease it? Leasing vs buying is one of the oldest decisions for a driver to make. They’re both good options. As your CDJR dealership, we’d like to give you some advice on these two options that may help to make your choice clearer.
Leasing vs Buying: Advice From Your CDJR Dealership
Is Ownership Important?
If you buy the vehicle, it becomes your property. You have the title deed, and it’s an asset of yours. You can choose to sell it, trade it, gift it, or donate it when you want a new vehicle. You can also use it as surety for a loan if you choose.
If you lease the vehicle, it’s not yours. At the end of the lease term, you have the option to buy it or take out a lease on another vehicle.
Your Monthly Cost
If you buy a vehicle on finance, your monthly payments are usually higher than the cost of a lease. You also have to pay its maintenance, servicing, and other vehicle-related costs. On the positive side, you’ll pay off the finance and those monthly costs will disappear.
Leasing a car is cheaper, as there is no down payment and monthly lease costs are lower, as we saw above. In addition, servicing and maintenance are usually included in your lease contract, so your only other cost is gas. In the long term, continuing to lease is more expensive than buying on finance, as your monthly payments will never end.
Your Monthly Mileage
When you buy, you can drive your vehicle as far and as frequently as you want to. The only downside of wracking up mileage is more frequent servicing to replace accumulated wear and tear. A high odometer reading will also decrease your vehicle’s value if you decide to sell or trade it.
A lease, on the other hand, comes with a mileage restriction. Your lease contract specifies your maximum monthly or yearly mileage allowance. If you exceed this allowance, you must pay for the excess miles you drove.
Customizing Your Vehicle
If you own your vehicle, you can customize it as much as your billfold can afford. You could wrap it to provide additional protection against the sun’s rays or other environmental factors or install a more powerful stereo system, for example.
When you lease a vehicle, you can’t make any modifications at all. You’re also required to return the vehicle in the same condition you received it. Normal wear and tear are allowed, but carpet stains, slight dents, and other damage that can result from driving will all be charged to you when the lease expires.
As you can see, the choice between leasing and buying depends on your requirements and lifestyle. If you’d like more advice to help you decide, visit us today at Kory Hooks CDJR in Bowie, TX.
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