Buy vs Lease
Are you in the market for a new car? Are you trying to decide whether leasing or buying is the better route to take? Honda of Bay County has put together the following guide to give our fellow Panama City, Springfield, and Callaway area drivers a clear understanding of both options.
Read on to discover the unique benefits of each in order to make a well-informed decision that will make the most sense for you.
The Benefits of Leasing
One major benefit of leasing a car is that it’s easier to get a new one every few years. Simply put, when your lease is over, you can just as easily begin leasing another one.
Another advantage of leasing is that your monthly payments can be considerably lower than if you were to buy and finance your car. When you lease, you’re not paying for the entire value of the car. Instead, you’re only paying for it during the term of your lease. Similarly, your down payment also has a chance to be considerably lower because, in most cases, leases either don’t require a down payment at signing or require very little in comparison to what you have to pay when you buy.
One more bonus of moving to a new car every few years is that you continually get to upgrade to the most up-to-date model. This means you get the benefit of a more advanced driving experience in terms of technology and safety features every time you lease your next car. Also, because you only have the car for three to four years and it’ll still be under warranty, you’re not likely to have a lot of maintenance issues beyond the regular upkeep.
Finally, when your lease is up, instead of trading it in with a reduced resale value, you can simply drop your car back off at the dealer and look into leasing your next one.
Buying and its Benefits
A defining difference between leasing and buying is that when you buy a car, you actually own it after all the financing is paid off. Also, you don’t need as high of a credit score to buy as you do when leasing.
Since you own the car, you’re free to make modifications as you see fit. Of course, this is not the case when you lease. Likewise, owning a car means there is no limit to the amount of mileage you can accumulate.
Owning your car gives you the flexibility of being able to sell the car whenever you want without having to pay a penalty. When you do decide to sell, you have the benefit of its resale value that you can use toward the down payment for your next one.
Lease or Buy?
If you’re still not sure whether leasing or buying is the way to go with your next car, or you have questions about the above comparison, feel free to consult a professional automotive finance consultant.
For those of you who live in the Panama City, Springfield, and Callaway areas and would like to weigh your options on whether to lease or buy, contact Honda of Bay Countytoday.