Deciding to get a new car is just one variable you have to consider when shopping at a dealership. You have two options to consider: buying or leasing. Buying vs. leasing is something that shoppers may not quite understand the difference in, and it helps to know what you are getting with both. Take a look at our buying vs. leasing guide that will inform you on the benefits of both.
When you are finished, come to Corwin Chrysler Dodge Jeep Ram where our financial staff can help you with any other questions you may have.
Ownership - After it is all said and done, you will own the car at the end of your payments. You can also choose to sell the vehicle at any time you wish because it is yours.
Insurance Rates - Insurance rates tend to be lower, which helps with your monthly payments on the car.
No Extra Fees - When you lease a car there are a lot of extra fees that can be assessed for certain mishaps. These mishaps include abnormal wear and tear, modifications made to the car, and excessive mileage on the vehicle. Those can all be tacked on to your leasing price in the end when you go to return it.
Monthly Payments - When you purchase a vehicle, the monthly payments are typically more expensive than when you a lease a car.
Depreciation - It is said that when you purchase a car it loses about 25 percent of value in the first year. After three years it will have lost about 50 percent in value.
Down Payments - When you lease a car, there is often no down payment necessary, or if there is, it is typically drastically lower than that of a new car.
New Cars - Leasing allows drivers to upgrade to new vehicles without a hassle or worrying about having to sell their current car. You just return your current lease, pay any additionally costs, and apply for another one.
Maintenance - Your leased car will fall under warranties for maintenance in most circumstances, which means that service costs will be covered for the most part.
Car Payments - Unlike paying off a car loan, you will always have monthly payments. Those will not go away after a certain time, and early termination fees are costly.
Renting - Though you have the car, it is always just like you are renting it from the dealership.
Take these pointers about buying vs. leasing into consideration when you are looking for a new car. You will be able to make an educated decision the next time you come into Corwin Chrysler Dodge Jeep Ram.