You can get a car by purchasing or leasing it, but which option is best? Continue reading for more information regarding the differences between buying and leasing a car. Learn about the advantages of leasing a vehicle.
Buying A Vehicle
Buying your vehicle is not in your best interest for different reasons. Leasing your vehicle is the better option due to a lower down payment. Another disadvantage of buying a car is maintenance costs. When you buy a car, maintenance is your responsibility, and if your vehicle is not adequately cared for, these costs can be an astronomical, out-of-pocket expense. Did you know that the value of your car rapidly decreases as soon as you drive it away from the garage? Leasing a car is a much better option for many people.
Benefits of Leasing A Vehicle
If you’re on a budget, leasing a vehicle is the best option, because it offers lower monthly payments and also a lower down payment than buying a car. Yes, there may be drive off fees associated in this situation, but they do not compare to the costs that are associated with buying a car. If you have above average credit, the fees may be waived when you sign the lease.
2. You’re Not Stuck
When you purchase a vehicle, you’re stuck with it, whether you enjoy driving the car or hate it. You’re never stuck with a car when you lease it. When your lease term expires, you can get a newer model car!
3. Saving Money
Did you know when you lease a car, you are only paying for half the car’s price? If you choose to buy a car, you will be paying the entire cost of the vehicle upfront. Paying for half of the vehicle’s cost means you only pay the difference between the current and the expected value of the vehicle, which is called residual value.