Leasing vs Buying
So, you think it may be time for a new vehicle. The big question is should you lease or buy? These two options can offer drivers very different benefits-it's all a matter of which you prefer. To help you make the choice, our team at Palm Coast Ford have put together this helpful article so that when you start looking for your next car, you'll know exactly which route to take.
The Benefits of Leasing
The biggest difference when leasing your vehicle is that you'll be locked into a short-term contract. If any of the following advantages appeal to you, it may be time to consider a lease.
- Lower Payments. When you buy a car, you're paying for the entire cost of the vehicle. However, when leasing, you're only paying for the term of your contract (usually three years), plus fees. Since you're only financing a few years' worth of vehicle depreciation, your payments are going to be considerably lower.
- Warranty Coverage. The length of most warranties matches up with the common term of contract for a vehicle lease, which means drivers can benefit from coverage during their lease. Since you'll have to take extra care of your vehicle, this warranty can offer you some added peace of mind.
- Choice. When your contract is up, you can easily trade in your vehicle for another model, but you can also choose to purchase. It's up to you. Leasing vehicles affords you the benefit of being able to try a new car every few years.
- Stay Up-to-Date. Car technology and design changes constantly. If you're leasing a new car every three years, then you will always be driving something that is new or semi-new. With this, your car will always have some of the best technology and features.
The Benefits of Buying
Leasing is a short-term option, which isn't for everybody. If you prefer something with more permanency, here are the advantages of buying your vehicle.
- Less Restriction. When you sign on for a lease, you will essentially have to predetermine your yearly mileage. If you go over that mileage, there will be fees. When you own your car, this isn't something you'll have to worry about. Feel free to put as many miles on your vehicle as you wish. Also, on that note, you also won't have to fret too much about that extra ding in the passenger door or that coffee stain on the seat either.
- Ownership is Valuable. If your car payments can outpace the depreciation of your vehicle, you're bound to gain equity over time. Not only that, but once your car is paid in full, you won't have to worry about payments again until you purchase your next vehicle.
- Customize Your Vehicle. When you buy a car, you can do whatever you want to it. A leased car will need to be returned to the dealership in nearly the same condition that it left in. With your own car, you can make modifications under the hood or add custom parts-whatever you feel like. There will be no penalties for making changes.
Learn More About Financing Your Next Vehicle
There are several different advantages of both leasing and buying a vehicle. If you have any more questions regarding these options, or would like to find out which better fits your finances, contact us at Palm Coast Ford. We'd be happy to help residents of the Palm Coast, Flagler, and Bunnell areas drive home in their next vehicle. Contact us today for more information.