Do You Know Whether You Should Purchase or Lease Your Next Vehicle?

If not, then you owe it to yourself to compare the benefits that come with each financing approach and decide which works best for your particular situation. Each has its positives, but choosing the wrong approach can cost you significant amounts of money. That's why the professionals in our Finance Center helped us put together this handy guide.

Benefits of Purchasing:

  • You own the vehicle, so you're free to modify and accessorize it as you wish
  • If you plan on driving your car for many years, this is the more economical approach by far
  • You're in control of deciding when to sell or trade-in your vehicle
  • There are no mileage restrictions or excess-use penalties
  • You get the vehicle's value when it's time to sell it or trade it in

Benefits of Leasing:

  • Typically, you have a lower down payment and monthly payments
  • Little to no repair expenses, as most are covered by the new car limited warranty
  • No need to haggle when the lease is up
  • You're driving a new vehicle every two or three years
  • You're able to return the vehicle even if it's damaged or has a bad history report

In the end, only you can decide which approach is right for you. We have one customer who drove her last car for 14 years; clearly, financing her new car purchases suits her habits. Another customer likes to drive the latest models that come equipped with the most up-to-date technologies; for him, leasing was the right choice.

In the end, it comes down to your comfort level. If you're looking to keep your monthly payments as low as possible, a lease makes that feasible. If you tend to drive more than 12,000 miles a year or want to enjoy the freedom to personalize your vehicle, financing will save you money in the long run.

If you'd like to discuss your options in greater detail, feel free to contact us and speak with one of our team members. We're always happy to help our friends and neighbors!

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