Leasing vs. Buying
You have been on the hunt for that perfect car; the one that’s the right size, perfect style and exact color you have always wanted. And just when you were about to give up your search, finally, Jim Shorkey Family Auto Group has had your dream machine all along. You never thought you were going to find that perfect car, so you didn’t even think about how you were going to purchase it. Now you’re stuck at a crossroad: leasing vs. buying.
If you’re the type of person who likes change and wants a new car every 2 or 3 years, leasing would be perfect for you. If you’re the committed type and you like to own your car for years upon years, buying would be the best-suited choice for you. You have to weigh the advantages and disadvantages of each option and choose the one that best fits your preference and lifestyle.
Here is a helpful list of advantages and disadvantages of buying and leasing a car that will help make your decision a little easier.
Advantages of Leasing:
1. When leasing a car, you usually have a lower down payment, lower monthly payments, and lower repair costs. You can’t beat those savings!
2. Cars are constantly changing each year with enhancements in comfort, quality, and technology. With a lease, it is easy to drive away in a new car every 2 to 3 years.
3. Can you believe you only have to pay sales tax on the portion of the car you finance?!
4. You don’t have to worry about all that trade-in hassle when your lease expires. You just simply bring your car back to the dealer and start shopping for a new one! Let’s face it, who doesn’t love car shopping?
Disadvantages of Leasing:
1. When leasing a car, your mileage is typically set at 12,000 to 15,000 miles per year. All those savings you had when leasing your car will be used to pay for excess mileage at the lease termination.
2. It may have been cute at the time when your dog was covered in mud in the backseat of your car with his head out of the window and the wind in his ears. However, it’s not so cute when you are charged for those muddy paw prints and drool stains at lease termination.
3. Lease contracts can be confusing to understand! It is important to understand the contract before you sign it.
Advantages of Buying:
1. New cars come with warranties, from bumper-to-bumper, to powertrain. When buying a new car, you usually leave the dealership with 10 or more warranties! (Find out about our EXCLUSIVE Warranty Forever!)
2. Dealers may offer financing at a low interest rate, which can reduce the amount of interest you pay over the life of your car loan. The best part is, once you pay off the loan, the car is yours to keep! No more hassle of monthly payments! (Check out our payment estimator here!)
3. When you buy a car, you have the capability of putting as many miles as you want on it! So feel free to take the cross-country road trip you’ve always dreamed of. But before you go, don’t forget to schedule a service appointment for an oil change! You can do that here!
4. Unlike a lease, you are the owner of the vehicle and you don’t have to turn it back into the dealership within 2 or 3 years. With a lease, you are unable to add any accessories or modifications to the car. When you buy a car, you are able to modify, glamorize, and accessorize to your liking. Just when you thought it couldn’t get any better!
Disadvantages of Buying
1. The one advantage with leasing is that you are able to keep up with the changes and get into a new car every 2 to 3 years. When buying a car, people tend to keep a purchased vehicle for a longer period of time to spread the cost over the years. Just like the latest trends, car looks become “outdated” and “old.”
2. You may appreciate the fact that you were able to buy the car with your hard earned cash, but after purchasing the vehicle it depreciates in value, making it harder to sell. (To help matters a bit, we are always looking for pre-owned vehicles! Call about scheduling for an appraisal!)
3. A higher down payment is usually required when buying a car.
Start finding your dream car here, and use this list to help decide which purchasing method is the best fit for you!