Thinking about leasing a car? You’re not alone!
In recent years, leased cars have made up about 30% of all new car transactions in the U.S.
Between lower monthly payments and less money spent upfront, leasing a car is a great option for many. But is it the right one for you?
Deciding whether to buy or lease a car can be tough. Not to worry. We’ve got you covered with this comprehensive guide about the ups and potential downs of leasing your next car.
Read on for more information!
Lower Monthly Payments
If you’re looking to keep your monthly car payments to a minimum, a lease might be the best choice for you. Typically, there is only a small amount of money required as a down payment and the monthly fee is usually less than if you financed to buy your car.
When you buy a car, you’re responsible for the sales tax and could be just paying off the interest of your car loan in your first year or two if you didn’t pay for the car in cash.
Keeping payments down is a huge incentive for people to lease because they can select a car and deal that they feel comfortable and confident paying every month without the fear of getting in over their heads.
Save Money on Repairs
When you lease a car, the vehicle will typically come with a warranty and free service up to a certain mileage or year. This can save you money on parts and regular maintenance over the course of your lease.
When you purchase a car, it’s inevitable it will at some point have problems. You may even end up spending more repairing your car than it’s even worth.
Spend Less Over the Longterm
One of the benefits of buying instead of leasing is the opportunity to save money and erase the need for monthly payments once your car is paid off in full.
While it may cost you more upfront to buy, if you purchase a car that is known to hold up over the years, you can save money down the road. You also forgo the need to continue to come up with money as a down payment on a lease every few years.
You Have Something to Sell
Once you own the car outright, it’s yours. This is an asset and something you can use to make some cash if you’re in a bind or sell-off when you’re ready to purchase a new car in its place.
When you own your car, you are in control and have the choice about what money you put into it, how much you want to sell it for and the kind of profit you expect to make.
Should You Lease a Car? The Choice Is Yours!
With the information above, you have some real insight into whether it’s better to buy or lease a car in 2021.
Each situation is different for every person but either way, we can help you find the car of your dreams!
Contact us today to help you start your search.