The question everybody should ask when thinking about getting a new car. Is it beneficial to buy a car or lease one? In this article, we will tell you which option is best.
What is the Difference Between Leasing a Buying?
Leasing a Car
- You do not own it
- Have to return it once lease date is up
- Lease a car every three years
- You are not paying for the full price
- Lower payments
- Maintenance expenses
- Maximum number of mileage could charge if you go over the limit
Payment for Leasing a Car
For leasing a new car you have a down payment. Of course, you may have the option to buy the leased car at the end of the lease period. Other important things to include in lease payments are:
- Security deposit
- First month’s payment
Buying a Car
- You own it once payment is put down, don’t have to return
- Monthly payments are higher
- Don’t get fined going over the limit
- Take care of maintenance expenses
Payments for Buying a Car
Just like leasing a car, buyers have to put in a down payment. Included in the payment deal are:
- Registration costs
- Other applicable fees
- Cannot incur fees like on a leased car
- May not have the right budget
Looking After Maintenance Expenses
It is very important to look after your car. Especially a leased car. Before looking into getting a leased car just know that you are in charge of making all the repairs that it needs. The car is under warranty.
With a leased vehicle, you’ll likely be paying for routine maintenance, such as oil changes. Purchased vehicle goes beyond its warranty. Typically owners have to pay out of pocket for any urgent repairs and routine maintenance.