While you will make many important decisions before you select a vehicle, afterwards you will have to decide whether leasing or buying is right for you and your family. There isn't a simple answer as the decision all depends on your particular situation, needs, and preferences. Our sales consultants will be able to assist you with any further questions or concerns when making this decision.
Leasing is a popular option as it provides you with a wide range of flexibility when choosing the right vehicle. Most people choose leasing over buying because it allows you to get more car for your money. Due to the way leasing is set up, you can drive a more expensive car with lower payments when compared to owning a car of the same price. Also, leases are structured in 2 to 3 year increments which means you can get a new vehicle at the end of your leasing term. Most vehicles have factory warranties that expire shortly after 3 years, so with a lease, you will always be covered by a warranty.
Buying a vehicle has many perks. Since you own the car, there are no restrictions on the amount of miles you drive or how you customize the car. While you can get leases that allow you to go more than 12,000 miles per year, if you drive more than that, buying will be a better option. When financing a vehicle, you may have higher payments (we work with many different banks to get you approved), however once paid off, you will not have to make any more payments and may be in an equity position (your car will be worth something). Finally, you will get to keep the vehicle as long as you want. Since warranties do expire, you always have the option to purchase an extended warranty.
Why Are Lease Payments Lower?
When leasing, you are only responsible for paying a portion of the cars value. The other portion, or residual, is the remaining equity (what the car is worth) when you turn it back into the dealership. How much will your portion be? It depends on the expected future value set by the manufacturer (this expected future value is called the residual) and differs between brands and models.