Both have their advantages, and to some extent it can be a matter of personal preference. Sometimes people take pride in owning a particular kind of car. However, there are practical reasons to favor leasing over buying, and the following are just a few of the bigger ones.
Leasing Will Cost Less Than Financing the Same Vehicle
Generally, you get more car for your money by leasing rather than buying. This means that you can get the same car for a lower payment by leasing rather than buying, or you may wish to upgrade to a nicer model or make of car because of the savings. If you could afford to buy a Ford, maybe a BMW would be within your budget if you leased instead. Which one would you rather be driving?
Another option would be to put these savings into added options in the same model of car you were planning to buy. An upgraded stereo system and some other bells and whistles might go a long way toward increasing the enjoyment you experience from your new ride.
You Don’t Need to Worry About the Reliability of a Particular Make or Model
Perhaps you really love the look and feel of a particular car, but are not encouraged by the marks it gets for reliability in Consumer Reports and other publications and review sites. With leasing, long-term reliability does not need to be an issue.
When a leased vehicle breaks down, the leasing company handles the repair costs. Maintenance is also covered. When someone buys a new car, the warranty may cover various repairs and types of maintenance, but only with a lease are you guaranteed that all of these issues are covered.
Some Leases Can Include an Option to Buy
When you buy a car, you have a lot of pressure on you to ensure you’ve done your research because when you drive it off that lot, it’s yours. When you are in a hurry to get behind the wheel of another car, all of the researching and shopping can be inconvenient to say the least.
Some leases, on the other hand, offer an option to buy the car at the end of the lease. There is a much greater feeling of confidence in a car that you’ve been driving for the past six months to 2 years or longer than you have in one that you take for a quick test drive at the dealership. When you purchase at the end of a lease period, you know exactly what you are getting as opposed to trusting to blind luck in the used car market if you do choose to buy rather than lease another one at this point.
You’ll Never Get Bored
We’ve all had it happen to us when we were kids. Our parents buy us some shiny new toy that we wanted for months, and a week after we get it, it’s collecting dust up in the attic. This phenomenon does not disappear when we grow up, and we buy our own more expensive toys.
As exciting as that new car model is today, you know the same manufacturer will be coming out with a new model, which may even be a complete redesign of the one you have. A short-term lease makes it much easier to upgrade to that new car when it’s released in order to placate that never satisfied kid in all of us.
Depreciation Is Not a Concern When Leasing
Depreciation is, of course, the main reason that buying a new car is a poor financial decision. A new car will lose the biggest percentage of its value in the first couple years that you would own it. The solution is simple. Don’t own it! By leasing a vehicle you don’t have to care how precipitously its market value may drop after you drive it off the leasing office’s lot.
Leasing Is Frequently the Best Option
Many of us consider that our cars reflect our level of professional success to the world around us. By enabling you to save money over the cost of financing a car purchase, leasing enables you to step up to a model that makes a bigger statement about you to friends, neighbors and others.
That leasing also provides peace of mind by letting you drive without worrying about maintenance or repairs is a wonderful added benefit. With leasing, you are able to put more focus on enjoying a car, and this may be the best benefit of all.