If your last vehicle is worn out or if you are in need of another car to drive for any other reason, your automatic instinct might be to go out and look for a vehicle to purchase. However, before you sign the dotted line on a car loan contract, you may want to look at your other options first. For example, one good option for a lot of drivers is to lease a car instead. Even though you may not find that it’s for you, a lot of people prefer it.
Why Lease a Car?
You could be wondering why you should even think about leasing a car. Well, it actually has a lot of benefits. These are some of the reasons why this can be a good option:
- Get a Car Without a Down Payment – One of the big problems with trying to buy a car is having to come up with a lump sum to put down as a down payment. If this is something that you are having trouble with, you might be happy to know that a leased car does not require this. Instead, you can just pay an acquisition fee and a few other reasonable fees and drive off the lot.
- Enjoy Lower Monthly Payments – Another good thing about leasing a car is the fact that your monthly payment amounts are sure to be a whole lot lower. This can be a great option if you’re on a budget and want to keep your monthly payments reasonable.
- Stop Worrying About Car Repairs – Car repairs can be a major hassle, and they can be expensive. Since a leased car is generally going to be a brand new car that you only drive for a few years, you generally will be able to return the car before you have to worry about these problems. As a back-up plan, though, you will know that the leased car should be covered by a car warranty. This means that if something does happen and the car does need repairs, you should not be the one who has to pay for them.
- Avoid Being Stuck with a Car You Don’t Want – With a leased car, you’ll only have the car to drive for a couple of years. If you don’t like it, you can turn it in and lease another one at the end of the contract. You also don’t have to worry about owning it in the long-term and having to find a buyer once the value is diminished.
- Drive a Newer and Better Car – Leasing can make driving a luxury vehicle more affordable. Plus, you can turn it in when the contract wears out, and you can lease a different, newer car after the fact.
Why Buy a Car?
As you might have noticed by reading the benefits that are listed above, there are so many reasons why it can be a good thing to lease a car. However, if you want to make sure that you make an informed decision, you should know about some of the disadvantages. These are some of the reasons why some people prefer to buy cars instead of leasing them.
- The Car Will Belong to You – With a lease, you will not own the car. Instead, you’ll just be borrowing it. If you buy, the car will be yours once you make the final payment.
- You Can Drive as Much as You Want – If you are a high-mileage driver, you might prefer to buy, since you will not be restricted in mileage.