Find Out Why Leasing Is a Better Option Than Buying With These Expert Tips!
So many drivers think that purchasing a car is the only option they have. But it’s not! Not only can purchasing a car be more expensive to you, but it can bring a lot of stress when something goes wrong. Leasing is an budget-friendly option that many drivers fail to consider.
Find out if it could work for you with our expert guide of quick tips!
Did You Know: Buying a Car Requires a Down Payment
When you go to a car dealership with the intention of purchasing a car, there are a few things you need to be prepared to address. First, your dealer is going to typically ask you for a down payment.
If you don’t have the hunk of cash required to put down, then you have to provide something else — such as a vehicle to trade in. Or, you’ll need to sell your current car to someone and hand that money over to the dealer. Some dealers will allow you to finance your down payment — adding exorbitant interest to an already hefty loan you’ll be taking out to ultimately purchase the car.
Did You Know: Leasing a Car Requires Less Money at Signing
The convenience factor of leasing a car is a significant pro. That’s because you don’t need to give the dealer a down payment. Instead, you pay the first monthly payment and a security deposit. There are a few additional fees, such as taxes that you’ll also need to pay. But that’s it. The cost to get into a brand new car and drive it off the lot are much lower and cost-efficient than what you’ll need when purchasing a car.
Did You Know: Buying a Car Builds Your Equity
When you purchase a car, you have to take out a loan — unless you have saved enough money to buy the car outright. When you pay off a loan and acquire assets — such as a car, a boat, a motorcycle or a house — you build equity that can then be used to take out greater loans and to build your credit rating. This is one of the main benefits of owning a car. However, there is a downside. Once you own the car, it is yours. You are in charge of re-selling it or keeping it up. You can still build your credit by making lease payments on time every month, but you won’t be able to use a leased car as collateral for other loans.
Did You Know: Leasing a Car is Hassle-Free for the Duration of the Lease
The main pro of leasing a car beyond the money-saving aspect is that it produces a hassle-free experience for you. If the car breaks down, it’s on the dealership to get it working again. If a part goes bad, it’s the dealer’s responsibility to fix it. And, at the end of the lease, it’s the dealer’s responsibility to sell the car to someone else — and that someone else just may be you! You always have the option to purchase a car you have leased once the contract is up!
Leasing Can Be an Option for You
Many people don’t realize how easy it is to lease a car today—and that can be a great, money-saving solution for you. Remember these tips as you visit your local dealer!