To Lease or to Buy?

Choosing a new car can be a tough choice. To make it even harder, you also need figure out if you’re going to lease or buy. With there being many benefits to both, we have shared pros and cons for both, leasing and buying, to help you with your decision.

Leasing. What is it?
Think of leasing like renting a car. You make monthly payments to drive a new car for a two or three year period.

Pros:

·       Often no down payment required.

·       Pay less per month than you would repaying a car loan.

·       When the lease is up, you turn the car in – no hassle of selling or trading.

Cons:

·       Most lease agreements grant you a limited number of miles.

·       It can be frustrating to pay for something you'll never own.

Buying. How it works:
Pay the full amount or take a loan to make monthly payments until the car is paid off.

Pros:

·       Best deal if you drive over 15,000 miles per year.

·       Once it’s paid off, you own it. No more payments.

·       Able to modify the car how you want

Cons:

·       Able to put down at least 10 percent of the purchase price.

·       The older your car gets, the more you can expect to pay for repairs.

What’s your take on buying and leasing?