Choosing your next vehicle can be a big decision, but so is deciding how you'll pay for it. While there's no right way to purchase a vehicle, there may be one solution that works best for you. Keep reading to learn more about the differences between buying and leasing.
Freedom and flexibility are the primary benefits of leasing your vehicle. When leasing, customers have the option to drive a new vehicle every few years if they choose, and postpone the purchase decision without the inconvenience of having to sell or trade their vehicle.
Leasing terms most often range between 24 and 60 months. With shorter terms, you can make more affordable payments. You're also able to choose your mileage. Lessees are normally given 12,000 or 15,000 miles per year, but if you need a higher mileage limit, you're given the choice to purchase more miles at signing.
Since you're only purchasing the right to drive the vehicle for a specific period of time, your financial responsibility and monthly payments may be significantly reduced. Also, if you're not ready to put down a large down payment, then leasing may be better for you, as there are leasing options that require $0 down.
Because most leases last for two to three years, your vehicle is generally covered with warranty protection for as long as you have it.
When your lease ends, you simply return the vehicle and pay any remaining fees (such as for excess mileage or wear and tear) and taxes. If you don't want to part with your vehicle, you can also take the opportunity to purchase it at a predetermined price. In either case, there's no need for you to sell it or trade it in unless it benefits you.
Ownership is a major perk of buying instead of leasing your next vehicle. If you are looking to keep your vehicle for a longer time frame, then buying is the better option for you. Plus, choosing to buy rather than lease provides you with the option to customize your vehicle to match your lifestyle.
When financing your vehicle, you're responsible for the miles you travel and don't have to adhere to any mileage restriction. Leasing requires that you calculate in advance how many miles you'll drive each year. Ownership gives you the freedom to drive as much and as far as you desire without collecting fees.
If you choose to purchase your vehicle, you can choose to finance it or buy it outright with cash. If you buy with cash, you become the owner of the vehicle right away and don't have to worry about monthly payments. If you choose to finance, you have an extended period of time with a loan to pay off the vehicle. For the best outcome when financing, we strongly recommend that you acquire affordable, dependable and competitive rates, like what we offer here at John Roberts Nissan.
When you complete your payment schedule, typically in four to six years, you own your vehicle. You can keep driving for as long as you like without any further payments, or sell or trade it at any time. Once you own the vehicle, you are no longer making monthly payments, which means you could potentially place those same funds toward your savings.
If you happen to have any questions or would like to get to know us more, come visit us at 2747 Hillsboro Blvd Manchester, TN 37355. We look forward to serving customers from Murfreesboro, Shelbyville and Middle Tennessee.