Buying vs. Leasing
When you buy a car, you pay for full ownership. When you lease a car, you pay to drive it for a fixed amount of time.
Although these two options differ substantially, many car shoppers confuse the intricacies between them. To help you make an informed decision, the finance experts at our Lexington area Chevrolet Buick Chrysler Dodge Jeep RAM dealerships broke down their key differences.
You are first on the title followed by the lender financing the car. You will get a free title when you make the final payment.
The lender is first on the title followed by you. After you complete the lease term, you have the right to purchase.
Costs are typically higher when considering down payment requirements and month-to-month costs, which include regular maintenance and repairs.
Costs are typically reduced with a lease. Not only are monthly payments lower, but the costs of ownership drops significantly because you’re driving a relatively brand new car.
No mileage or wear and tear guidelines mean you can drive your car as much as you please. However, the more miles you drive, the less you can sell for down the road.
There are mileage limits and wear and tear guidelines, which you need to follow to avoid extra fees. Fortunately, you can tailor your mileage to suit your driving habits.
Payments end once you make the final payment!
Payments for your lease end once your contract ends. From there, you can decide to purchase or lease another vehicle.