The financial transaction of purchasing a new car is filled with many decisions. What is your budget? What kind of car are you looking for? What kind of warranties do you want to purchase along with your vehicle? However, one of the most important questions to ask is whether to buy or lease your new vehicle. The answer to this question is different for everyone, as both options have their own distinct set of advantages and disadvantages. To make the decision easier on you, we’ve assembled a list of some of the benefits and drawback of buying and leasing.
Benefits of Buying a Vehicle
When you purchase a brand new vehicle and pay for it on your own, the vehicle is your own to modify as you see fit. This gives you liberty to customize your vehicle to have the features that you want, and you can even drive however far you want. One of the biggest drawbacks of buying a vehicle, though, is the fact that the warranty might end within your period of ownership. While the customization options for a vehicle you buy are nearly endless, the warranty for the vehicle is not, as it expires much sooner than it does with a vehicle you lease.
As stated earlier, the warranties on leased vehicles tend to last for the entirety of the lease, meaning you will be insured for the entire time you drive the vehicle. Leasing your vehicle also gives you a lower monthly payment, which makes it perfect for those car buyers who are on a budget. Add the fact that leased cars typically have a small down payment—if it has a down payment at all. One of the biggest negatives of leasing, though, is the limit on how far you can drive it. Many vehicles that you lease come with a mileage cap, limiting how far you can drive them. If you go over this cap, it’s highly likely you will have a hefty fee to pay when your lease is finished.
No matter if you choose to buy or lease your new vehicle, be sure to do so with Gateway Easy Auto Credit!
*Buick/GMC rebates and dealer discounts included in sale price, if discount is shown, see dealer for details.
*Price does not include taxes, license and title fees, or documentation fees. EPA estimates only. Please call for more information.
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