When you decide it’s time to buy your next car, you’ll have an important decision to make: To Buy, Or to Lease?
Each option has its own benefits and drawbacks, and it’s important to understand what those are before deciding which method of financing is best for you and your lifestyle.
For car shoppers who like to keep their cars for more than a few years, possibly even with the intent of paying it off and having no car payment at some point, buying is the way to go. Buying your car requires that you obtain a car loan, either from the dealership or an external bank or creditunion and pay back the value of the car with interest over the term of the loan.
This means that you are free to drive as many miles as you want, sell it when you want, and make any aftermarket customizations you want. Just be prepared that you’ll need to have cash set aside for a down payment at the time of purchase, and monthly payments will be higher than if you were to lease.
If you like to trade your car in every few years for a newmodel and don’t mind having a permanent car payment, leasing may be right for you. When you lease a vehicle, you’ll be paying monthly payments on just the expected depreciation of the car during the time you drive it. This means payments will be lower than if you were to buy, but you won’t retain any value for the car when it comes time to turn it in.
It’s important to note that there is a limit to the number of miles you can drive each year without being penalized, and it must be returned in like-new condition.
Stop by Nissan of Silsbee today to learn more about leasing and buying, and find the right option for you!