Should You Buy or Lease Your New Subaru in North Attleboro? Here are a few tips...
Should You Buy or Lease Your New Subaru in North Attleboro? Here are a few tips...You've got a vehicle all picked out, and you're deciding whether you should buy it and finance, or lease it. Depending on which friends you talk to, you'll get different answers. There is a reason for that. The choice comes down to your lifestyle and your preferences. For some, buying is better, and others, leasing makes more sense.
At Patriot Subaru in North Attleboro, we'll help you sort it out, based on your needs. Will you be the only one driving it, or is it a family car? We'll ask if your driving habits are fairly routine or if you like to pick up and go exploring on weekend jaunts. Do you like driving a new car, or are you happy aging along with the car you have? Financially, are you in a position to put money down, or are you looking to stretch it out?
Advantages of Car Leasing
- Lower down payment
- Lower monthly payment
- You can drive a better car for less money each month.
- Drive a new car every 2-3 years, with more amenities and newer safety features
- Lower repair costs. (With a three-year lease, the warranty covers most repairs.)
- No trade-in haggling at the end of the lease
- You pay sales tax only on the portion of the car you finance.
Disadvantages of Car Leasing
- You don't own the car at the end of the lease.
- Mileage is limited, usually 12,000-15,000 miles a year (excess miles are paid for at the lease termination).
- Leasing is more expensive in the long run (as opposed to buying and driving until the wheels fall off).
- If you "beat up" the car - dings, scrapes, interior wear, you may face added costs
- If your lifestyle changes, ie different job, you will likely have fees to terminate lease early
Advantages of Car Buying
- Pride of ownership - you can fix up or customize your car as you please.
- Car buying is more economical in the long run unless you buy and trade-in often
- No penalty for driving excess mileage
- More flexibility - you can sell the vehicle whenever you need
Disadvantages of Car Buying
- Higher down payment is typically required
- Higher monthly payments
- You're responsible for all service and maintenance once the warranty expires
- The value always depreciating, and your trade may not be worth what you hoped
- You'll never get back the dollars you put into it if you "soup it up".
If you want to be in a new car every few years to enjoy all the updated features, want to have get into it inexpensively and have low monthly payments, and your driving needs are fairly modest and predictable, then leasing may be your best choice. If you are in a position to be able to pay more upfront and a bit higher each month, and your intention is to use and maintain the car for 6, 7 or more years, than perhaps buying is the smarter long-term economic decision.
