Buy or Lease?

To own your own car, you can either buy it or lease it. There is a significant difference between buying a car and just leasing one. Both however, can benefit you in a number of ways. The most important thing to consider when deciding if you should buy a car or lease one is your financial status. Take into account your monthly income as well as your monthly expenses to identify where you stand. If you can shell out a considerably large amount of money all at one, you have the option of buying a car. However, if this is something you cannot afford then leasing one would suffice.

The difference between purchasing and leasing a vehicle that concerns your finances is the monthly due. Leasing a car has considerably lower monthly dues than actually buying one. Leasing a car only requires you to pay up the vehicle cost you have consumed over a period of time. Buying a car on the other hand gives you more freedom for your car. It does not require you to have a mileage limit like what most lease contracts have for the vehicle you are borrowing.

Financial status is not the only thing to consider when you are deciding whether to buy a car or lease one. It also involves the kind of lifestyle you live. Drivers who change their taste in cars as often as they change their clothes may benefit from leasing a car instead of actually buying one. Taking into account your daily tours is also quite important when leasing a car. Some auto lease companies set a certain mileage limit for rented vehicles. If you drive from New York to Pennsylvania almost every day or ever other day, this might cause you to have a higher mileage than what lease companies would normally set. In this case, buying your own set of wheels would be more beneficial as it gives you more freedom. Also, leasing a car can benefit drivers whose taste in cars is too luxurious for average income individuals to purchase. Leasing a car does not require you to pay upfront a considerable large amount of sum as down payment. It only requires you to pay for a certain amount similar to what interest rates would normally cost.

There are many factors to consider before deciding whether to purchase a vehicle or just lease one. It just requires you to assess and evaluate your current life situation before doing so.