Leasing your car offers so many benefits. If you are still considering if it is better to buy a car, or lease it, this should help you. Your priorities are the real deciding factor. Consider these points as you shop for your next vehicle.
Advantages of A Car Lease
The advantages of leasing for example when it comes to Honda lease cars include the ability to have a new car every few years. In fact, you can switch out your leased car, or any vehicle easily with most car dealerships. Here are some of the other advantages.
Monthly payments are lower. You get more for the cost. If you want a luxury car, this is the best way to do that. You can afford it because of the structure of the funding. Even if you want an inexpensive car, you will still get more for your money with a lease.
While every new car comes with some sort of warranty, the leased vehicle includes free maintenance and an incredible warranty. That allows you to have a car at all times. Warranties with a lease almost always include a loaner car, if available, during repairs or maintenance.
The whole process is easy. If you qualify, you can test drive the car and sign to drive. If you know what type of car you want, it is the easiest way to get into whatever car you want.
Disadvantages of A Car Lease
While there are several advantages, there are as many disadvantages. This is where your priorities come into play. Weigh the above advantages with these disadvantages.
- Mileage Issues
- You Own Nothing
- Higher Insurance Rates
The first big disadvantage is the mileage concern. All leases have fees attached to the term of your lease. It is the perfect choice for those that are not into road trips or extensive use. That does not mean that you are unable to take a road trip, but it does limit frequent trips.
Also, you will never own a car this way. A lease allows you to use the car for a contracted lease term, then you must turn it back to the owner. If you want a new car, though, it is a fantastic way to do it.
Sometimes your insurance company charges you more for a leased car. They tend to be newer vehicles, so the insurance is a premium anyway. With a lease on top of that, you can expect costly insurance rates.
When you turn the car in, you have fees for mileage assessed. Read your lease carefully to watch for issues here. Far too many new lessees fail to read the actual contract they are signing. That always results in issues later with extra fees.
Advantages of Buying a Car
Your first big advantage is ownership. There is nothing better than driving a car that is yours alone. Most car buyers report that the benefits of ownership far outweigh any issues. Here are some of the other reasons.
- No Limits On Mileage
- No Extra Fees
- Cash Benefits
The other big advantage is the mileage issue. If you like to drive, then owning your own car is the only way to go. There are no limits, except for repair issues that come up with miles of use. There are no extra fees. You pay the price you signed the purchase agreement for. Unless you miss payments for your loan, you have no surprise fees with your last car payment.
Your car holds value. It is a cash value that you can use at any time if needed. Your ability to get loans for an unexpected expense is always an option. While the interest rates are high, title loans are a great way to drive and get cash when you require it.
Disadvantages of Buying a Car
The disadvantages are the larger down payment, and the need for a warranty if it didn’t come with one. If the advantages outweigh the disadvantages for you, then it is probably your best choice. The fees are a huge part of the decision for most people. If you are like many others, though, those disadvantages always provide a way for you to drive safely, in the best car on the market for the cost.
At the end of the day, what you decide to do with your finances will ultimately be your choice, hopefully, this article has provided you clarification on your decision.
Author: Hannah Boothe
Hannah Boothe is a freelance writer native to Northern California who spends her free time developing herself. Hannah enjoys the outdoors, she goes hiking whenever the weather permits and enjoys practicing yoga. She carves out time to journal and read whenever she can. She loves adventure and connecting with those around her.