Should I Buy, or Should I Lease?
Deciding whether to buy or lease a new vehicle is a tough decision. It can determine what type of vehicle you’ll get, which make or model is a better investment for you and even which vehicle you can afford. Before deciding to buy or lease, you have to weigh the benefits and the drawbacks for each.
Leasing a vehicle is great for people who might want a new car every few years. Plus, you can get more for your money with lower payments because when you lease a vehicle, you’re only responsible for the depreciation of that vehicle for the amount of years you have it – not the full price. Leasing a car allows you to get a better vehicle for a lower payment without worrying about selling it later on or negotiating a fair price for a trade-in. Furthermore, lease terms typically allow for the vehicle to stay within its warranty, so you don’t need to be concerned with serious maintenance costs. You’ll also have lower up-front costs because leasing usually requires a smaller down payment.
However, leasing a vehicle is not a fit for everyone. For instance, if you have a longer commute to work, leasing won’t be your best option because lease terms set mileage limits ranging from 9,000 miles to 15,000 miles a year. At the end of the lease term, there’s a charge for every additional mile. Also, when you lease a vehicle, you have to drive extra carefully to avoid any damages and potential charges when your lease is up. You can’t do much to customize a leased vehicle either, because you’ll be returning it. Lastly, when you lease you won’t build any equity – meaning, you won’t get any money back when you turn it in.
On the other hand, when you buy a car, you own it – it’s yours. That means that you can customize your vehicle however you like, there are no mileage restrictions, no charges for excess wear and, best of all, once it’s paid off, you won’t have to make anymore payments. If you decide to buy a car and finance it, you should be aware that longer-term loans typically have higher interest rates. Also, the bigger your down payment, the more affordable your monthly payments will be. And remember, when you own your vehicle, it has equity. That means you can sell it for cash or trade it (for cash value) any time. Even though it will depreciate in value, it’s still worth something.
Whether you choose to buy or lease a vehicle, take into consideration your needs, driving habits and budget. At VW South Florida you’ll find many options to choose from. Whatever your decision, visit one of our conveniently located dealerships in South Florida – from Miami-Dade County to West Palm Beach – and we can help.