Should I Buy or Lease a Car?

Have you ever wondered, “Should I buy or lease a car?” You’re not alone. Many New Philadelphia car shoppers want to know the advantages and disadvantages of leasing vs. buying. No matter if you’re considering a new vehicle or a certified pre-owned model, it’s good to know the benefits of leasing vs. buying your next car. The team at Parkway Honda knows that finding a new car is a large decision, so we share car-buying tips on several topics so you can make an informed decision. Find out more with the Honda experts at Parkway Honda in Dover!

Leasing vs. Buying a Vehicle

So, should you buy or lease a car? Most Uhrichsville car shoppers are familiar with purchasing a vehicle but can be unfamiliar with leasing one. When it comes to leasing vs. buying, a lease is similar to renting a car for a set amount of months with yearly mileage restrictions. Additionally, the lessee—the person leasing the car—is responsible for all maintenance and repairs as well as the condition of the vehicle at the end of the lease. Once the lease is up, you can return the car and walk away, trade it in toward a new lease, or finance a new car. Our finance experts can help you with the details for your situation.

Pros and Cons of Leasing a Car

So, should you buy or lease a car? Check out the pros and cons of leaving vs. buying below:

Pros:

• Lower Monthly Payments: Expect a lower monthly payment for the same car when leasing a car in Dover.
• Worry-Free Maintenance: Depending on the manufacturer’s warranty and the length of the lease, most repairs will be covered within the terms of an existing lease.
• No Worries About Resale: When you lease a car, you will know the residual value up front. You can choose to buy it out or walk away. You don’t have to work on the resale value. As long as you don’t exceed the agreed mileage or have excessive wear and tear, you won’t have to pay any additional fees when you return the leased car.
• Get a New Car Every Few Years: When you lease, you can swap your car every few years and drive the latest vehicle with the newest tech.

Cons:

• Mileage Requirements: If you exceed the agreed-upon mileage, you’ll end up paying some fees.
• Constant Monthly Payments: As with purchasing a car, you will have consistent monthly payments throughout the lease term.
• Customize Your Vehicles: You are limited to what customization you can do to a leased car.

Pros and Cons of Buying a Car

Pros:

• Ownership: When you purchase a vehicle, you’re making payments to own the car outright. You can sell or trade it in at any time as long as you can cover the remaining loan balance.
• Customize Your Vehicles: Leases have rules restricting the customization and modifications that can be done with your Honda vehicle in Dover. When you own the car, you can add whatever aftermarket parts and accessories that you want.
• No Mileage Restrictions: When you buy a car, you can drive it as many miles as you like without restrictions. Once the manufacturer’s warranty expires, you are responsible for any repairs.

Cons:

• Higher Monthly Payments: Buying a car means higher monthly payments for the same vehicle.
• Rapid Depreciation: New cars generally lose between 15% and 50% of their total value in the first five years.
• Larger Down Payment: Depending on your credit, you may need a larger down payment to get approved for a car loan.

Buy or Lease Your Next Honda with Parkway Honda

The answer to your question, “Should I buy or lease a car?” comes down to your driving habits, budget, and personal preferences. If you are still not sure whether leasing vs. buying is better for you, you can schedule an appointment with our team to discuss your situation more in-depth. Be sure to check out our new and pre-owned vehicle specials and apply for financing before visiting us at Parkway Honda in Dover!