Should I buy or should I lease?
On today’s blog we’ll break down the things to keep in mind when deciding between buying or leasing, that way you can make a choice that fits your budget and your driving lifestyle.
How much do you plan on driving?
This is the most important thing to keep mind when choosing. Leases only last for three-years, and because the dealer will be recouping the vehicle at the end of the lease, they want to make sure it doesn’t have too many miles. That is why most lease terms have a 12K-mile per year limit. If you go over that mileage, you can get hit with overage charges. A 25 cent per mile penalty might seem cheap, but it can add up quickly!
If you’re someone who doesn’t have a big commute or travel far to see friends and family, a lease can be a smart choice. But if you like to do seasonal road-trips, drive a lot for work, or love seeing your aunt and uncle who live several states over, leasing would not be a good idea.
Short-term and long-term pricing considerations
With a lease you don’t pay off the entire amount, which means you’ll pay less each month than you would if you were buying a vehicle. If you are on a budget but still need a reliable car to get to work, a lease is a great option!
That said, remember that if you keep getting into lease after lease, there is a point where you’ll be paying more for vehicles than someone who spends more each month to buy a vehicle but sooner or later pays it off.
If mileage isn’t a concern, that’s where lifestyle preferences come into play. Some people get bored easily and like getting into a new vehicle with updated looks and technologies. It’s worth it to them to spend more over the years to get something fresh. On the flipside, if you’re someone who wants to accessorize, customize, or simply be “car payment free” at some point in your life, you’ll enjoy the freedom that driving a paid off car brings.
For more information on buying or leasing, stop into our dealership this week. With us, you can even compare models like the Nissan Rogue vs. Honda CR-V. We proudly serve the Brainerd, Baxter, Pequot Lakes, Little Falls, and Breezy Point areas and look forward to helping you find the right financing method for your new Nissan purchase!