Deciding whether or not you should consider leasing a car depends entirely on your situation. There is no one size fits all answer here.
We’ve partnered with Humes Chrysler Jeep Dodge & Ram to bring you this post.
There are both benefits and drawbacks of leasing a car. We’ve listed a few tips below that will hopefully help you make the right decision for yourself and your family.
Benefits of Leasing a Car
Cheaper Car Payments
Generally lease payments are cheaper than regular car payments. That means that for many people, you can lease a more expensive or luxury car that you couldn’t afford to buy yourself.
If you love having the latest model, leasing a car might be a good option for you. Once the term is up, trade your vehicle in and upgrade to the current year’s model.
Not Locked into Something You Don’t Like
Unlike with a regular car, if you don’t like your lease, you don’t have to keep it. No trying to sell it or trade in hassles. Simply return it once the lease period is over.
You aren’t taking out a loan on a large sum of money when you lease. When you return the car there’s no balance to owe.
Fewer Repair or Maintenance Cost
When you lease a car, usually at least minor things are covered like tire rotation and oil changes. But sometimes regular maintenance and repair costs are included in the price and don’t come out of your pocket. That’s a huge benefit, if you ask me!
Option to Buy
If you find that you absolutely love your leased car, you have the option to buy it when your lease is over. Kind of like a ‘try before you buy’ option, which is neat.
We also want to mention the drawbacks to leasing a car. This doesn’t mean that you shouldn’t consider this option, but these are just things you should be aware of.
Drawbacks of Leasing a Car
You’ll want to have what’s called Gap Insurance which covers the difference between the car’s actual cash value and what is owed on the lease. You want to make sure you’re covered in the case of an accident or if your car is stolen.
There can be fees associated with leasing a vehicle. Financing fees, delivery fees, purchase option fees, and mileage fees if you go over your allotted miles.
If your car shows signs of excessive wear you may incur additional charges.
Only you can decide if you should consider leasing a car. Hopefully these tips will help you make sure your decision is the right one for you.