You need a new car. You scrounge up your
courage to approach the dealership. You peruse your selection, take some test
drives and maybe decide on one. But then something you weren’t counting on
happens: the dealer asks, "Have you considered leasing?" The idea of
leasing could expand your options, but buying may have some long-term benefits.
What do you do?
Buying a Car
The option to buy a car, whether you buy it
outright (which is more likely if you’re looking at a pre-owned vehicle) or
finance it, is always available. If you choose this option, here’s what to
expect:
Pros
·
You
get to keep your car; it becomes a permanent asset once you pay off your auto
loan (if any)
·
You
will eventually pay off your auto loan, and then you have no more monthly
obligation
·
Having
a paid-for vehicle is a distinct advantage with an expanding family and/or a
family expecting to have an increase in the number of drivers
Cons
·
Once
the factory warranty expires, you are responsible for all vehicle maintenance
and repairs
·
Vehicle
value depreciates quickly, so what you can get for your car as a trade-in or
private sale may limit what you can afford the next time you need or want a new
car
All things considered, if you are certain you
want to keep the car for a long time and like the idea of ownership, buying is
for you.
Leasing a Car
Leasing may be a more attractive option for
many people in pursuit of a new car. If you choose to lease, here’s what to
expect:
Pros
·
Lower
monthly payment
·
No
money down (may depend on credit or other eligibility criteria)
·
Expands
your selection of vehicles that may fit in your budget, including a number of
newer, higher-end models (this may be important for some lines of work, like
real estate)
·
Most
repairs are covered under the manufacturer’s warranty
Cons
·
Lease
terms may have restrictive mileage limits, over which you may owe a fee or
penalty
·
You
do not gain an asset at the end of the lease term
·
You
always have a car payment
If you like having a new car every few years
and don't mind a car payment, leasing is likely the best for you.
For those interested in buying a car without
the markup on brand new models, Unique
Enterprises has the quality vehicle you need. We have a lot full of quality
pre-owned cars and trucks and the financing options to make them affordable.
Visit us in Moriarty, NM today.
