People get new cars for all kinds of reasons, from needing transportation for a long commute to needing space for a growing family. If you are in a phase in your life where you need a new car, you must decide whether you are going to buy it or lease it. Although there are benefits to leasing, buying a car outright is a better option for many people. Read below for a few reasons why you should buy a car instead of leasing.
Long-Term Savings
One of the top benefits of buying a car is the long-term financial savings. When you buy a car, you will pay a down payment and then have a stable monthly payment to eventually pay off the full price of the vehicle. When you lease, you are essentially just paying monthly car payments that contribute to the depreciation of the car while also paying interest and other fees associated with the car. You do all of this without gaining equity in the vehicle because you do not own it, you are only leasing it from a dealership to then eventually be returned to them. Although monthly leasing payments are usually lower than loan payments from purchasing a car, there is no satisfaction in the end because you do not own the car, and you will have to turn it back in after a few years.
Customization and Personalization
Owning your own car means that it is your property to do with it what you please. Many people like to make alterations to their cars to make them better or have them reflect their personality. Others need to add to their vehicles in order to make them more functional for work or leisure activities. When you are in the process of finding the right car to purchase, look online to find a list of the best Ford trucks to buy that have available upgrades. From lift kits to paint jobs, you have complete freedom to alter your vehicle when you own it outright. Many truck owners want to change the appearance or functionality of their trucks so that they can haul more things or go on adventures without worrying about how it will affect their lease when they have to return the truck.
Freedom from Mileage Restrictions
When you lease a vehicle, you often have to be conscious of how much you are driving it. Dealerships do not want lessees to put too many miles on the car, which will make it less easy to lease out when it is returned to the dealership. Most dealerships restrict drivers to 10,000 to 15,000 miles per year. This means that if you like going on road trips or you have a long commute to work, a lease will not work for you.
Conversely, when you purchase a car, you can drive it to your heart’s content. From cross-country family trips to driving from work to home twice a day, miles add up quickly, so not having to think about restrictions is one less thing to worry about. For those who prefer to travel by car than any other form of transportation, this is a big factor to consider when deciding between purchasing and leasing a car.
Building Equity in Your Vehicle
Monthly car payments when you are leasing a vehicle do not add up to any kind of goal, instead, they are counting down the months until you have to return the vehicle and start the process over again with a new car. This means that you are not putting any money towards growing your equity like you are when you buy it. When you purchase a car, every monthly payment gets you closer to owning the car completely and not having to make monthly payments anymore. It also means that you have more equity and can leverage that for other things like loans or down payments when you are ready to buy a new vehicle in the future.
Resale Options
When you buy a car, you have the freedom to choose when you want to sell it. With leases, you do not have any ownership over that car, and you cannot sell it because it is not technically yours. Sometimes, life throws you curveballs, and you may find yourself needing to sell one of your vehicles to finance something else in your life. When you own a car, then you can sell it at any time and get the money you need. If you own your car and you take good care of it, then it will have high resale value, and you can put that money towards a new car or something else like a down payment for a home.
Although leasing a vehicle has its perks for some people, the benefits of buying a car far outweigh the benefits of leasing. Keep these points in mind the next time you are thinking of getting a new car.
markmunroe
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