Getting ready to go out and look for a new car can be rather exciting. You will have a lot to decide upon, from the make and model of the vehicle, the color, available options, and much more. On top of all of this, there will be the test drives. Once you get behind the wheel of your dream car, you will likely be sold on it. The question is how to pay for it. That is always the tricky part for many car shoppers, but there are quite a few different options available to you today. The two main possibilities are to buy or lease a new car. You may not have given much though to a lease in the past. Take the following information related to both buying and leasing a new vehicle so that you can make an informed decision the next time you arrive at a dealership.
Let’s Talk About Depreciation
You might never have given much though to the notion of depreciation when it comes to buying a new car. It is, nonetheless, something that you will want to take into account. It is the truth that a new car will lose considerable value in the moments after you drive away from the dealership. In fact, if you were to try to sell it the very next day, you will likely find out that you will not get anywhere near what you paid for it. This might not be that important to you if you plan to keep your car for a very long time. If that is the case, buying can have its advantages. If you are not sure how long you want to keep the car, however, a lease can be mighty appealing. There is no depreciation to worry about, as the car remains the property of the dealership. You simply get to drive it for a few years, after which you will hand it back in and go about choosing another new car.
Let’s Talk About Repairs
When you buy a car, you do get to drive it however you want. You can also drive it as far as you want. Keep in mind, however, that as cars get up there a bit in miles, they will inevitably encounter the need for some repairs. Outside of the manufacturer’s warranty, you will need to pay for these. With a lease, however, that is rarely a consideration. The car is so new for the duration that there is never a need for a major repair. In the event that this does become necessary, the car is under warranty so it will be covered in full. This is another way that a lease can save you money in the long run.
Let’s Talk Monthly Payments
When you buy a car, you will either need to pay all in cash or finance the purchase. In either event, you will likely be limited by your own budget. You might find that you just cannot get into the exact car that you want the options added that you have long had your eyes on. With a lease, you will find that the monthly payments are, no average, much lower. This is definitely a positive to consider. This also means that you can move up a few car categories in order to get into the exact car that you have been salivating over. The best part is that a lease will generally expire right about the time that ‘like new’ feeling to the car has gone away. You can then just repeat the process and get another new car.
As you can see, there are quite a few things to consider when deciding to get a new car. In many cases, a lease is a great option to consider. Weigh your options carefully and then get the car you are comfortable paying for.