Leasing vs. Buying

If you’ve begun the car buying journey around Cloverdale, one of the first decisions you’ll need to make is whether you prefer to lease or finance your next vehicle. Neither path is better than the other. They’ve simply been tailored to suit the needs of different types of drivers. Take a closer look at the different advantages between leasing and financing for help with deciding which path is right for you. Then, explore our new vehicle specials and get in touch with the York Chevrolet-buick-gmc, Inc. finance department in Greencastle to take the next step!

Benefits of Leasing 

When Coatsville drivers choose to lease, they rent their vehicle for a temporary term (often, three years). Because the loan only goes to cover the value lost from natural wear-and-tear, your monthly payments will be much smaller. You also won’t have to make as large of a down payment or pay as much sales tax. Other benefits include: 

• Warranty Coverage: The savings only increase when you consider that your vehicle will fall under its original manufacturer warranty for the duration of your lease term. This means that you won’t have to pay for routine maintenance or major repairs. 

• No Gambling: When you finance your model, there is always the risk that you’ll become upside down on your loan. This means owing more on your vehicle than it’s worth on the market. When you lease, you don’t have to worry about depreciation, period. 

On a final note, many dealerships don’t allow you to personalize your lease, but that isn’t the case at York Chevrolet-buick-gmc, Inc.. You’re fully within your rights to install aftermarket parts. 

Benefits of Financing 

When you finance, your payments chip away at the full value of the model. Once you’ve paid off your loan, you own the model. When it comes to time to sell, you’ll see the funds from the sale and thousands of dollars returned to your bank account. This is the most cost-effective path, but it requires bigger commitment. You can expect to make larger monthly payments, put more money down, and pay more sales tax, butyou are building equity. The benefits of buying include: 

• Building Equity: Since you’ll receive funds from a future sale, part of your monthly payment is an investment in the value of your own assets. You could very well use the funds from the sale to raise an even larger down payment for your next vehicle and bargain for a lower interest rate and smaller monthly payments. While we’re on the subject, if you have a trade-in you’d like to sell to us for cash or credit, get a quote using our trade-in value tool! 

• Building Credit: When you build the value of your assets, you’re much better qualified to secure loans from banks. Furthermore, when you reliably make payments on a large loan like a car loan, it’s great for your credit score. 

Unlike leasing, which can come with monthly mileage limits, when you finance, you can drive your vehicle as much as you’d like! 

Have Further Questions About the Difference Between Buying and Leasing? 

If you have any outstanding questions about the different benefits of leasing and financing, don’t hesitate to contact us online or call us at (765) 276-3053. We’ll answer any of your questions, take a look at your finances, and help you make an informed decision about which path is best for your needs. We’ll also make sure you don’t overlook any applicable national offers, rebates, or incentives and set you up with some test drives near Plainfield. We’re excited to help you snag a deal on your next dream car!