Car Lease vs. Buying A Car

Salesman handing new keys to a woman

Buying vs Leasing a Car: Which Option Should You Pick?

Getting Behind the Wheel of your Dream Car: Your Options

Found the ultimate car, truck, or SUV? Now it’s time to find out how you’ll drive your ride home without breaking your budget—a short-term car lease or outright buying with an auto loan. On paper, both seem similar since they both help you drive the vehicle you want, but their finer details are complete opposites and impact how you’ll drive. For more information, stop by our finance center today and let one of our experts know what you want from your cruises.

What Can You Expect from a Car Lease?

In short, you can think of a car lease like an extended rental since you don’t technically own the vehicle (but you’re free to drive it). So, you’ll usually start off with a down payment followed by monthly lease payments and interest rate for the duration of your term (which usually range from 12 – 36 months—but lease terms can be longer at times). As far as how a lease benefits you, you’ll work with lower monthly fees when compared to a loan, which helps most budgets. Also, you’re constantly trading out to a new riding experience with the latest technology and powertrains. Plus, since the vehicle is so new, you’re often covered by limited warranties, which means you won’t need to pay a lot for your maintenance.

However, when you lease, the number of miles you can drive are limited, which means you’ll likely need to budget your drives if you don’t want to be charged extra at the end of your term. Also, you’ll need to pay for any excess dings, dents, and damage that occurs by the end of your lease session, which is something you’ll need to consider beforehand.

As far as your options go, most vehicles are fair game on our lot, whether you want a Jeep lease, Dodge lease, or a RAM lease. So, if you want to drive an adventure-seeking Jeep Renegade or a fast and chiseled Dodge Challenger, you’re free to do so with a lease.

What Do You Get with a Car Loan?

In contrast to a lease, an auto loan lets you ultimately buy your vehicle over a period of time. Like a lease, you’ll still make a down payment, make monthly payments, and agree to terms and conditions—however, that’s where the similarities end. For example, with a loan, you gain ownership of your car, which gives you full freedom to modify your ride however you please—tune out the motor, change the color, even sell or trade it off without penalty since the vehicle is yours. Also, since you own your cruiser, you can drive however many miles you want alongside not worrying about getting fined for any scratches or dents. Even with car insurance, you have full freedom since you can cover only what you’ll think you need, making buying a stellar long-term investment.

However, when buying you’ll want to be aware that you’ll ultimately pay more monthly for your vehicle since you’re buying it. Also, your technology can feel dated over time—but you can also offset this point by upgrading features like your infotainment at any time.

Where You Can Buy/Lease Your Favorite Vehicles in Cleveland

Ready to get behind the wheel of a new car, truck, or SUV with payments that fit your budget and style? Head to the Motor City Chrysler Dodge Jeep RAM finance center today, where our experts can walk you through leasing and loaning based on your personal information and situations to help you pick the best means of driving your vehicle. Also, your needs come first, so don’t hesitate to ask any questions that pop up.

Posted in Leasing