Leasing vs. Financing

Should you buy or lease a car? This one of the first questions you’ll need to answer for yourself as you begin to shop for a vehicle around Bessemer. Buy what are the differences between leasing vs. buying, and which path is right for you? Take a moment to refresh yourselves on the differences between leasing vs financing. Then, connect with the Tuscaloosa Ford finance center to discuss your options in further detail!

The Benefits of Leasing

So, what is leasing in the first place? When you lease, you’re basically renting your vehicle for a period of between two and three years. This means that you’ll only be expected to pay for the depreciation that occurs while you’re leasing the vehicle, resulting in lower monthly payments. It’s also likely that you won’t have to put any money down, and if a down payment is required, it will be much less than you’d expect if you were financing. So, what are the benefits of leasing?

• Lower monthly payments
• Low to no down payment requirements
• Flexibility—when your term is up you can walk, swap, renew, or finance your vehicle

The Benefits of Financing

The next step of answering the question, “Should I buy or lease a car?” is to review the advantages of financing. When it comes to leasing vs. financing, financing may be the most cost-effective option, but it requires a bit more commitment and sacrifice. When you finance, you take out a loan that covers the full value of the vehicle. You’re its owner, so long as you reliably make payments, and when it comes time to sell your car, you’ll enjoy the funds from the sale, which you can use to make a down payment on your next vehicle.

In essence, you’re building equity, and enjoy the fruits of your investment. But, financial contracts require down payments and higher monthly payments. Benefits of financing include:

• The ability to build equity
• The right to customize your vehicle however you like
• The chance to build credit by paying off a large loan
• No mile overage fees

Discuss Leasing vs. Buying With Tuscaloosa Ford!

Now that you’ve learned more about the differences between leasing vs. financing, call Tuscaloosa Ford at (659) 210-2294 to speak with our financiers. We can set up an appointment near Centreville, take a closer look at your budget and needs, and help you think through the next steps, including whether you should buy or lease a car. In the meantime, learn about the free lifetime powertrain warranty we offer with all new vehicle purchase, as well as the free limited powertrain warranty we offer with used car purchases!