Leasing vs Buying

New Car Leasing vs Buying

Why Should You Lease a New Car?

If you prefer to drive newer, safer, more reliable cars or trucks, prefer not to make a sizable down payment every 3-4 years, and also don’t travel an enormous amount of miles every year, then a new car lease could be best for you. Leasing is ideal for people who would prefer to bypass the annoyance of buying and selling every time they want to drive a new car.

Why Should You Buy a New Car?

On the other hand, if you prefer long term automotive relationships with a larger sense of commitment and ownership, then buying should be what’s best for you. Car-buying is typically best for those who don’t mind driving the same vehicle for over five years or even until it’s no longer fit for the road.

Leasing vs Buying: Which One Is Right for You?

Knowing the pros, cons, and overall benefits of leasing vs buying a car or truck is critical. Be sure to acknowledge factors such as vehicle ownership, monthly payments, repair costs, and potential savings when considering the best new vehicle financing type for you.

Buying: Ownership vs Leasing

When considering vehicle financing, new car ownership certainly comes along with many advantages, most associated with absolute ownership of the car or truck. You may not be aware, but, there are also a few great benefits of leasing, as well. It’s essential to consider all financial aspects including monthly payments, down payment, term length, buyout payments, interest rate, depreciation, and maintenance & repair costs, before making a decision. A close observation of your current financial situation, future needs, and your preference for commitment, will likely ensure that you make the perfect choice between leasing and buying a new car or truck.

leasing vs financing a new car pros and cons

Monthly Payments

Car or truck lease payments are oftentimes less expensive compared to car financing and loan payments as the typical lease deal is more-or-less renting with the option to buy out at the final payment of your lease term. Just consider when leasing that you’ll need a healthy credit score, and will be required to carry collision and comprehensive insurance, though the same can be said for the lower rate auto loans. Though it can increase monthly payments, it is also wise to choose a model with the features you need or want, as personal satisfaction is often priceless.

should i lease or buy a car

Maintenance & Repair

Auto leasing often includes regular vehicle maintenance & repair. It is important to keep this in mind when projecting monthly costs of ownership vs leasing. No matter which make and model you choose, mechanic bills are an unknown cost that can quickly add up. And for those of us who aren’t certified auto mechanics with a full toolset and hydraulic jack in the garage, leasing could be the best option for peace of mind.

lease vs buy car analysis

Investment vs Savings

In general, a new car, truck, or SUV lease saves money in the short term with lower monthly payments, while buying gets you a long term investment, meaning outright ownership of the value of the car or truck at the time it is traded, sold, or paid-off. For best value on a lease, avoid lease return fees for terminating the vehicle lease early, going over mileage, or putting on excessive wear and tear. For your best investment on a purchased/financed vehicle, you can pay it off in a shorter term and also avoid excessive wear and mileage.


Lease Buy
Ownership No Ownership Pride of Ownership
Down Payment Smaller Down Payment Larger Down Payment
Monthly Payment Smaller Monthly Payments Larger Monthly Payments
Maintenance & Repair Costs Typically Included Not Included
Savings/Investment Short Term Savings Long Term Investment
Finance Term Approx. 2-4 Years Approx. 3-6 Years
APR % Credit-Based Credit-Based
New Vehicles Available Available
Pre-Owned Vehicles Not Available Available
Vehicle Customization Not Available Available
Poor Credit Financing Not Available Available


Hyundai Lease and Finance Offers In Houston TX

Sterling McCall Hyundai South Loop knows that choosing the right Hyundai car and financing option is never easy. Our team of experienced Hyundai lease and finance specialists are on hand to help you make the right choice. Visit us online, by phone, or in-person at our dealership location in Houston, TX. We look forward to serving you.


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