Should I Buy or Lease?

Finance Paperwork with Glasses

At Serra Traverse City, we sell seven of the most popular auto brands in the country. While you’re deciding which make and model you want for your next car, are you also asking yourself, “Should I buy or lease my next car?” If so, let us help! When you’re considering leasing vs. buying, one isn’t inherently better than the other. It all depends on your budget and how you drive in Bellaire. The finance center at Serra Traverse City can help you decide the answer to “Should I buy or lease?”.

Leasing vs. Buying: Long and Short-Term Costs

Your monthly payments, down payments, and sales taxes will be lower if you lease. You’re also less likely to spend money on repairs. However, when you lease, you don’t accrue equity, which means you can’t sell your car and walk away with cash in hand. You might also find yourself with fees at the lease end if you break any of the lease terms. 

When you buy your next car for your Kalkaska drives, your monthly payments and down payments are likely to be higher, but you can pay it off and enjoy time without making monthly payments. In the long run, this is more cost-effective, although you might find yourself paying out of pocket for repairs as your vehicle ages. 

The Bottom Line: If you plan to keep your vehicle for longer than three years, buying is a better option for you. Leasing is a better option for drivers who plan to upgrade often and can stay within the terms of their leases. 

Leasing vs. Buying: Mileage & Restrictions

Drivers who buy their vehicles aren’t limited by mileage or customization restrictions. When you lease the vehicle remains the property of the dealership. They can set limits on how many miles you drive and place restrictions on customization. 

The Bottom Line: If you have a short commute and don’t take long road trips, a lease is a great option. However, if you drive a lot the mileage restrictions of a lease might not be right for you, and you should probably buy. 

Leasing vs. Buying: Total Ownership and Customization

When you buy a vehicle, you’re its sole owner. That means you can make cosmetic or performance changes. You’re free to modify your vehicle however you want. When you lease and the dealership owns your vehicle, you’re not the owner and will be subject to customization restrictions. 

The Bottom Line: If you want a vehicle you can customize or upgrade for off-roading near Lake City, for example, you should buy. If you want to keep your vehicle in its original factory condition, leasing is a simple and cost-effective option. 

Leasing vs. Buying: Freedom, Options, & Processes

Buying your vehicle means you’re contractually obligated to pay off any financing you take out, but you can sell or trade your vehicle whenever you want, as long as the vehicle is worth more than the amount you still owe on it. You’re also free to keep the vehicle as long as you’d like. 

Leasing your vehicle means that you’ll go through a simple return process at the end of the lease term. Or you can negotiate a lease buy-out if you decide you’d like to own your leased vehicle. 

The Bottom Line: Leasing is usually easier, but you’re allowed more freedom when you buy your vehicle. 

Learn More About Leasing vs. Buying with Serra Traverse City

Now that you have a base understanding of, “Should I buy or lease?”, contact Serra Traverse City if you have more questions, or you’re ready to start the leasing or buying process. We can help you understand more about the car-buying process.

More from Serra Traverse City

  • 2023 Toyota Camry Interior

    If you’re looking to secure a vehicle that offers first-class comforts, advanced technology, and deluxe finishes for your commute from Bellaire to Kalkaska, then the new Toyota Camry is right for you! This ever-popular model is back and better than ever for 2023. In our research guide below, you’ll have the chance to peek inside…

  • 2022 Cadillac XT6 Interior

      Are you eager to hit the Bellaire streets in a fresh SUV? If so, the luxury found on the new Cadillac XT6 inside is likely to have a match for every item on your wishlist. Not only is the Cadillac XT6 interior loaded with high-end appointments, but it’s also spacious and comfortable enough for…

  • 2022 Toyota Tacoma Colors

    The Toyota Tacoma is a well-known model that gets the job done in style. Whether you’re looking for strong towing specs, efficient mpg capabilities, or a head-turning pickup truck, you can have it all when you explore our Toyota showroom for your ideal Tacoma. If you don’t find your fit at our Toyota dealership near…

Serra Traverse City 44.735181, -85.594550.