Leasing, buying new or buying used

Leasing, buying new or buying used: What's the difference?

 

By: Lochmandy Motors

 

One of the hardest parts about buying a new vehicle is dealing with the financing, especially for first-time buyers. Some people swear that they get the best value when buying a used vehicle, while other drivers insist on buying new. And then there are people who believe that leasing a vehicle is always the way to go.

 

The thing is, there isn't a one-size-fits-all answer to the question of whether to lease, buy a used vehicle or buy a new vehicle. It depends on each individual's situation and preferences. We'll go over each option and explain the key differences.

 

Buying a new vehicle

Buying a new vehicle is the most expensive option, but ultimately it means that the buyer will own the vehicle (and the title will be given to them once the automobile loan is paid off).

 

New vehicles typically have no issues and it's easy to maintain a new vehicle's high quality if the driver makes sure to keep up with regular maintenance. If there is an issue, new vehicles come with the best warranty package, so drivers are protected for a certain mileage or period of time after purchase.

 

Buying a new vehicle is a great option for drivers who don't mind spending the extra money to make sure they have a high-quality vehicle that they own that will last for many years to come.

 

Leasing a new vehicle

If getting a brand-new vehicle is important to a driver, but they're concerned about payments, leasing can be a great option. Leases typically require an up-front cash payment, but monthly payments are much lower than a traditional vehicle loan. Leased vehicles are also under warranty, which includes standard maintenance like oil changes.

 

Leasing a vehicle has some rules, though. The lease contract will typically dictate a limit on how many miles a driver can put on the vehicle. Anything over that usually incurs an overage fee of anywhere from 10 to 50 cents per mile, depending on the dealership. Drivers must also make sure the vehicle is in good condition.

 

At the end of the lease, drivers can either choose to buyout the vehicle or lease a new vehicle.  

 

Buying a used vehicle

This is the least expensive option for drivers, especially drivers who want to ensure that they own their vehicle.

 

Used vehicles, especially certified pre-owned vehicles, can often last years after purchase. Many used vehicles still come with a warranty or there might be an option to buy a short-term warranty for an additional cost. Used cars might also be priced to better reflect their true value, as the vehicle would have already experienced some depreciation.

 

That being said, buying a used vehicle can be a hazard because it's not always clear what the vehicle experienced before a driver purchases it. Most used vehicles do come with a vehicle history report, but there might be gaps especially when it comes to maintenance work.

 

Working with a car dealership that has a good reputation and buying a certified pre-owned vehicle can help make sure that a driver is getting a good deal on a used vehicle that will last for as long as the driver wants to own the vehicle.

 

 

Whether you want to buy new, lease or buy used, Lochmandy Motors will make sure you're getting a great deal on a reliable vehicle. Checkout our inventory and schedule a test drive today!