Should I Buy or Lease?

What’s the difference between leasing and buying? These are your two main options when you want to bring a vehicle home to Albuquerque, whether it’s new or used. Leasing a vehicle means you pay each month to drive the vehicle, but you don’t technically own it—and you’ll return it to the dealership when your lease term is up. Unless you’re paying upfront, buying a car is the same thing as financing, which means you are taking out a loan to cover the cost of the car. When you finish making your payments, you own it.

So, should you buy or lease? Both involve taking out a loan, but there are some important differences to keep in mind as you decide which path makes the most sense for you. We’ve outlined the pros and cons of leasing vs. buying in the guide below to help you make the call.

Benefits of Buying

If you find a car you love and want to drive for the foreseeable future, you’re probably better off buying it. Financing offers perks such as:

• No mileage limit. If you have a long commute to Rio Rancho or regularly go on road trips, the choice between leasing vs. buying is pretty clear. You can drive as many miles as you like in a financed car, but lessees must stay under a predetermined mileage limit.
• Freedom to customize. Owning your car means you can add as many, and whatever kind of custom upgrades and accessories as you like. Leased vehicles can only be upgraded with a small selection of OEM accessories.
• Sell or trade in at any time. Even if your car loan isn’t yet paid off, you can still trade it in for a new vehicle!
• Save money over time. Paying off a car loan builds equity, and owning your car means you won’t have a car payment at all when your loan is paid off.
• In-house financing options. If bad credit is a major factor as you decide whether you should buy or lease, you may assume that it’s easier to be approved for a lease, instead. That’s generally true, but many dealerships offer in-house financing solutions that can make financing possible even with a low credit score.
• Special offers. At Toyota of Santa Fe, we make it easy to save when you buy your next car! Take a look at our current financing specials.

Benefits of Leasing

So, should you buy—or is leasing the better option? One isn’t better than the other, but it’s important to determine which is the better fit for your lifestyle and budget. Leasing has its own unique perks for Espanola drivers, including:

• Lower upfront cost. You will pay less upfront for a lease, compared to what you’d put down when buying a car.
• Smaller monthly payments. Lease payments are lower than financing payments. Tax rates in many states are lower for leased vehicles, as well.
• The latest technology features. Do you want to always have the latest tech features at your fingertips? Automakers introduce new features with each model year, and leasing is a great way to experience these upgrades as soon as they hit the scene.
• Easy lease returns. Returning your leased vehicle at the end of the term is as simple as driving over to your Espanola-area Toyota dealer! Then, you can lease or buy a new vehicle.

Learn More About How Car Leasing Works With Toyota of Santa Fe

Just like any method of vehicle purchasing, leasing a new vehicle in Albuquerque is a big deal—and should be entered into only if you know that it’s a good fit for you and your financial situation. Now that you know how to lease a car, get a hold of our auto finance experts at (505) 780-4763, and we’ll talk you through whether leasing or financing is right for you!