One of the most important factors when searching for your next San Francisco commuter vehicle is your finances. As you start your search, you may be wondering, “Should I buy or lease a car? And what’s the difference?” Cartelligent is here to help! We break down the differences between leasing and buying below so that you can make the right decision for your lifestyle and budget. Learn more about leasing vs. buying and then start the conversation with Cartelligent today.
The Benefits of Leasing
What is car leasing? A car lease is essentially a rental contract for a car, allowing San Jose drivers to drive a vehicle of their choosing for a set number of years or miles. While this doesn’t build equity and the driver cannot sell the vehicle, the monthly payments are based on the depreciation of the vehicle over the lease duration, not the entire cost of the car. That leads to a lower down payment and lower monthly payments than if you were to finance, or buy, a vehicle. Leasing also can lead to fewer sales taxes, and allows drivers the flexibility to renew, swap, end, or finance their vehicle once the lease term has ended.
The Benefits of Financing
What is financing a car? Financing is closest to outright buying the vehicle. In general, Los Angeles drivers will take out a loan for the full value of the vehicle they want with the intention of paying off the loan and fully owning their car. This allows the driver to build equity and have the opportunity to sell their car and receive part of their investment back. That said, as the loan taken is for the full value of the vehicle, the down payment and monthly payments will be larger than if the vehicle had been leased. Still, financing allows drivers the freedom to sell, modify, and drive without mileage limits.
Compare Leasing vs. Buying in California with Cartelligent!
So, should you buy or lease a car? The decision is yours! Get started by filling out our two-minute help request form so that we can pair you with an advisor that will find the right car and right deal for you. If you have any questions about buying or leasing, visit our FAQ page and learn more about how Cartelligent can work for you.