Should I Buy or Lease

Handing over Car Keys

 

Have you had your eye on a new RAM truck or Dodge muscle car, but aren't sure of the most effective way to purchase the vehicle in the Pasadena area? If you've been wondering, "Should I buy or lease?" then you should know that there is no definitive answer. Ultimately, you need to find out what works best for you in terms of leasing vs. buying. There are benefits to both leasing and buying, but think about what your needs are, what you can afford, and whether you should finance with a dealership or a bank. With that said, the below tips from our Bayway experts in the finance center should help!

Benefits of Buying

There are some very keen benefits to owning the vehicle you're using daily for your Houston commutes. Below, we've listed some details about the freedom that comes with financing an auto loan.

  • No Mileage Restrictions: If you're driving your vehicle inside and outside of the local area, you may want to consider buying. Without the mileage limits you get on a leased vehicle, you're free to drive as much as you want.
  • Total Ownership: Buying a vehicle means it's yours completely. There are no restrictions on how it's modified, decorated, etc.
  • Customization: If you've bought a vehicle, you can make it stand out in any way you want. Whether you're looking to commit to mechanical or cosmetic changes, you're free to make any alterations you want on a car you own.
  • Ability to Sell: Since you're not locked into a lease agreement, you can opt to sell your vehicle whenever you choose.
  • Financing Options: While leasing isn't a massive headache, the car financing process is more straightforward, and generally open to those without perfect, or great, credit scores. When buying, you can also refinance your loan to lower your interest rate and monthly payments.
  • Less Cost Over Time: Buying a new car is more expensive in the initial period, but it's less of a cost over time as you work towards paying off your loan. With total ownership, the vehicle becomes less expensive to own the longer you have it.

Benefits of Leasing

Now for the flipside: auto leases. Though a Jeep or Chrysler lease can be restricting, there are definitely some perks, especially if you don't want to worry about maintenance as you cruise around League City.

  • Lower Payments: When you lease a vehicle, monthly payments and down payments are typically much lower than buying and financing a car.
  • Less Sales Tax: In most states, leasing a vehicle drastically lowers sales tax. In some areas, you only have to pay tax on the amount you put forth in the down payment and for the monthly payments.
  • Trade-Ins: When your lease agreement is over, head to your local Houston-area dealership, pay any remaining fees, and drive away in a newer vehicle with the latest features.
  • Great Coverage: Warranty coverage and maintenance is a breeze when leasing, as any issue that pops up under your warranty, as long as you don't go over the mileage limit, is covered.
  • Options: Leasing allows you to stay in the newest models with the most up-to-date tech every time you lease a new vehicle.
  • High Approval Rate: While you may be denied for a car loan, it is much easier to get approved for a lease, as even those with poor or no credit can be approved.

Explore Leasing and Financing Options at Bayway CDJR

Leasing vs. buying is less about us and our fantastic new vehicles for sale, and more about you and your needs. We won't pressure you into a vehicle or deal you aren't comfortable with, and are happy to answer any questions you may have about protecting your vehicle with coverage like gap insurance. If you need further consultation, reach out to the Bayway finance center. You can also check out our finance tools, like the payment calculator and learn if you can trade in a financed car! And if you're excited for your future new Wrangler or Gladiator, apply for financing online!

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