If you want to drive newer, safer, more reliable cars or trucks, prefer not to pay a large down payment every few years, and also do not drive an excessive amount annually, then a new car lease may be right for you. Leasing is better for those who prefer to avoid the hassle of buying and selling every time they want to get into a new car.
Contrarily, if you prefer long term automotive relationships with a higher sense of commitment and ownership, then buying may be what’s best for you. Car-buying is typically best for consumers who don’t mind driving the same car for more than five years or even until it is no longer suited for the road.
Being aware of the pros, cons, and overall benefits of leasing vs buying a vehicle is important. Be sure to acknowledge factors such as monthly payments, vehicle ownership, repair costs, and potential savings when weighing the pros and cons of the best new car, truck or SUV financing type for you.
When weighing the value of vehicle financing, new vehicle ownership absolutely comes with many advantages, most associated with complete ownership of the vehicle. You may not be aware, but, there are also some great upsides of leasing, as well. It’s essential to consider all financial aspects including depreciation, down payment, monthly payments, term length, buyout payments, interest rate, and maintenance & repair costs, before making a decision. A close study of your current financial situation, future needs, and your preference for commitment, will likely ensure that you make the perfect choice between leasing and buying a new car, truck, or SUV.
Car, truck, or SUV lease payments are often less expensive in comparison to auto loan and car financing payments as the normal lease layout is pretty much renting with the option to purchase near the end of your lease term. Keep in mind when leasing that you’ll need a good credit score, and will be required to carry comprehensive and collision insurance, although the same can be said for the lowest rate auto loans. Though it can likely increase your monthly payments, it’s also smart to get a model with the features you want or need, as personal satisfaction is often priceless.
Auto leasing often includes regular vehicle maintenance & repair. It’s important to remember this when calculating monthly costs of ownership vs leasing. Regardless of which make and model you select, mechanic bills are an uncertain cost that can quickly add up. And for those who are not certified mechanics with a full toolset and hydraulic jack in the garage, leasing can be the best option for peace of mind.
In general, a new car lease saves money in the short term with lower monthly payments, while buying earns you a long term investment, meaning full ownership of the value of the car at the time it is traded, sold, or paid-off. For best value on a lease, avoid lease return fees for going over mileage, terminating the vehicle lease early, or putting on excessive wear and tear. For maximum investment on a purchased/financed vehicle, you can pay it off in a shorter term and also avoid excessive wear and mileage.
Lease | Buy | |
New Vehicles | Available | Available |
Pre-Owned Vehicles | Not Available | Available |
Vehicle Customization | Not Available | Available |
Poor Credit Financing | Not Available | Available |
APR % | Credit-Based | Credit-Based |
Ownership | No Ownership | Pride of Ownership |
Down Payment | Smaller Down Payment | Larger Down Payment |
Monthly Payment | Smaller Monthly Payments | Larger Monthly Payments |
Savings/Investment | Short Term Savings | Long Term Investment |
Finance Term | Approx. 2-4 Years | Approx. 3-6 Years |
Maintenance & Repair Costs | Typically Included | Not Included |
BMW of Tulsa knows that choosing the right BMW car and financing option is never easy. Our team of experienced BMW lease and finance specialists are on hand to help you make the right choice. Visit us online, by phone, or in-person at our dealership location in Tulsa, OK. We look forward to serving you.
918-663-4444
Call Now9702 S Memorial Dr • Tulsa, OK 74133
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