5 Reasons Why Car Leasing is Better than Buying a New Car

The following is a guest post

Buying a brand-new car and getting a car lease are two totally different things, and both have their own pros and cons. There are a lot of things to consider, depending on your needs and wants. It’s a tough call, and you definitely want to make sure that you will make the right choice.

Car leasing has always been a popular choice for people who wants a car that they can use for a certain amount of time. This is for the people who doesn’t want a huge responsibility on their shoulders. Leasing was believed to be meant for corporate customers, but that was way back. Now, almost every car company offers car leasing to students and families.

Below are some of the reasons why car leasing can be a better choice than going all out and buying a new car.

Lower Monthly Payments

You only have to pay around 30 to 60 percent of your lease payment monthly, since you won’t be owning the car eventually. This means that you only have to pay for a portion of the car’s value, which would be helpful if you want to save money and not worry about owner equity every month.

Maintenance-Free

Most car leasing companies provide cars that are still under warranty. This means that the person leasing doesn’t have to think about expensive maintenance costs, and can count on the warranty if ever something goes wrong. Other car companies also offer routine scheduled maintenance for the whole lease, which is often free.

You get a Brand-New Car

Car leasing companies usually provide new cars to their customers. Buying used cars often mean headaches and problems for the buyer or user. Leased cars are often free of maintenance problems, which can be a huge time and money saver. Leasing is super simple – you just have to pick up the car, pay for it monthly (or weekly, depending on your terms), use it for your whole term until it ends, and return it right back to the company after the contract’s done. You have the option to buy or trade it, too.

Option to Change Cars

Since car lease usually lasts for just two to four years, you can change your car unit often. If you are the type who gets tired of their car easily, then car leasing would be perfect for you. You can always trade your current car for a new one whenever you desire, plus, you have the freedom to choose which car you desire.

Little to No Down Payment

Most car leasing companies usually do not ask for little to no down payment. This means you can save your money for your monthly lease, or for other things such as your utility bills.

Leasing a car doesn’t always have to be negative. As we have discussed, there are definitely positive points to consider when leasing a new car. Go on and get yours today! Good luck!

4 thoughts on “5 Reasons Why Car Leasing is Better than Buying a New Car

  1. Boyd says:

    Even better, buy a 2 year old car. About 40-45% of the price depreciation will have occurred. Lower price means paid for sooner and you can actually “own” something, not just share it with the bank or other lender. Get out of the never ending whirlpool of payments, and have more money to invest, travel, give to charity, or whatever blows your dress up.
    One decision. Who is going to have control in your life, you or financial institutions?

  2. I have never leased a car myself but the idea of leasing always comes to my mind. Leasing a car is probably better if you are a business owner and uses the car for your business. My newest car was purchased pre-owned. It was a two-year-old car at the time of purchased and was also the most expensive car I ever bought. Love it and will most likely go for a pre-owned vehicle again for my next purchase.

  3. Thanks for providing this write up – I’ve often thought of leasing a car too. I run my own business and although the cash flow doesn’t currently support leasing a car, it’s something I’d consider. If you’re happy owning a used model, 5-10 years old, there seems few reasons to spend a large sum of money on a car, even over the course of a lease. I figure as long as the car has good safety features (air bags, ABS being the essentials) and decent comfort, it will do. I own a 2007 alfa romeo, it’s sexy as, reliable, has tons of comforts and 5 star ANCAP safety – I paid less than $15,000AUD for it two years ago. Brand new, it would have cost me $64,000!

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