Leasing is becoming an increasingly popular way for many motorists to attain a new vehicle. If you are looking to get a new car every few years and money is not a concern, leasing is not a bad option, especially if you use it for business. Often you can use it as a tax deduction. However, if you want to pay the very least for your vehicle and you are willing to keep your car for the long term, the evidence is pretty conclusive that buying a car is the far better option.
1) Cars Last Much Longer than the Average Lease Agreement
Unless you are planning on swapping out your vehicle well before it has hit its expiration date, buying a car is the more cost effective choice. So long as you are making payments on a car you have purchased, the vehicle is legally partially owned by the lender. Once you have it paid off, however, the car is yours and you don’t have to make any payments on it for so long as you own it. In many cases, a good car can last years past the point where you are finished making payments on it, meaning there is a long duration of time you do not have to pay a dime for your vehicle. If you choose to lease a car, there are no such periods where you do not have to make payments. So long as you plan on driving the vehicle for a while, buying is the more cost effective choice. Of course, you always have the choice of purchasing your leased vehicle, however at that point of course you have made the decision to buy and oftentimes you will have paid more for the car than if you had purchased it outright in the first place.
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