New Car Lease vs Buy
Why Should You Lease a New Car?
If you want to drive newer, safer, more reliable cars, not pay a sizable down payment every 3-4 years, and also do not travel an exorbitant amount of miles annually, then a new car lease should be best for you. Leasing is ideal for people who prefer to escape the annoyance of selling and buying each time they want to upgrade to a new car or truck.
Why Buy a New Car?
Conversely, if you prefer long term automotive relationships with a greater sense of ownership and commitment, then buying may be what’s best for you. Car-buying is typically best for people who do not mind driving the same vehicle for more than five years or even until the vehicle is no longer suited for the highway.
Buying vs Leasing: Which Is Right for You?
Knowing the pros, cons, and overall benefits of buying vs leasing a car is important. Be sure to look at repair costs, vehicle ownership, monthly payments, and potential savings when considering the best new car financing type for you.
Buying: Ownership vs Leasing
When weighing the value of vehicle financing, new car, truck, or SUV ownership certainly comes with many advantages, most associated with absolute ownership of the vehicle. You may not be aware, however, there are also a few nice advantages to leasing, as well. It’s important to consider all financial aspects including buyout payments, down payment, monthly payments, term length, interest rate, depreciation, and maintenance & repair costs, before making a decision. A meticulous 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.
Vehicle lease payments are often less expensive in comparison to auto loan and car financing payments as the typical lease layout is pretty much renting with the option to purchase at the final payment of your lease term. Just consider when leasing that you’ll need a higher credit score, and will be asked to carry comprehensive and collision insurance, although the same can be said for the lowest rate auto loans. Though it can add to your monthly payments, it is also wise to get a model with the features you need or want, as personal satisfaction is often priceless.
Maintenance & Repair
Auto leases often include regular vehicle maintenance & repair. It’s important to keep this in mind when calculating monthly costs of leasing vs ownership. Regardless of which make and model you choose, mechanic bills are an unknown cost that can quickly add up. And for those of us who are not certified auto mechanics with a full toolset and hydraulic jack in the garage, leasing may be the best option for peace of mind.
Savings vs Investment
In general, a new vehicle lease saves money in the short term with more affordable monthly payments, while buying gets you a long term investment, meaning outright 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 the best investment on a financed/purchased vehicle, you can pay it off in a shorter term and also avoid excessive wear and mileage.
|Ownership||No Ownership||Pride of Ownership|
|Down Payment||Smaller Down Payment||Larger Down Payment|
|Monthly Payment||Smaller Monthly Payments||Larger Monthly Payments|
|Maintenance & Repair Costs||Typically Included||Not Included|
|Savings/Investment||Short Term Savings||Long Term Investment|
|Finance Term||Approx. 2-4 Years||Approx. 3-6 Years|
|Pre-Owned Vehicles||Not Available||Available|
|Vehicle Customization||Not Available||Available|
|Poor Credit Financing||Not Available||Available|
Honda Lease and Finance Offers In Oklahoma City OK
Bob Howard Honda knows that choosing the right Honda car and financing option is never easy. Our team of experienced Honda lease and finance specialist are on hand to help you make the right choice. Visit us online, by phone, or in-person at our dealership location in Oklahoma City, OK. We look forward to serving you.
Brought my car in for a repair of my sun roof that was not opening or closing. They had it fixed the next day since a motor replacement was required. Fast turn around and the service account manager kept me informed the whole way.
Customer: Pat M
Very smooth and quick process. The employees were very respectful and helpful with everything.
Customer: amber nivin
Great service. Clean and friendly environment. My vehicle service was done in the time that was provided. Thanks.
Customer: Deionne Johnson
Gino was great and very professional. Car was ready sooner than expected. Was able to make appointment convenient for me. Would definitely recommend Bob Howard Service
Customer: Linda Robertson
The entire purchasing process was streamlined and efficient. Appreciate being able to negotiate the price online before coming in to purchase--there were no surprises. Sales representative Ronnie Poulson was great at explaining the car's features and helping me become familiar with them before I drove the car home.
Customer: Debby Yarbrough