Categories: Tips & Tricks

Is it better to buy or lease a car?

Pros and Cons of Leasing a Car vs Buying a Car

Are you interested in getting behind the wheel of a brand-new vehicle, but can’t decide between buying or leasing? Depending on your financial situation, credit standing, and driving habits, leasing could be the perfect option. To help you decide which route to take, we put together a helpful overview of the pros and cons of leasing a car vs buying a car. As always, contact the team at Mercedes-Benz of Arrowhead with questions or to learn more information about our leasing and purchasing options.

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Pros

Ultimate Peace of Mind | The greatest benefit of leasing is the worry-free driving experience, as all leased vehicles are brand-new and covered under the original manufacturer’s warranty for the duration of the lease. You get to drive the vehicle during its best performing years, and any issues that do come up will be fully covered.

Lower Monthly Payments | Since you’re only paying for the vehicle’s depreciation, your monthly payments are typically lower than they would be if you would have financed the same vehicle.

No Strings Attached | Leasing is truly the simplest way to get behind the wheel of a new vehicle. At the end of your lease term, you can simply hand over the keys and walk away. Some brands may have minor fees, including damage to the vehicle above normal wear and tear.

Cons

Mileage Restrictions | Most lease contracts limit you to 12,000-15,000 miles per year, which doesn’t work for all driving habits. If you typically put a lot of miles on your car, leasing might not be the best option. If you’re someone who doesn’t do much driving, a mileage limit will likely be no issue.

Customization Restrictions | Since you don’t own a leased vehicle, you’re not allowed to customize the vehicle with design elements or equipment upgrades. This can be a huge drawback for someone looking to personalize the vehicle with custom parts. Manufacturer accessories, however, can usually be added to your leased vehicle.

Lease Termination | Lease contracts typically last 36 months. If you must terminate the lease early for whatever reason, there are usually fines to pay.


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