Buy or Lease

More Likely to Buy

If you drive a lot – When you lease a car, you are typically capped at 15,000 miles a year. Additional mileage can cost you up to 35 cents per mile depending on the make and that can really add up.

If you like to personalize your car – this investment can be lost, or even cost you, on a leased car.

If you like the idea of ownership – you are less likely to be happy with the lease option as you don’t actually own the vehicle or have a title for it.

If you like paying your vehicle off – If you like the feeling of accomplishment that paying off a large purchase brings. When you lease a car, the payment ends only when you return the car.

If you don’t mind doing your own repairs – if you don’t mind doing your own car repairs, you probably don’t mind driving a car after the warranty expires either.

More Likely to Lease

If you don’t drive a lot – Lease arrangements usually involve a 15,000 miles-per-year cap, and may go all the way down to a 10,000-mile cap, and charge for extra miles. If you drive very little, you may be a good candidate for a lease.

If you like that new car smell – When you negotiate a 24 or 36-month lease, you can be sure you’ll always be driving a new vehicle.

If you like to stay under warranty – Although you need to maintain and repair your leased vehicle just as you would an owned vehicle because you typically lease for 2 to 3 years, the car is normally under warranty.

If you like lower monthly payments – If you don’t mind not owning the car, you are free to enjoy the benefits of leasing like low monthly payments and a low down payment.

If you’d like a more expensive vehicle – leasing provides a way to drive a nicer vehicle than might otherwise be within your budget.