Should I Buy or Lease?

Man and Woman Signing Contract
One of the most common questions we get at Pappas Toyota is “Should I buy or lease my next vehicle?” The answer is very personal, and both choices have plenty of benefits for St Louis drivers. So in this guide, we’ll walk you through the main differences between leasing vs. buying to help you determine your ideal solution. Take a look, and stop by our finance center for personalized recommendations.

Why Should I Lease a Car?

Leasing a vehicle is a shorter term agreement for a predetermined length of time. You put down a small down payment and smaller monthly payments when compared to a traditional loan, and most leases only last around two years. After your contract is over, you simply turn in your keys or you have the option to buy your car instead. Here are some of the top reasons leasing could be your perfect solution:

  • Lower Payments: While this depends on your vehicle and terms, leasing is generally the less expensive option for O'Fallon drivers on a budget.
  • Lower Sales Tax: You may only pay sales tax on the down payment and monthly fees, which could drop your sales tax tremendously.
  • End of Lease: No need to worry about resale value and finding a buyer. Just turn your keys into the dealership at the end of your lease period.
  • Warranty: The average length of a warranty is the same as the average length of a lease, so you have excellent coverage.
  • Options: Want to experience the latest technology and features? Leasing allows you to upgrade more frequently.

Why Should I Buy a Car?

So between leasing vs. buying, why choose to buy instead? Financing is the more common option, and it offers a lot of benefits. If you want to keep your car for a long time, buying a car is a fantastic choice for the following reasons:

  • No Mileage Restrictions: You won’t worry about lease restrictions or mileage restrictions, so you can take the scenic routes in O'Fallon.
  • Total Ownership: Once you’ve paid off your loan, the vehicle is yours to modify and change as much as you’d like.
  • Customization: There are no restrictions on cosmetic changes, so you have greater customization options on a financed car.
  • Ability to Sell: You can feel free to sell your car to the buyer of your choice for the price of your choice.
  • Financing Options: Between leasing vs. buying, financing is sometimes the more straightforward. Plus, you can refinance down the line to lower payments.
  • Cheaper Over Time: The longer you own your vehicle, the less expensive it will be – and offers and incentives can help bring down costs upfront.

Learn More with Pappas Toyota

Should I buy or lease? The choice is ultimately up to you, but we’re here to help at Pappas Toyota. Contact us at Pappas Toyota to learn more about leasing vs. buying, what’s considered good mileage on a used car, and our finance experts can run through the pros and cons for your unique needs.

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