Benefits of Leasing

There are several benefits of leasing that make it the most sensible option for many car buyers. Depending on your financial situation, the number of miles you drive each year (or, more specifically, how much you plan to drive over the course of your lease), and your preference to own or not, you can reap many benefits from leasing a car instead of purchasing.

Many people enjoy leasing because they are always driving a new low-miles car, and it’s a way to be able to drive a more expensive car than they could afford to purchase. It also lets you enjoy the nice feeling of driving something pristine, while keeping up with state-of-the-art automotive technology as well. If you do lease a car, it’s best to maintain that pristine condition the best you can so that the car keeps its value and you aren’t penalized for wear and tear at the end of the contract.

There’s also great peace of mind in driving a car that you don’t have to worry will break down or need costly repairs. Leasing is also an easier process; you can simply turn the car in at the end of the term and take on a new lease without the hassle of, for instance, selling the existing car in a third-party transaction or negotiating its value as a trade-in.

Leasing: Less Money Out of Pocket

Lease payments are usually quite a bit lower than the payments on a financed vehicle, meaning that your bank account retains more cash each month. This can really increase options for those without a lot of cash on hand. APRs are often lower as well, so you will save on interest. Another way you save money is on sales tax. When you buy a car, you pay sales tax on the entire purchase price, but when you lease you only pay tax on each monthly payment. In a similar way, the car’s depreciation is absorbed into the lease payments, whereas it dips immediately on a car that is bought.

A less common advantage of leasing is that a business owner who uses the leased vehicle for the business may be able to deduct a portion of the monthly payment. If this is your situation, ask a professional tax advisor for specifics.

Watch for Great Deals on Leasing

Dealerships often run excellent promotions on leases to move certain inventory, translating into big savings for you. The financing team at Balise Toyota would be pleased to answer your questions about the benefits of leasing vs. buying and help you decide whether it’s the right choice for you. Stop in anytime, or make an appointment to meet with a team member today.

 

View our special lease offers today!