Take Our "Should I Lease Or Buy A Car" Quiz
Since you were young, buying a car has been presented as a crucial step for getting where you want to go, which might be why you are only now debating the concept of leasing vs. buying a car. What the former involves might also be a little vaguer in your mind. It might help if you think of it as renting the vehicle. The pros and cons of this route depend on your unique situation. To figure out whether to lease vs. buy a car, read on and take our helpful quiz.
You're more likely to buy
- 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. And that can really add up.
- If you like to personalize a car, this investment can be lost on a leased car.
- If you like the idea of ownership, you are less likely to be happy with the lease option.
- If you like the feeling of accomplishment that paying off a large purchase brings and should consider that when you lease a car, the payment ends only when you return the car.
- If the car you presently own is over 3 years old you are more likely a buyer. While not always true, you can usually drive for less if you're willing to buy and drive for at least 3 years.
- If you don't mind doing your own car repairs, you probably don't mind driving a car after the warranty expires.
You're more likely to lease
- Lease arrangements usually involve a 15,000 miles-per-year cap and charge for extra miles. If you drive very little, you may be a candidate for a luxury lease.
- When you negotiate a 24 or 36-month lease, you can be sure you'll always be driving a new vehicle.
- 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.
- Many people prefer to drive a vehicle that is priced above their means and leasing provides the solution.
- 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 own the company, and you use your car for business, check with your tax advisor. You may be able to deduct your auto expenses, including your monthly lease payment. And if the company you work for gives you a monthly car allowance, you may want to lease since you'll be able to drive a nicer car for a lower monthly payment.
What Are the Differences Between Buying Vs. Leasing a Car?
When you buy a vehicle, you usually pay a down payment and then a monthly financing fee until the remainder of the vehicle's value is paid off. When you lease, this process is similar, except the money you spend doesn't go toward building equity in the vehicle but rather paying for the temporary use of the car.
At the time of signing a lease, you and one of our sales advisers will agree to terms that match your personal situation. For example, leases often go on for 24 or 36 months. At the end of the designated period, leasers return their vehicles to our lot and have the freedom to explore other opportunities, whether that be a new lease of a similar vehicle, a lease of a completely different vehicle, or buying a car of their own.
Benefits of Leasing a Car vs. Buying
Many people have reasons to prefer leasing. Because they are "renting" a car, their monthly payments are usually more competitive than they would be buying the same new vehicle. In a similar vein, people may like this option over buying a used vehicle because it gets them behind the wheel of a new-model car, with its new-car smell and modern features. Because you don't keep the car into its old age, you also typically don't have to worry about taking it in for serious repairs, as well.
Leasing can also be a great means of experimenting with a certain type of vehicle. For example, maybe you've been intrigued by hybrid or electric cars but don't necessarily want to commit to owning one. With a lease, you can see what it's like to charge a car in exchange for lower fuel costs before buying your own.
That being said, there are an equal number of reasons why individuals and families like to buy a vehicle instead. The monthly payments they make toward their auto loan are investing in themselves and their equity.
There are fewer limits involved. When you lease, there is usually an annual mileage cap, such as 12,000 or 15,000 miles. Going over this amount results in fees. When you buy a car near Miami, FL, it's yours to do with what you wish. While leasing offers future flexibility, there is also nothing stopping you from selling the vehicle you buy a few years down the road if you think another type of car would suit you better, and used vehicles are retaining their value especially well in South Florida in recent years.
Should I Buy or Lease a Car?
Whether you should buy or lease a car ultimately depends on your driving style, family, commute, and preferences. Take our quiz to see which option might make more sense for your situation. You can also talk to our team in Fort Lauderdale, FL. We will help you explore our new Kia inventory and give you a quote on how much it would cost to finance your new car to provide you with further clarity on the subject.
Warranties include 10-year/100,000-mile powertrain and 5-year/60,000-mile basic. All warranties and roadside assistance are limited. See retailer for warranty details.