The car, the car, the car. Can’t live without one.So much goes into a decision to buy a car, and so few options seem to be available for the economical buy.
The average price of a new car in 2019 was $34,217. Who is buying a car?
It’s frustrating, but if you can come to appreciate getting in the door with a new car, you become part of the car buyers market and really, it’s as exclusive as owning a home.
Should I buy or lease? It really depends on what’s important to you.
A lot of negative things have been said about leasing, but here are some things to consider:
> You usually can get a lower, or the lowest possible monthly payment and get in to a new car with a lease.
> Your maintenance is scheduled, and should be followed, and with that a solid report on you keeping
the car maintained when you either turn it in or buy it. I consider this a positive over financing because you are required to maintain according to a certain schedule and if you buy it at the end of the lease, this scheduled maintenance helps the life of the vehicle.
> Some monthly statements for leasing actually say “rent” when the bill arrives on a monthly basis. It might help your psyche to understand that is what you are doing over the course of the 2-3 years you have it.
> How do I resolve the money I put down to get in to the lease? That can be a hard one and goes back to the fact you’re getting in to a new car, while not owned (you don’t own it when you finance it either, remember, the bank own’s it), you go in to the driver’s seat of a new car with that upfront down payment.
> You are restricted to mileage. During this time of the plague (virus), that’s not presently much of an issue for anyone. Make sure you are ABSOLUTELY comfortable with your annual mileage choice, because you will pay per mile after that.
> You need insurance for a lease just like a financed purchase. You will be required to be a certain limits such that it is a lease, but there is comfort in knowing you’re covered.
> Turning it in. You have to plan for “wear and tear costs” to turn it in.
But before you are so eager to get out of it and into something new, you might consider buying it. The great thing about buying a car you’ve leased the past 2-3 years is you know the car, and you know the person who has owned this now used car…LOL…you.
Who can buy a used car and know how the car was treated the minute it was driven off the lot until the present? Buying the car you had been leasing gives you that insight.
Leasing is a managing process while you are in it because it is essentially a long-term rental, with the option to buy at the end of the lease, or turning it back in to the lessee (dealership).
Financing a car is a ‘free will’ approach to having a car. Once you finance it, you just need to carry the right amount of insurance, make your payment and maintain it.