Should I Buy Or Lease A Car?

Are you in the market for a new ride? Finding a new Hyundai you love is easy, especially when you consult the extensive inventory at Stevens Creek Hyundai. For many drivers in Santa Clara, choosing their vehicle is the simple part. Deciding between leasing vs. financing a car, however, can be more difficult. Not to worry, as our team is here to help! Learn more about both options below to help determine whether you should buy or lease a car.

Leasing Vs. Financing A Car

So, should you buy or lease a car? Leasing a car near Sunnyvale is similar to renting a car for a long-term contract period. During this contract, you’ll be locked into monthly payments for a specific amount of time. You won’t build equity as you would if you bought the vehicle outright. You’ll be paying for the ability to use a car for a specific set of months and the mileage agreed upon between you and the dealership. When the car lease is up, you can trade your vehicle in and replace one leased vehicle with a new one, buy the vehicle, or end your lease.

Compare Leasing And Buying A Car: Pros

Pros Of Leasing:

• Lower Monthly Payments: You’ll have smaller payments in general when you decide to lease a car in Santa Clara.
• Worry-Free Maintenance: Many vehicles will come with a three-year lease. As a result, most repairs will be covered within the terms of an existing lease.
• No Worries About Resale: When you’re leasing, you’ll just return the car. If you do exceed the agreed mileage or there’s some wear and tear, you might have some fees to pay.
• Get A New Car Every Few Years: You can return your car every couple of years, so you’ll get the latest vehicles and newest tech more often.

Pros Of Buying:

• Ownership: Once you finish your monthly payments, you will own the car outright. If you want to sell or trade it in, you can do so.
• Customize Your Vehicles: Leases have rules regarding what can be done with your Hyundai vehicle in Santa Clara. When you own the car, you won’t have to deal with that.
• No Restrictions: Never worry about mileage rules, wear and tear, and other issues. Repairs and other services are entirely at your discretion.

Compare Leasing And Buying A Car: Cons

Possible Cons Of Leasing:

• Mileage Requirements: If you exceed the agreed-upon mileage, you’ll end up paying some fees.
• Constant Monthly Payments: You will have to maintain those monthly payments to keep your car, and that’s going to be a constant during the time of the lease.

Possible Cons Of Buying:

• Higher Monthly Payments: Leasing a car means lower monthly payments for the same vehicle you might consider buying.
• Rapid Depreciation: New cars can lose between 15% and 50% of their total value in the first five years.
• Larger Down Payment: If you’re trying to get approved for a loan, you’ll have to consider making a larger down payment to do so. Leasing your vehicle will mean less chance of this occurring. 

Find Your Next New Vehicle Near Mountain View

Whether you intend to lease or buy your next vehicle, trading in your current ride can help make your upgrade more affordable. Value your trade online to get started, then head to Stevens Creek Hyundai for the next steps! We offer straightforward leasing and financing options for drivers in the Santa Clara area.