A functional vehicle is an essential for most consumers. Having access to a car makes it easier to travel to and from work, social engagements, and other activities. You have the option of either buying or leasing a vehicle when you are ready to invest in a new car.
Buying can be the better choice, and here are some compelling reasons why.
1. Mileage Conditions
If you read the fine print on most lease agreements you will see that there are mileage restrictions that apply for the duration of your lease period. If you drive over the allowed number of miles, you will be required to pay a per mileage fee when you trade in your leased vehicle.
When you make the choice to buy your vehicle, you have the freedom to drive as far and as often as you want without worrying about costly mileage conditions.
2. Early Termination Penalties
Another reason why you should buy your next car instead of leasing it is the flexibility that buying provides. When you sign a lease agreement, you are locked into the lease terms for the duration of the contract.
If you want to get a different vehicle or you need to get rid of your vehicle because you are moving overseas, you could find yourself paying expensive early termination fees.
The penalties for getting out of your lease early can be quite costly, so you will have to struggle to find someone qualified to take over your lease if you want to avoid them. When you have purchased your vehicle, you have the option of selling the car at any time without penalty.
3. Wear and Tear Costs
It is normal for a vehicle to show some minor signs of wear after it has been driven for a few years. Leasing companies can have a very limited definition of normal wear and tear, and this limited scope could end up costing you when you return your leased vehicle.
If you don't want any surprise expenses when your lease period ends, you should opt to buy your car instead. You won't have to pay extravagant fees for normal wear if you have purchased the vehicle from a reputable dealer.
Determining if you should buy or lease your next car is a big decision. Buying can offer you the flexibility and affordability that you need to take control over your vehicle situations, no matter what circumstances may come your way in the future.