Buying vs. Leasing a New Chevrolet Vehicle

If you’ve been thinking about getting behind the wheel of a new or previously-owned Chevy, you have an important decision to make – should you buy or should you lease?
Sometimes, this can feel like a tough call. The decision often comes down to your financial situation, personal circumstances, and how you plan to use the vehicle. Before you decide which road to take, consider these important points. 
Buying a Vehicle: The Basics
When you buy a vehicle, you’ll either pay the entire cost upfront or take out a loan and make monthly payments. Once the vehicle is paid for in full, you’ll own it outright and will receive the title.

Advantages of Buying

Many people prefer to buy their vehicles because it gives them more control. You can choose whether to pay cash or finance your purchase and you have the option to keep it for as long as you want. When you’re ready for a different vehicle, you can sell or trade it in, or if it’s paid in full, you could even give it away to a friend or family member.
There are no restrictions regarding how much mileage or wear-and-tear you can put on a vehicle you’ve purchased. You can maintain it and make repairs on your schedule with no concerns about penalties. You’re also free to make modifications to the vehicle as you see fit.
If you finance, you’ll have the potential to build equity in the vehicle as you make your payments. Buying also allows you to avoid some of the fees that are associated with a lease.
For those who use their vehicles for business purposes, there’s also a potential to take tax deductions for some costs and depreciation.

Potential Disadvantages

Buying a vehicle usually requires you to make a higher down payment and pay higher monthly loan payments when compared to leasing the same vehicle. Depreciation can also cause new vehicles to lose as much as 15% to 25% of their value in the first five years. This can be a disadvantage for those who consider their cars an investment, but if you’re planning to keep your car for years, it likely won’t have much of an impact.
Consider Buying Your Vehicle If…

• You plan to keep your vehicle for a long period of time.
• You want full control of your vehicle.
• You don’t want to deal with mileage restrictions.
• You’re likely to put wear and tear on your vehicle.
• You want to avoid leasing fees.

Leasing a Vehicle: The Basics

When you lease a vehicle, you basically rent it for a specific period of time. Many leases last for 24 or 36 months, however, it is possible to find longer lease contracts. Leases typically come with additional fees and some may require you to make a down payment.  
Once your lease period ends, you’ll have the option to either purchase the vehicle at a predetermined price or return it to the dealer.

Advantages of Leasing

When you lease a vehicle, both your down payment and monthly payment are typically much lower than an auto loan. This could allow you to get a luxury or premium vehicle at a much more affordable cost.
Many people also appreciate being able to get a new car every few years, allowing them to enjoy the latest technological advances. Leased vehicles are also typically under warranty, which can save you a lot of money on repairs.

Potential Disadvantages

Unlike buying, when you lease, you won’t have an opportunity to build equity in the vehicle. Leases typically have mileage restrictions and penalties for excessive wear and tear. You also can’t make any modifications to the vehicle, and you’re required to keep up with repairs and maintenance in a timely manner.
Once your lease is up, you’ll need to purchase the vehicle or turn it in. If you don’t plan ahead, this could put you in a difficult predicament.
Consider Leasing Your Vehicle If:

• You want to make lower monthly payments.
• You want to upgrade your vehicle every few years.
• You’re not concerned about building equity.
• You tend to take good care of your vehicle and don’t drive a lot of miles.

Buying or Leasing – Miracle Chevy is Here for You!

Overall, buying a car and keeping it for as long as possible is typically the most cost-effective option. However, depending on your circumstances, you may decide that a lease is a better option for you.
Whichever option you choose, Miracle Chevrolet of Morgantown is here for you. If you decide to buy, our financing team will assist you with your application and help you get the best possible rate on a new vehicle. We also have some excellent leasing options for you to explore. Stop by our showroom soon and speak to a member of our team to learn more.