Comscore Beacon

Leasing vs. Purchasing

To Buy Or To Lease?

Page 3 of 4


For someone who is financially stable, automotive-savvy, and ready for a long-term commitment, financing a vehicle is definitely the way to go. While purchasing a car means higher monthly payments, it also means that you are paying into a possible profit in the end. Just like buying a home, a car becomes an asset — something that can be used as leverage in later years. And, unlike a lease, a financed car really is your own and you have the freedom to do as you please — be it mechanical, aesthetic or the way you drive. While it’s not all puppy dogs and rosy skies, financing is just as beneficial as leasing, depending on the situation.


Make a profit
Financing a vehicle means you are looking to the future the moment you sign for your new car. You are already thinking ahead to the time when you can turn around and sell your vehicle for profit. Unlike selling a leased car for buy-back value and giving your winnings straight to the dealer, selling a financed car at the end of all payments (when you fully own the car) means you pocket the possible tens of thousands of dollars made from the sale. Provided the car is well-maintained throughout the ownership, a financed car should always be considered an asset.

Freedom to modify

The beauty of a financed car is the ability to change the vehicle without the worry of returning the car to a dealer with your invested parts. That means you can pour money into the car knowing that in the end you will potentially make that money back. On a purchased car, you can change anything from the stereo to the engine — it is, after all, your car. However, it is important to realize that changes such as those will often void any manufacturer’s warranty. If you are willing to spend the money on modifications to increase horsepower, styling and/or performance, chances are you know a thing or two about car repairs, so maintenance of the vehicle should be a breeze and marginally cheaper.

No commitment
Although you’re still purchasing your vehicle from a dealer, you are not in any way bound to them after you drive your car off their lot. The only commitment you have as a financer is to pay your monthlies on time. You can bring your car to any garage for maintenance, drive it however you please or rack up the mileage as high as you want and you won’t have to worry about the dealer’s consequences for breaking the rules. There are very few regulations when purchasing a car. You have agreed to make the car your own; it is essentially already yours, you’re just taking a bit longer to pay in full.

What are the downsides of buying?…

Show comments