Buying vs Leasing
Buying vs Leasing
in Franktfort, KY
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| Buying | Leasing | |
|---|---|---|
| Money due at signing | Buying is more expensive in the short term. When you buy a car, you'll usually pay for at least a down payment, taxes, registration and other fees. | Leasing is the cheaper short term option. Usually you will be expected to pay for the first month's payment, a refundable security deposit, taxes, registration and other fees. |
| Personalization | Your vehicle is yours. You can modify or customize as you like, whether with bumper stickers, aftermarket parts, or anything you like. | The lessor will want the car returned in as close to new condition as possible, so you will need to remove any personalization before the end of your lease. |
| Monthly payments | Loan payments will be higher than lease payments, since you're paying off the entire price of the vehicle. | Lease payments will usually be lower than loan payments, because the bulk of what you are paying for is the depreciation of the vehicle. |
| When it's time to upgrade | In order to upgrade, you will either need to sell your car or trade it in, subject to the dealers valuation. | You can return the vehicle at end of your lease and upgrade to whatever model catches your eye. |
| End of term | At the end of the loan term, you will own your vehicle, and can choose to enjoy life debt-free, or leverage your equity into a new loan. | At the end of your lease, you'll usually have the option to pay for your vehicle outright. Otherwise, you will need to lease a new vehicle. |
| Long-term value | Everything depreciates over time, but you own the cash value of your car. | Depreciation doesn't hurt you, but you don't have any equity to leverage at the end of the day. |
Buying vs Leasing Guide at Neil Huffman Honda of Frankfort
When debating whether buying or leasing a new Honda car or SUV is right for you? Neil Huffman Honda of Frankfort is here to help. Whether you're someone who always wants the best, or you're looking for an investment for years to come, we have the Honda vehicles and financing options for you. Our signature 7 Day Like it or Exchange it Promise means you never have doubts when you drive off the lot. Call our financing experts or stop by for a test drive today!