Buy vs Lease

Leasing a car is a very popular way to get into a new vehicle. The average person finances a car for more than six years, puts less than 20% down, and trades every three years. This leads to many customers being saddled with negative equity on a new loan and before they know what happens they are no longer able to trade without significant down payments. 

Benefits of Leasing

People have a lot of questions when it comes to purchasing a new car and many wonder whether they should buy or lease. Here are some benefits to leasing:

  • Know how often you replace your current car. Many times you can purchase more car for your money by leasing.
  • When you lease a car, you have the right to use it for an agreed number of months and miles.

How is leasing different than buying?

The monthly payments on a lease usually are lower than monthly finance payments if you bought the same car. You are paying to drive the car, not buy it. That means you're paying for the car's expected depreciation during the lease period, plus a rent charge, taxes, and fees. But at the end of a lease, you must return the car unless the lease agreement lets you buy it.

To figure out if leasing fits your situation:

  • Consider the beginning, middle and end of lease costs
  • Consider how long you may want to keep the car
  • Compare different lease offers and terms, including mileage limits

Think about how much you drive

The mileage limit in most standard leases is typically 15,000 or fewer per year. You can negotiate a higher mileage limit, but that normally increases the monthly payment, because the car depreciates more during the life of the lease. If you go beyond the mileage limit in the lease agreement, you probably will have to pay an additional charge when you return the car.

Consider all the lease terms

When you lease, you are responsible for excess wear and damage and any missing equipment. You also must service the car according to the manufacturer's recommendations and maintain insurance that meets the leasing company's standards. If you end the lease early, you often have to pay an early termination charge that could be substantial.

Might you move during the lease period?

Some leases may not let you move the car out of state or out of the country. Find out the rules for the deal you are considering.

Are you a service member who leased a car?

Federal law lets you terminate the lease with no early termination charges IF:

  • You leased before you went into military service and then went on active duty for at least 180 days
  • You leased a car during military service and then got a permanent change of duty station outside the continental U.S., or got deployment orders for at least 180 days.

Other fees may still apply, including those for excess wear, use, and mileage.

Hours

  • Monday 9:00AM - 6:00PM
  • Tuesday 9:00AM - 6:00PM
  • Wednesday 9:00AM - 6:00PM
  • Thursday 9:00AM - 6:00PM
  • Friday 9:00AM - 6:00PM
  • Saturday 9:00AM - 5:00PM
  • Sunday Closed
  1. Empire Littleton Nissan

    5067 S Wadsworth Blvd
    Littleton, CO 80123

    • Sales: 303-904-7700
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