Should I buy or lease my next new Hyundai from Glenbrook Hyundai, the Happy Car Store in Fort Wayne, Indiana? This is a question that we get a lot from our new car customers in Fort Wayne. The answer….well that just kind of depends on each individual customer. Below I will list a few pros and cons of leasing a new car.
Leasing 101 – A few questions that you should ask yourself before buy or leasing a new vehicle.
1. How often do you get a new car? If you are the kind of person that buys a car every 2-4 years, leasing may be the best way to go. We all know that new cars depreciate. When leasing a car, there is a guaranteed future value. In other words, there is protection against a maximum amount of depreciation. If the car loses more money than the residual, you have the ability to walk away and save the difference. If the car holds a stronger resale value, you get to keep the money.
If you are the kind of person that buys a car and drives it until the wheels fall off…that doesn’t mean you shouldn’t lease. Leasing does save you money on taxes and interest. It could be more beneficial to lease the car and then weigh your options at the ind of the lease.
2. On a lease you only pay tax on the payment, not the entire price. This could save you hundreds of dollars over the term of the lease.
3. When leasing a new Hyundai, you pay less in interest. Leases us a money factor, not an interest rate…which is usually significantly lower than the standard APR on a loan.
4. Wouldn’t it be cheaper in the long run to have a vehicle that is always under factory warranty? With the 5 year / 60,000 mile bumper-to-warranty, when leasing you are always under warranty.
5. Wouldn’t you rather have more car for less money? When leasing a new Hyundai you normally would save $80-$100 on what a normal purchase payment would be. That being said, you could get that new Elantra with leather and navigation for the same payment as a base model would normally be.
6. When buying a new vehicle, wouldn’t you rather have options? Leasing isn’t like renting…it is just like a regular purchase with a few extra options. During the lease you could still purchase the vehicle outright, trade-in the vehicle or sell the car on your own. The extra bonus is, at the end, you have the ability to walk away from the car completely if the re-sale isn’t as strong as the bank forecasted.
7. Once I lease, am I stuck with Hyundai forever? Well, that’s a tricky question. From my experience, once you get in to a new Hyundai you will have troubles ever switching to another vehicle. As a matter of a fact, Hyundai lead all new car manufacturers last year on owner loyalty. As far as the lease, no you aren’t tied to Hyundai at all. You are able to trade the vehicle at any other dealership on any other make or model.
8. Do I pay more if I lease? No, as I stated before, leasing is just another finance option. The amount you pay for the vehicle does not change if you lease or purchase.
Glenbrook Hyundai, the Happy Car Store has 15 certified Hyundai salespeople that have experience working with customers to decide the best options on how to buy your new Hyundai. Let us help you see which option is the best for you.
Find us on Coldwater road, next to Red Lobster or always online at www.HappyCarStore.com