Finance vs. lease:
the pros & cons
Each individual's financial situation and objectives are different, so it's essential to weigh all options while choosing between financing and leasing. Our experts provide tailored advice to you make an educated choice. Whether you are seeking a budget-friendly monthly payment, greater flexibility, or a long-term ownership arrangement, we are dedicated to guiding you through the process and finding the best options for your needs.
Pros of buying
- You own the vehicle
- Drive as many kilometers as you want each year
- You are free of payments when your loan is paid off
- Add accessories, such as a trunk protector or roof rack
Cons of buying
- Most cars depreciate in value as time passes
- You will need to pay for servicing and repairs when your warranty expires
- Repair costs may increase as your car ages
- When it’s time to get a new car, you'll need to sell your existing vehicle or trade it in
Pros of leasing
- At times, leasing payments are lower than finance payments
- You get a new vehicle every two or three years and experience the latest features
- If you intend to move or travel at the end of a lease? You won’t have a car to sell
- You don't own a vehicle that depreciates over time.
Cons of leasing
- Keep the vehicle in above average condition to avoid extra changes at the end of the lease
- There will be a limit on the annual number of kilometers you can drive each year
- If you always lease, you monthly payments continue for a long time
- If you can’t afford to keep the lease car, you could face expensive penalties.
Here are some of the things that can influence your monthly payments, including:
- Lease charges
- The value of the vehicle
- Any down payment you make
- Interest rates
- Taxes and fees
- The expected depreciation of the vehicle
Both financing and leasing have their benefits. Whatever option you choose, our professional finance managers will go through all the details and answer any questions regarding warranties and other financing options to protect your investment. We look forward to meeting with you soon to discuss your needs and options!