Avoid Mistakes: Pros And Cons Of Leasing Versus Buying A Car

Cars are expensive, prices can be out of reach for many shoppers. Even with long-term auto loans, it can be tough to afford a new car. Fortunately, car leasing allows consumers to get behind the wheel of a new vehicle with a monthly payment that’s usually lower than it would be if you purchased it. Leasing a new vehicle every two or three years would be more expensive than buying one and keeping it after the final payment. Other consumers are quite content to lease a vehicle they could never afford to buy, even if it doesn't necessarily save them money.

In today's video, we'll be discussing one of the most difficult choices you'll ever have to make - whether to lease or buy a car. Many people are faced with this decision at some point in their lives, and it can be quite overwhelming. However, there's one common mistake that people make when deciding between leasing or buying a car that can end up costing them thousands of dollars.

Leasing a car can be a great option for those who want a new car every few years and don't want to deal with the hassle of selling or trading in their old car. However, if you're not careful, you could end up paying more for your leased car than you would have if you had just bought it outright. This is because many people fall into the trap of leasing a car they can't afford, or they get talked into expensive lease terms by pushy salespeople.

On the other hand, buying a car can be a great option for those who want to own their car outright and don't mind driving the same car for several years. However, if you're not careful, you could end up paying more in interest and depreciation than you would have if you had just leased. This is because cars depreciate rapidly in value, and if you're not careful, you could end up owing more on your car than it's worth.

So, what's the common mistake that people make when deciding between leasing and buying a car? It's failing to do the math. Before you make a decision, you need to sit down and crunch the numbers to see which option makes the most sense for your budget and lifestyle. We go over the pros and cons of leasing vs buying a car and giving you some tips to help you make the right decision.

If you're thinking about buying or leasing a car, make sure you watch this video before you make a decision. Don't make the common mistake that could end up costing you thousands of dollars.

00:00 Don't Make a Mistake: #Leasing vs #buying a #car
01:00 Pros of leasing a car
02:12 Cons to leasing a car
04:00 Pros of buying a car
05:52 Cons of buying a car
07:03 no easy answer
07:42 Comments and questions

⬇️. Check out our new podcast on all platforms:
with Lauren Fix, @KarlBrauer, and @JavierMota.

⬇️ Social media:
Truth Social ► @laurenfix

⬇️ Website: CAR COACH REPORTS - car reviews, expert advice, and Car Smarts:

⬇️. See more Car Coach Reports

SUPPORT INDEPENDENT CREATORS
The Fix Family has taken generations of passion, pride & automotive expertise to create unique auto products & books that will keep you, your family & cars safer and running better for years to come.

Music by subscription: Epidemic Sound
©Automotive Aspects, Inc., 2023. All Rights Reserved.

#news, car prices, used car market, used car prices

[lawdog]

Love your channel but I disagree with your equity argument. Last year my lease was up on my 2019 Honda Civic SI, because of the crazy used car market I had $8, 000 positive equity situation, I sold my Civic back to the dealer and walked away with a $8, 000 check. The other positive is you can never be upside down, just walk away. There are pluses and minuses to leasing vs buying it depends on what works for you, thanks

[hphillips]

Good advice.
I just noticed your subscribers have tripled since I subscribed

[andrewshenton]

There are things also like where you live weather wise, keeping a vehicle 7 or 8 years isn’t a good idea in vermont, so iff you change it out every few years you always have a payment anyway

[Rbispott]

😊 very straightforward and balanced advice

[Kevin-mkjo]

Don't buy.... leasing is nothing but a rental with limited miles.... crash the market by not buying and let them drown in inventory. The dummies already bought cars... let's keep this budlight going against dealers... and let's go brandon!

[jtjt]

I disagree I traded in my lease & got equity out of the vehicle $8000 towards my new vehicle

[andrewshenton]

I have always been told that the money factor or interest rate isn’t what it seems it can usually run in the teens, I haven’t found a good explanation for this, this also came from Dave Ramsey so take that for what its worth

[neofx]

Leasing is ideal if you use your vehicle for work such as uber, Lyft, deliveries, etc.. you can use your vehicle usage as a tax write off. Plus as mentioned in the video you have the benefits of warranty. Buying is more ideal for personal use.

[justSTUMBLEDupon]

Cars are money pits. Some more than others, but almost all are money pits. And with prices still high and going up this summer, leasing might be better. I drive minimum 4200 a year. Barely break 8000 a year.

I noticed they changed leasing agreements. Instead of 2 or 3 years, now it’s 4.

[matthewgraham]

Coach, I would get the what kind of car should I buy question all the time in my shops. I would answer with a car is an appliance, act like your buying a washing machine. I would recommend leasing if they wanted a Land Rover of any model along with certain other European makes because you will have a way to get rid of it. Most people don't buy a Land Rover or others twice. I can't think of any mechanics that worked for me that ever bought a new car for the obvious reason and they could afford to.

[peeweeacres]

My dad always said other than a house is you can't pay cash you don't need it!

[justSTUMBLEDupon]

Question: can the lease agreement have a clause to purchase after lease? Do you specifically have to ask for that? Does it raise the monthly price?

[JENNIFERGOTTI]

Hello Coach, just a question. You advertise a repair shop on Eggert Road. Can never seem to catch the name. Can you either provide the numerical address or anything else so I can find it. Thank you.

[bobdavis]

85th Thumbs up! Great advice, but I buy.

[jrs]

It's affordable if mom pays for it, instead of you. so Lauren, how about that Ferrari i asked about ....😳🤑💰🤭🤣🤣🤣🤣