Buy vs. Lease

At Burien Toyota, we're committed to helping you make the best choices when choosing your next vehicle, this includes helping you make the choice between buying it or leasing it. Understanding the differences between buying and leasing is crucial in making an informed decision that aligns with both your lifestyle goals and financial goals. We have created a comprehensive guide to assist you in understanding the differences between buying and leasing, as well as the pros and cons of both.

What is Buying?

Buying a vehicle means you pay for the full price of the car, either upfront or through financing in the form of an auto loan. Once you've paid off the car loan, the vehicle belongs to you indefinitely. Buying is ideal for those who look for long-term value and freedom from mileage limitations.

What is Leasing?

Leasing a vehicle is essentially renting a vehicle; you pay to use the car for a predetermined period, typically 2-4 years. When this lease term ends, you can choose to either return the vehicle, purchase it, or start a new lease. Leasing suits those who desire lower monthly payments and the flexibility to drive newer models more frequently.

The Pros and Cons of Buying

Pros:

• Ownership: You own the vehicle and can keep it for as long as you wish.
• No Mileage Limits: Drive your vehicle without worrying about exceeding any annual mileage caps.
• Customization: You have the freedom to modify or customize your vehicle as you see fit.

Cons:

• Higher Monthly Payments: Typically, loan payments are higher than lease payments.
• Depreciation: The vehicle’s value decreases over time; this will impact resale value.
• Maintenance Costs: As the vehicle ages and the warranty expires, maintenance and repair costs can increase.

The Pros and Cons of Leasing

Pros:

• Lower Monthly Payments: Leasing a vehicle n often requires lower monthly payments than buying.
• Newer Models: you can easily upgrade to a newer model at the end of each lease term.
• Covered Repairs: Most repairs are covered under the factory warranty during the lease period.

Cons:

• No Ownership: You don't own the vehicle and must return it when the lease ends, if you don’t choose to buy it.
• Mileage Restrictions: Leases come with mileage limits, typically 10,000 – 15, 000 miles per year, and exceeding them will incur fees.
• Wear and Tear Charges: You may face fees for excessive wear or damage at the lease's end.

Buying vs Leasing: What’s Best for You?

Consider buying if you:

• Prefer ownership and the freedom to drive without restrictions.
• Plan to keep your vehicle for many years.
• Don’t mind higher monthly payments for eventual ownership.

Consider leasing if you:

• Enjoy driving a new model of car every few years.
• Prefer or are only able to make lower monthly payments.
• Want to avoid the hassle of selling or trading in your vehicle.

The decision to buy or lease depends on your personal and financial preferences. At Burien Toyota in Burien, Washington, our dedicated team is here to help you explore your options, whether you're leaning towards buying or leasing. Visit us to discuss your needs and let us assist you in finding the perfect financing solution for your dream Toyota.