Lease vs. Loan in Williamsville, NY

Should You Buy or Lease a New Hyundai in Williamsville?

 

As someone who is shopping for a new vehicle, you have the option to purchase the vehicle as your own. You also have the option to sign a Hyundai lease agreement with our dealership. This lease agreement will detail things like your monthly payment amount, how long you will have the vehicle for, the mileage you must adhere to, etc.

 

Many consumers find it difficult to choose between these two options. Buying often results in a larger monthly payment. However, at the end of the loan you will own that vehicle. Leasing has lower payments, but you never officially own your own ride. If you're having trouble deciding between these two options, let's take a closer look at the pros and cons of both.

 

Interest Rate

 

When you are negotiating both a purchase or a lease, our dealership will present you with the current interest rates that you will be agreeing to. The interest rate you sign on with will help determine what your monthly payment is going to be over the next few years.

 

Because our dealership is only providing you with a specific vehicle for two or three years when leasing, it is likely that you will get a much better interest rate than if you were buying. This lowers your monthly payment in many cases.

 

The downside to this reflects a consumer's desire for owning their own vehicle when payments are done. If you can negotiate the interest rate to be almost as low or lower than a lease, you might be better of choosing to buy a new Hyundai vehicle near Buffalo.

 

Having to Adhere to Mileage

 

When you own your vehicle, you don't have to worry about the amount of mileage that you are putting onto your vehicle. You can take your vehicle across the entire country if you would like. A lease agreement will require you to stay within a certain amount of mileage. If you go over, you will be required to pay for that mileage. When you buy your own car, you don't have to worry about mileage restrictions.

 

Down Payment

 

A lot of people lack a substantial down payment. That really affects the type of vehicle that you can purchase. When you're leasing a vehicle, you'll usually just agree to pay the first month of the lease up front. This allows you to pick out the new Hyundai vehicle of your choosing, without needing thousands of dollars saved away for a down payment. Many people are in this situation if you didn't think you would be needing a new vehicle in the near future.

 

Re-Selling or Trading in Your Vehicle

 

When it comes time to buy a new vehicle near Cheektowaga and you owned your previous vehicle, you have to think about whether you want to sell your vehicle to someone, or you want to trade it in. There will be a value that your vehicle is worth depending on its age and quality. If you have owned the vehicle for many years, it has a lot of miles on it, and your vehicle has seen some minor damage along the way, then you might not be getting a lot of money for your sale or trade. Leasing requires you to bring your vehicle back in, end the lease agreement and decide where you will go from there. You don't receive any kind of money back towards a new vehicle. You can sign a new lease agreement, you can purchase a new vehicle, or you can walk away.<,/p> 

There are benefits of purchasing a vehicle outright, but there are also a number of benefits that come along with leasing. If you are someone that loves having a new vehicle at all times that doesn't require a lot of maintenance or service, then a leased vehicle might be the best option for you. Owning a vehicle is a great investment as well. You have something to show for all of your monthly payments.

 

Visit our Hyundai dealership, serving West Seneca and Kenmore, for more information on both of these finance options.

Contact

Transitowne Hyundai

7420 Transit Road
Directions Williamsville, NY 14221

  • Sales: (716) 634-3000
  • Service: (716) 634-3000