Buy vs. Lease

Toyota Dealer in St Louis MOThe decision to lease a vehicle is not one to be taken lightly due to the different factors related to leasing.  When an individual decides to lease, they first need to remember that a lease is kind-of like a long term rental agreement.  This means that you will make a certain monthly payment, for a predetermined number of months, with the intention of returning the vehicle at the end.  As the lessee, or the person who has leased the vehicle, you need to remember that you will have no right to any equity that the vehicle may have at the end of the lease term, it is simply returned to the dealer.
Basic Facts Related to Leasing

• A leased vehicle’s purchase price can be negotiated just as you may negotiate the price of a car you intent to purchase.
• The cap cost, or total price of the vehicle, will determine your lease payment.  Your final payment is calculated using a percentage of that value and the term of the lease.
• A leased vehicle’s monthly payment is almost always lower than that of one you would purchase.
• Lease terms are predetermined and are usually 12, 24, or 36 months.
• The lessee will have a certain number of miles that they may drive the vehicle during the time of the lease.  If the lessee goes over that amount, a per-mile charge will apply.
• Although normal wear and tear are accounted for, any excessive wear or damage to the vehicle will end up costing the lessee in the end.
• A lease contract is difficult and expensive to get out of.  Never sign a lease when you are uncertain about your financial future.

The bottom line is that a lease is a great option if you need a new vehicle at a lower price and can abide by all the terms set forth by the contract.  If you are rough on vehicles or drive a lot of miles, the process is most likely not for you.  Be sure to visit Weiss the next time you are in the market for a new Toyota car near Herculaneum.  Weiss has the best finance team in town and they would be happy to answer all your questions regarding purchasing versus leasing your next Toyota.

Location: 11771 Tesson Ferry Road, Saint Louis, MO 63128, USA

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