There’s always a great feeling about getting a new car. New cars are usually safer, more technologically advanced and more powerful than a person’s old car. In many cases, they also offer more comfort and space.
That is, unless the new car is a shiny new sports car. Regardless, it’s always a fun time when you take the steering wheel for the first time.
There’s plenty of ways to get a new car. The common argument seems to come down to whether buying or leasing tends to be the best way to get a vehicle. This can get even more complicated when people choose to finance a new car, which can sound suspiciously like a long term lease to people who aren’t familiar with the processes. Take this opportunity to learn more about automobiles and just how to get yourself the one you want.
Benefits to Buying a Car
When speaking about buying a car, it refers to either buying a car outright for the purchase price, or financing a car and making payments until it’s paid off. There should be one immediate benefit recognizable for people when you buy a car outright. That vehicle is yours. There’s no strings. If you don’t want it, you can sell it to the highest bidder, or give it away to someone you wish to give it to. Buying outright puts you more in control. It’s also a good option for people who like to own their vehicles for longer periods of time. While you can buy a vehicle outright at the end of the lease, it’s always more expensive to take that option than to have bought the vehicle outright in the first place.
Financing a vehicle to purchase has become easier than ever before. Dealerships will offer very good interest rates on financing. In some cases, zero percent financing might even be available for specific vehicles. Auto loans can also be had from banks or third party providers, making financing a simple and effective way to put people in the car they want.
Benefits to Leasing a Car
Leasing a car should be attractive to people who enjoy the feeling of a new vehicle more often. Lease agreements can run from one to 5 years, though the two to three year lease is the most common option. This means that you can get a newer vehicle through a new lease after a few years. You’ll always have the latest automotive technology at your command.
Another benefit is that lease payments are usually lower than financing payments. Of course, at the end of the lease, you don’t own the vehicle. That being said, it can be a financially viable option for people who have strict budgets and the difference between a lease payment or a financing payment can make a big difference. This isn’t the only financial benefit. People who choose to lease rarely for repairs. Most issues should be covered by warranty since the vehicles are new. Even if the warranty is surprisingly light, newer vehicles don’t break down as often.
Buying Used Cars
For many people, getting a used car is an exciting way to get that new car feeling without having to pay that new car sticker price. Cars that have been gently used for just a few months can have a substantial drop in price. For many people, the sweet spot on used cars are vehicles that have been used for two to three years. These are very often cars that are coming off of a lease agreement and are now available. They have usually been serviced well. In addition, when they are returned to the dealership, the dealership will thoroughly go over them in an attempt to get them in the best possible condition for resale. Used cars in this age bracket can be anywhere from 20% to 50% less than they were when purchased depending on the make and model.
One consideration to buying used has to be potential future complications and maintenance. To whit, many resellers will offer used car warranties, or a continuation of the factory warranty if it wasn’t completely used up by the original buyer. This can provide some serious peace of mind to buyers.