Leasing is becoming a popular option when it comes to buying a vehicle. However, a lot of people are still unsure how leasing works. Today, we break down the benefits of leasing a vehicle and explain why more luxury buyers are choosing to lease than ever before.
How Financing Works
Everyone understands how traditional financing works. You borrow money and make monthly payments over a specified period of time. The dealership charges you a certain amount of interest for lending you the money and that percentage is included in your monthly payments. Eventually, you pay the vehicle off and the car is yours.
How Leasing Works
When you lease a vehicle, your payments only cover the amount that the car depreciates over the time you drive it, plus financing charges and applicable taxes.Your monthly payments are almost always lower because of this. Plus, you don’t pay any principle.
What are the Benefits of Leasing?
Leasing also means you never have to worry about the type of vehicle maintenance that comes with driving an older vehicle. You only ever drive a car that is in its prime. This means you enjoy the latest technology, features, brand upgrades and luxuries as your vehicle is always the newest model.
Leasing gives drivers the opportunity to drive the highest level of luxury vehicles without having to worry about paying back a large principle. You enjoy the class and comfort of your favourite Lexus without the added pressure of long-term payments.
When you are ready to move on to a different model you don’t have to worry about selling the vehicle. You simply drive it back to the dealership and leave the rest to them. No stress about resale value, no hassle with trade-ins. It’s the easiest form of vehicle ownership there is which makes it a perfect option for busy business professionals. Business owners should also keep in mind that there are some noteworthy tax advantages to leasing a vehicle.
Leasing a Vehicle from Lexus South Pointe
Just because leasing has become a more popular option in recent years doesn’t mean it is right for you. Sometimes it helps to sit down with a financial professional and walk through the pros and cons of both financing and leasing to determine which is best for you. Have questions? Book an appointment today. We’re more than happy to help you with all your Lexus needs.