Financing vs. Leasing
When you are out searching for a new vehicle, you can either buy the car outright or lease it. Here at Lokey Subaru of Port Richey, we can help you decide what suits you and your pocket best. Serving near Port Richey, Hudson, and New Port Richey,FL, we are ready every step of the way.
Today, we are going to discuss the options for getting behind the wheel of your dream car: buying vs. leasing. From the long-term investment of buying to the flexibility offered by leasing, we will show both the pros and cons so you can make an informed choice.
The Benefits of Leasing a Subaru
Leasing is very flexible, making it a popular option for those who enjoy upgrading to the newest models. When leasing, you are, in essence, "renting" the vehicle for a set period of time, typically 2-3 years. This is an excellent opportunity to drive a new Subaru with all of the latest features without being tied down by long-term ownership.
For most people, the most significant advantage of leasing is that it allows lower monthly payments compared to financing. Since you only pay for the depreciation throughout the lease, leasing tends to be budget-friendly. Also, in most leases, warranty coverage is provided throughout the entire leasing period, which allows you to relax your mind from unplanned repairs.
However, leasing has mileage limitations, typically ranging from 10,000 to 15,000 miles per year. If you can keep within the limits, leasing is a great way to enjoy driving a Subaru without a long-term commitment.
Benefits of Financing a Subaru
With a car loan, your monthly installments cover the cost of owning the vehicle, and once this is paid for, the car becomes yours entirely. This means you can own the car and do whatever you want with it—make it your own and drive it as much as you want.
This financing option is great for those who know they will own the vehicle for more than a few years. Unlike leasing, there are no mileage restrictions, and it's not bound to the terms of a lease agreement. Owning a Subaru can also build equity, which you can use as trade-in value when upgrading.
What Do I Need to Lease a Subaru?
Leasing a Subaru is pretty straightforward. Here is a to-do list to get you started:
- A valid driver's license
- Proof of insurance
- Try to improve your credit score; it will help you qualify for better lease terms.
- An estimate of the miles you will use in a year to choose the correct lease.
These steps will ensure you are well-prepared to enter a lease and enjoy all the benefits of driving a brand-new Subaru without a long-term commitment.
What Do You Need to Buy a Subaru?
Purchasing a Subaru requires some preparation, but it's worth it for the freedom of ownership. Here's what you'll need:
- Valid driver's license
- Proof of income
- Pay stubs or bank statements to verify your ability to repay the loan
- Proof of car insurance
- Get your credit history. While a higher credit score secures better terms, financing options are available for all credit types.
Keep in mind that taking out a loan requires a larger down payment; however, this can lower your loan amount and monthly payments.
Contact Lokey Subaru for Your Next Vehicle
Are you still deciding between purchasing vs. leasing? The team at Lokey Subaru Port Richey near Port Richey, Hudson, and New Port Richey, Florida, is here to help! Contact us today to explore your options and find the Subaru that fits your lifestyle perfectly.