Leasing vs. Buying a Car: Which Is Smarter?

While selling a car can provide you with some extra cash, hiring or purchasing a vehicle can put pressure on one’s finances and should be considered carefully. According to Kelley Blue Book, non-luxury new car prices rose to an average of $43,338 in May 2022, up by $709 from April.

Leasing a Car: Pro

- Lower Monthly Payments Than Financing - Always Drive a New Car

Leasing a Car: Con

- Always Have a Car Payment - Lease Buyout Price May Be Higher Than Car Value - Mileage Restriction - Auto Leasing Fees Add up Fast

Buying a Car: Pro

- You Own It - Rid Yourself of Car Payment - Sell at Any Time - Unrestricted Mile - Free to Customize

Buying a Car: Con

- Higher Monthly Payment - Depreciation - Long-term Maintenance Cost - Sell or Trade-in