Buying vs. Leasing: What's the Difference?

The prospect of financing a car can be a relatively daunting experience for many. Confusing financial terms, seemingly complicated processes of purchasing, and of course the idea that vehicles are expensive all add up to create a stressful experience. These concerns melt away when you trust the finance professionals at Cooper Ford. Our dealership serves the surrounding communities and our hometown of Richfield Springs superior Ford inventory; we know just supplying the vehicles isn't going to cut it, we need to help you purchase a vehicle.

We want to create a streamlined and transparent experience that leaves you feeling confident with your purchase. A part of this process constitutes deciphering whether a loan or lease is the best option. So, what are the differences between buying vs. leasing?

Loans for Buying vs. Leasing

For the prospective Ilion and Little Falls drivers, the primary difference between a loan and lease is the ownership. With a lease, you are essentially renting a car from a dealership for a specified amount of time in a lease contract. You have certain standards the car has to meet such as quality, mileage caps, and wear. With an auto loan, a lender provides the funds to buy a car which you pay back in monthly installments, usually between 36-72 monthly intervals.

What are the advantages to each?

With a lease, you generally have lower payments and have more options with what to do with your vehicle. For example, at the end of a lease, you can either return the leased vehicle for a new one, lease again, or purchase the car. Further, with a lease, you pay much less initial investment with a vehicle, while an auto loan typically requires a sizeable down payment. With a loan, you get the satisfaction of ownership without abiding by the terms or conditions of a lease.

No matter what works best for you, here at Cooper Ford we are intent on taking care of our customers from Herkimer to hometown Richfield Springs.

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