A car lot

What are the advantages and disadvantages of leasing a new car and buying a used car?

Leasing A New Car vs Buying a Used Car

When you’re looking to buy your first car, you have many different options to consider. Should you buy new or used? What dealership should you shop at? Should you lease or buy? For many first-time buyers, they might not have the budget for a new car, so they look to leasing a new car or buying a used car. While there are advantages and disadvantages to leasing a new car or buying a used car, we want to show why buying used is the better option. Read on for our comparison before shopping for a used car from Stop 23 in Listowel, ON!

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A man buying a car

What are the advantages of each choice?

Let’s start out on a positive note by looking at the advantages of leasing a new car and buying a used car. If you choose to lease a new car, you will find many benefits. You will get to enjoy the advantages of having a new car, having lower monthly payments, avoiding depreciation, having simplified taxes, and having the option of getting a new car every few years. Just like leasing a new car, buying a used car has many benefits as well. You will enjoy saving money due to lower pricing, your insurance plan will be lower, you won’t be worried about getting a small dent since the vehicle isn’t brand new, you can still get warranty coverage on some used cars, and you can avoid hidden fees.

A dealer exchanging the car key to a customer

What are the disadvantages of each choice?

Now let’s look at the disadvantages of both options. If you choose to lease a new car, you’ll always have payments to make since you won’t eventually pay the car off like you would if you bought a new or used vehicle. You’ll also have to pay more for car insurance since you’re renting. When you return the lease vehicle, you might have to pay fees for extra miles and for any wear and tear. Finally, during the lease contract you can’t make any changes to the vehicle. To sum it up, when you lease a vehicle, it never is fully your vehicle, it is like a long-term rental vehicle.

However, if you choose to buy a used car, there are only two disadvantages you might face. You can’t customize a used car like you would with a new car. For example you can’t choose the color or what type of sound system you want, what you get is what you get with a used vehicle. Another disadvantage is that you have to pay for maintenance and repair costs. While new cars come with a warranty, used cars often don’t come with a warranty unless a dealership offers an extended warranty that you can purchase.

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Shop for a used vehicle at Stop 23 Auto Sales

As you can see, both options have their advantages but buying a used car is your best option. If you are shopping for your first car, come check out our used vehicle inventory right here at Stop 23 Auto Sales and then schedule a test drive. You can also keep following our blog to learn more about buying, owning, and maintaining used vehicles.