WHAT ARE THE BENEFITS OF LEASING A NISSAN CAR INSTEAD OF BUYING?

In need of a new Nissan, but wondering whether you should buy or lease one? Ingram Park Nissan knows the ins and outs of buying vs. leasing a vehicle. We’ll break down the benefits of a Nissan car lease, as well as the situations in which it may be preferable to buy one.

LOWER MONTHLY PAYMENTS

You’ll generally have lower monthly payments when you lease a vehicle than you would if you purchase one. When you lease a car, you’re essentially renting it just as you would an apartment. You’re paying for the cost of using the car for a certain length of time, usually lasting several years. On the other hand, when you buy a vehicle, you’re paying the full cost of that vehicle plus loan interest if you’re financing the purchase. Because you’re paying to own the vehicle, not merely use it, your monthly payments will likely be higher. On a tight budget? Want to drive a Nissan that’s a little out of your price range? Leasing could be the better option because it keeps your monthly payments more affordable.

FEWER MAINTENANCE COSTS

When you buy a vehicle, you assume the costs for its maintenance. You may have a warranty for a certain length of time, but after the warranty expires, you’re on the hook for the car’s annual upkeep and repairs. That can add up to thousands of dollars over the years. Since leased Nissans are newer cars, it’s unlikely you’ll need any major repair work during your lease term. But if you do run into some car trouble, the repair will likely be covered under the manufacturer’s warranty. Be sure to double-check the fine print of your lease agreement to confirm that the vehicle warranty will remain in effect for the duration of your lease term. You should also check your lease agreement to see who is responsible for the costs of the vehicle’s maintenance, such as oil changes and tire rotations. Many auto leases include routine maintenance so you’re not responsible for those expenses. Again, think of it as renting an apartment and being able to call the landlord when you have a leak instead of having to pay for the repair yourself. When you lease a car, the dealership will often cover the cost of basic maintenance so that you have one less thing to worry about.

SHORT-TERM COMMITMENT

Vehicle technology is constantly evolving, with newer-model Nissans having the latest safety and convenience features. If you buy a vehicle and a few years down the road, a new, improved model catches your eye, you’ll likely have to sell or trade in your current vehicle to afford the upgrade. But leasing is only a short-term deal. See another vehicle you prefer instead? All you have to do is bring your vehicle back to the dealership at the lease’s end. Then you can upgrade to whatever vehicle you please. Have a fear of long-term commitment or just want some flexibility with the vehicle you drive? If so, leasing a Nissan may be the way to go.

LESS RISK

Not only is leasing a vehicle less of a commitment, it’s also less of a risk. The value of a car depreciates fast. If you buy the vehicle and opt for a longer loan term, you run the risk of owing more on the car than it’s actually worth, a situation known as an upside-down car loan. This is risky because if the vehicle’s value depreciates more rapidly than you’re paying off the car loan and you wind up getting into a crash, your insurance company may declare the car a total loss— meaning it costs more to repair than the vehicle that it’s actually worth. In this case, the insurance company will only pay for the actual value of the vehicle, regardless of what you owe on it. If you don’t have gap insurance, you’ll be responsible for paying the difference even though you’re no longer able to drive the car. This makes owning a car somewhat of a high-risk investment. Those who are more risk-averse may find leasing to be the safer bet.

OPTION TO BUY

Feel like owning a vehicle is worth the investment and prefer to purchase? Leases often come with the option to buy at the end of your lease term. Think of it as taking the vehicle on a longer test drive—one that lasts several years. It can be difficult to get a feel for a vehicle when you only spend a few minutes out on the road with it. Leasing the vehicle, on the other hand, gives you the opportunity to really test the car out and see how it stands up to the test of time. If you decide that it’s the car for you, you’ll have the option to buy it once your lease ends. Think you’d rather drive something different? Just turn the car back into the dealership and get a new model instead. Keep in mind that when you lease a car, there may be some restrictions on its use, such as how many miles you can accrue. If you go past the allotted mileage, you may have to pay a fee for the overage at the end of the lease. You may also be charged for any damage to the vehicle beyond normal wear and tear. So it’s a good idea to thoroughly review the fine print of your Nissan lease agreement and ensure you fully understand its conditions before signing on the dotted line. If you’ve weighed the pros and cons and think you could be interested in a Nissan car lease, stop by our dealership and speak with one of our leasing specialists. Ingram Park Nissan is San Antonio’s one-stop shop for all your vehicle needs. And when you buy or lease from us, you’ll always be in the driver’s seat!