Purchasing with an Auto Loan or Taking the Wheel with a Nissan Lease—Which One is for You?

Plenty of people ask themselves whether leasing or buying is the right financing solution for them, and it can be a tough question to answer. Unfortunately, there’s no one right answer, either; some folks might prefer the relative ease and convenience of a lease, while others would prefer the equity-building and freedom of ownership. While the final decision rests with you, we’ve put together a little comparison chart to help you along the way. Of course, if you have any questions or hiccups along the way, someone from our financing team is on hand to help during business hours, so give us a call at (888) 395-4413 and we’ll do our best to help you sort it out.

After taking a look at our head-to-head comparison of leasing and buying, hopefully you’ve got some idea about which financing solution fits into your life. Now comes the hard part: picking which new Nissan model you want to bring home and park in the garage. Fortunately, we can help with that too. We invite folks from West Simsbury, Hartford, Avon, and Farmington, CT to come on into our showroom to find the Nissan model that calls to them! Spring is here and change is in the air—now is the perfect time to lease or buy your next Nissan vehicle with Hoffman Nissan.

Purchasing Your New Nissan with a Loan VS Leasing Your New Nissan
When you purchase a vehicle, your payments reflect the overall purchase price of the vehicle, whereas when you lease, your payments represent only cost of depreciation. As a result, your monthly payments for a loan tend to be higher than those for a lease on the same vehicle. The difference, however, is you actually own a vehicle your purchase with a loan, and you can build equity in it. Differences in Monthly Payments Like we mentioned, when you lease, your payments reflect the cost of depreciation, not the overall cost of the vehicle. The depreciation refers to the difference between the original value of the vehicle and the residual value after your time of leasing it—that’s the number your payments are reflecting. As such, they tend to be smaller monthly payments than when you buy with a loan, however you don’t own your vehicle outright, and you won’t be building any equity in a leased vehicle. .
Your restrictions when you buy are few and far between—just keep it legal! You’re welcome to customize the vehicle or drive it as far and wide as you’d like. That’s because you own the vehicle; it’s yours and you can do with it what you please! Restrictions & Limits of Ownership When you lease, you don’t actually own your vehicle, you’re just taking possession of it for an agreed-upon amount of time. This means you don’t have as much freedom with how you drive it or what you do with it. Lease terms often restrict how many miles you can drive the vehicle, and if you go over the allotted amount, there can be overage fees. Additionally, customizations aren’t usually permitted with leases, so if making your vehicle your own is important to you, you might prefer purchasing over leasing.
If you purchase your car with an auto loan, it’s yours forever, or until you decide to sell it! The only reason you should bring your car back to us is for the regular service and maintenance it needs to stay healthy and safe for your many years together! Though we should probably note, selling your car isn’t an option at all when you lease. Do I Bring My Car Back to the Dealership? Yes! At the end of your lease, you have a few different options, but far and away the most popular option is to return the vehicle to your dealership. At this point, you can choose to move on, free and clear, to your next new lease or purchase. This is one of the reasons leasing is a great solution for those who want to keep fresh with a new vehicle every few years!
New cars often carry with them robust manufacturer’s warranties, and when you buy, you definitely get that along with it. The big difference between leasing and buying when it comes to warranties is the fact that when you buy, the car remains yours even after the warranty expires, so at that point, all repairs and fixes become your monetary responsibility entirely. Differences in Warranties & Who Covers Repairs If you’re leaning toward leasing, this is another great benefit to keep in mind. Since most Nissan leases are typically for new Nissan cars, crossovers, SUVs, or trucks, the vast majority of leased vehicles will remain under the manufacturer’s original warranty for the entire length of the lease, which typically only run about two to five years, always. What this means for you, however, is that many repairs and fixes could wind up covered for the entire time you drive the vehicle!

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