Are you looking for a new truck, and trying to decide whether to buy or lease? In the past few years, leasing has become popular, and it has advantages depending on your needs and your preferences. Before deciding whether to lease or buy New Trucks in Appleton WI, there are some factors to consider, which we list below.
What is Leasing?
When you buy a truck, you’re paying the entire cost -; regardless of how far you drive. When you opt for a lease, you’re only paying a portion of the cost, which you use while you’re driving it. Leasing a truck is like renting a house; you’re just paying for the time you use it. There are pros and cons, which should be considered carefully. Your primary consideration is how long you plan to keep the truck; if you like a new one every few years, a lease may be the better option.
* You can get New Trucks in Appleton WI at the end of your lease term
* Your truck will remain under warranty, making large repairs cost effective
* Leases sometimes come with lower monthly payments
* Sales tax will be lower as you are not paying the entire purchase price
* Early termination can be expensive
* Mileage restrictions can be difficult to deal with. If you drive a great distance to work, going over the limit can be very expensive
* You can’t modify the truck because you do not own it
Lease Agreement Types
There are two types of lease agreement available. In closed leases, once the term is complete, you cannot keep the vehicle. Open leases come with the option to buy the truck at the term’s end. Many people consider leases to be hassle free; there are no trade-ins to handle, and no need to sell the vehicle to finance the purchase of another.
Conversely, canceling a lease can be very expensive, in the form of hefty early termination fees. If your truck is stolen, you may be liable for the balance of the agreement (unless you have gap insurance). There is no definitive answer as to which lease type is better; it depends on your budget and your needs. Before you start searching for New Trucks in Appleton WI, ensure that you review all of your options to find the most appropriate choice.