What is the Difference Between Buying and Leasing a Vehicle?

February 14th, 2023 by

Buying a Vehicle vs Leasing a Vehicle

When it comes to getting a vehicle for your regular commute or weekend adventures, you have a choice to either buy a vehicle or lease it out for a specific time frame. The option you choose depends on your usage as well as budget preferences. Buying a vehicle means acquiring the car by paying the price, either in a lump sum or in monthly installments, whereas leasing allows you to use the vehicle for a fixed term, by paying lease rentals periodically. Keep scrolling down to learn more about the key differences between buying and leasing a vehicle, presented to you by our team at Elgin Volkswagen in Elgin, IL.

What are the Latest 2023 Volkswagen Vehicles at Elgin Volkswagen? 


Key Differences between Buying and Leasing a Vehicle 


1. Ownership 

The primary difference between buying and leasing a car is ownership. When you buy a car, you own the vehicle and can keep it for as long as you choose to. On the other hand, when leasing a car, you are essentially renting it on a long-term basis from a dealership for a specific period of time. 

2. Monthly Payments 

Customers opt to lease a car mostly because the monthly payments for a lease deal is approximately 30% lower than purchasing a car. So, leasing might be a more affordable option. 

3. Length of Ownership 

While purchasing a car, the length of the ownership would be as long as you want to keep the vehicle. In a lease deal, the length of ownership is usually for a very specific time period, normally between two and three years. You also have the option to return the car early, but you might have to pay early termination penalties. 

4. Vehicle Return or Sale 

Once you buy a vehicle, when you are ready to get rid of it, you can either use it as a trade-in or sell it on your own. When it comes to leasing a vehicle, this process is a lot easier as you can drive it back to the dealership. 


 
 

Visit Elgin Volkswagen in Elgin, Illinois 

Please feel free to swing by the Elgin Volkswagen dealership in Elgin, IL, and drive home your dream car. We have a wide range of vehicles available in our dealership for you to check out. Contact our friendly and professional customer care team at 847-428-2000 for more information. 


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