Should You Buy or Lease a New Toyota?
At Toyota of Lompoc, we have great options for you to get into a new Toyota vehicle at a great price with monthly payments that feel comfortable for your budget. We offer two main options for securing a new vehicle: Financing or Leasing. Of course, you could always pay cash, but most drivers don't want to pay a large sum of money up front. Financing and leasing allow you to get into a new vehicle with affordable monthly payments for your selected term. So, which one should you choose? Financing or leasing? Our experts break down the pros and cons to help you decide which one is right for you.
The Pros and Cons of Leasing
Leasing is a great option for people who love new cars. It's more common for luxury vehicles, but a fantastic way to enjoy a flexible payment arrangement for a new Toyota. The monthly payments are typically much lower and can offer lower monthly vehicle costs than traditional financing.
Benefits of Leasing
- Lower monthly payments on average than financing
- Shorter commitment - the average lease is 36 months, but can start as short as 24 months, allowing you to upgrade to a new vehicle with no resale hassles more frequently
- Always drive a new vehicle with the newest features
- Easy return process and upgrade options
- Fewer maintenance and repair responsibilities
Possible Downsides to Leasing
- There are mileage limits and going over could mean additional end-of-lease fees
- You could get charged more for excessive wear and tear
- You don't build equity and need to turn in or buy the vehicle at the end of the lease
The Pros and Cons of Financing
Financing is the most popular way people secure the money to pay for their vehicle. Rather than paying a large sum of cash for the full cost of the vehicle, you can borrow the money and pay it back monthly until it is paid off. Many drivers prefer financing because of the flexibility and freedom of ownership it offers.
Benefits of Financing
- Freedom of ownership - customize or upfit as you wish
- No mileage restrictions or extra charges for wear and tear
- Build equity - sell or trade at any time
- Drive payment-free once the loan is paid
Possible Downsides
- Monthly payments are typically higher unless you pay a large down payment
- Long-term commitment with more maintenance and potential repairs down the road
- Trade-in or resale negotiations when you want to trade for something new
Explore Your Finance and Lease Options at Toyota of Lompoc
Still unsure which is right for you? Our finance experts can provide a side-by-side comparison of leasing vs. financing costs for your next vehicle at Toyota of Lompoc. Learn more by contacting our team or start the process online with our easy financing and leasing application process.
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Toyota of Lompoc
203 East Ocean Avenue
Lompoc, CA 93436
- Sales: 805-736-1295
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