Rochester Toyota Financing – Is Buying Better Than Leasing?
Buying a New Toyota in Rochester, New Hampshire:
If you want to own your Toyota and plan on keeping it for as long as possible, buying, rather than leasing, is probably better for you. Although auto loan down payments are typically between 10 and 20% of the total vehicle price and monthly car payments are higher than those for a lease, once your vehicle is paid off, car payments stop and the vehicle is yours. Compared to continuous monthly lease payments and the knowledge that you will have a vehicle to either sell or trade in, buying a Toyota can be cost effective in the long run.
Another benefit of buying a car is that your credit does not need to be perfect. If you have money for a down payment, steady income and a decent credit score, you can qualify for most auto loans and as you pay off your loan your credit rating could improve.
For those on a budget, most car loans have a bit more flexibility than auto leases and can be extended to five or six years to lower monthly payments. However, these extended loans allow more time for interest to add up so you could end up paying more for the vehicle than you would with a shorter loan term. One way keep monthly payments low and avoid extra interests cost is to pay your loan off early. The sooner the loan is paid in full the more money you can save.
Of course, other benefits to car ownership is the lack of mileage restrictions imposed with a lease and your ability to enhance your vehicle with any fancy aftermarket parts you like.
If you would like to explore your options for buying or leasing a Toyota in Rochester, NH, we invite you to talk with one of our auto financing experts. We are here to answer your questions and help you get behind the wheel of a new Toyota.