Should You Lease Your Subaru?
Is leasing a car right for you? This question is hard to answer. It really depends on your lifestyle and your preferences.Certain lifestyles may work better with leasing than others. For instance, if you entertain business clients, leasing allows you to drive a luxury vehicle for less money (and there may be a tax write-off for certain professions). Other people just like to drive a brand-new car every two or three years. So ultimately, leasing isn't only a dollars-and-cents question - it's about personal tastes and priorities.
In a nutshell, leasing makes it easier to get more car for less money. You are essentially paying for a portion of the car, instead of buying the entire vehicle. Don't forget about the value of GAP insurance when you lease, it is included in most lease contracts and can be a wise investment when you purchase too. It is ultimately up to the smart car buyer to weigh the pros and cons, determine what their needs are, and what best suits their lifestyle.
| Buying |  | Leasing |
| Sizable down payment | Money Down | Less money up front |
| Higher monthly payment | Monthly Payment | Lower monthly payment (up to 60% lower) |
| Negotiated trade-in value | Trade-in | No trade in hassle or negotiation |
| Responsible for maintenance costs after warranty expires | Warranty | Less maintenance - typically always under warranty |
| GAP protection not included - added expense to purchase | GAP Protection | GAP protection included |
| Stagnant technology based on what was in effect at time of purchase | Technology | Technology obsolescence protection |
| No loyalty incentives | Loyalty | Lease loyalty incentives |
| Eligible for all dealer incentives | Incentives | Eligible for all dealer incentives |
| Potential negative equity if you sell your car before it is paid off | Equity | No chance of negative equity |
| Not required to maintain vehicle, but since you may eventually own it, why wouldn't you? | Program Maintenance | Responsible for program maintenance per manufacturers recommendation or you may be charged excess wear and tear |
| The negotiated price of a new vehicle is the same | Vehicle Price | The negotiated price of a new vehicle is the same |
| Insurance payments are the same | Insurance | Insurance payments are the same |
