Financing vs Leasing an Infiniti near Charlotte, NC

Aug 27, 2014

2014 Infiniti Q60

Financing vs. Leasing an Infiniti from Lake Norman Infiniti

When it comes to purchasing a brand new 2014 Infiniti Q50, QX60, or other new vehicle from Lake Norman Infiniti, there are three ways you can go about it: cash, financing, or leasing. If you are able to pay cash, then lucky you – but if you can’t, you’ll need to make the decision between financing a vehicle or leasing one. Both sides of advantages and disadvantages, depending on the situation you are in. Let’s look at those situations, and see which method has the advantage in each situation.

You Have a Long Commute, or Drive Quite a Bit

All automotive lease contracts come with mileage restrictions – it’s a matter of how much you feel you should purchase. Higher mileage restrictions will come with higher lease rates, and any overage at the end of the lease term will result in overage charges, which can often be quite high. This is because all dealerships plan on reselling the off-lease vehicles as pre-owned or used, so the less miles it has, the higher they can set the price. With financing, there are no mileage limitations. So, if you’re making the commute from Huntersville to Charlotte every day, you won’t have too many worries with a lease. Concord, NC to Charlotte, on the other hand, will put you over many lease limits. Advantage: Financing, depending on the situation

You Like to Have All the Latest Technology

The rapid advance of automobile technology means that every three or four years, there seems to be a major change. That’s why leases generally run three or four years – whenever your lease is up, you can turn it in and get a new model with new technology. In a financed car, you would need to add the technology in as piecemeal, aftermarket technology. Advantage: Leasing

You Tend to Fall in Love With Your Car

We count on you falling in love with your Infiniti from Lake Norman Infiniti, and the good news is, you can keep the car at the end of the lease period. However, you’ll have to take over payments for the vehicle, which are more likely to be higher than if you had been paying off the vehicle from the start. If you intend on having your Infiniti for years to come, and you can afford the payments right away, financing is the way to go. Advantage: Financing, by a hair.

You Don’t Have a Big Down Payment to Use

Sometimes you might not have cash on hand or a trade-in. While you can get no-money-down financing, it often comes with high interest rates and high monthly payments. Many leases, on the other hand, come with low or no down payment necessary, and your monthly payments won’t be as high. Even if you want to own the car in the long run, a lease might be a great way to start off if your money is tight at the start, or if you can’t afford full monthly payments at the beginning of a purchase. Advantage: Leasing

You Hate Dealing With Maintenance

The minute a car rolls off the lot, the maintenance begins. With a leased vehicle, you generally have it about as long as the warranty lasts. You’re still responsible for regular maintenance, such as oil changes and tires. Financing a car means that when the warranty runs out, you’re stuck with the bill for all work. At the end of Infiniti’s 4-year Basic and 6-year Powertrain coverage, our service technicians at Lake Norman Infiniti will still be able to perform all maintenance and repair needs, but the cost will be on you. The good news is, our service center will still have the same convenient hours in either situation. Advantage: Leasing

You Want Your Insurance Rate to Be Low

Insurance is fairly basic – if you own the car. A leasing agreement often requires extra insurance, particularly gap insurance that covers the cost of replacing the car. If the car is financed, you’ll likely pay a slightly higher rate than if you owned it outright, but you’ll pay a lower rate than if you are leasing. This needs to be taken into consideration, particularly as the higher insurance rate could even eclipse the savings you are getting on monthly payments. Advantage: Financing

So weigh how each situation matters to you, and figure out whether leasing or financing is the right move for you. If you’re still undecided, swing by Lake Norman Infiniti in Cornelius, North Carolina, and chat with our financing staff. They can help you crunch the numbers and find the best loan or lease terms for your situation.