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Getting a new car: Should you lease or buy ?

Do you want to get a late model car? You have two choices: buying or renting/leasing.

First option: buying a new car

To have full use of your own vehicle and all the rights to your property, the best solution is to buy it. This allows you to use it according to your needs and desires. You’re not limited to where you can go. Purchasing also gives you an important benefit: the possibility of re-selling it. Since you aren’t subject to any restrictions, you can sell your vehicle at any time, for example, if you want to buy a newer model.

However, purchasing has some drawbacks. Depreciation in the value of the purchased vehicle is without a doubt the first negative point of purchasing a car. You should know that a new car loses 20 to 25% of its value in the first year, and this depreciation rate progresses over time. When you re-sell it, your purchased car will no longer have the same value as when you bought it. Besides, buying a car is usually done on credit, which represents a significant commitment. Similarly, insurance and maintenance are additional financial burdens for a new car owner. And since you can never predict accidents or breakdowns, a vehicle owner must always have a certain amount of money for potential repairs.

Second option: renting or leasing a new vehicle

Considering the disadvantages of buying a new car, some people will turn to renting or leasing. This solution is strongly recommended for those who want to change cars regularly. You have a wide choice of the latest makes and models, adapted to any circumstance and especially your needs and preferences. Another advantage: you don’t have to re-sell your car to get a new model. Furthermore, the lessee is exempt from the most significant expenditures for vehicle owners, namely insurance and maintenance. By choosing to rent or lease, you can easily manage and control the budget set aside for your car.

Depending on your needs, nevertheless, you should be sure to take into account the contract that defines the lease terms, so you can take advantage of your vehicle without any unwelcome surprises. New car rent or lease packages always involve a mileage limit. As such, exceeding the mileage originally laid out will lead to penalties. These additional costs are often high. The conditions are usually demanding and sometimes even severe, particularly for new cars and the latest models. Maintenance and insurance are handled by the rental/leasing agency, but unexpected events can happen at any moment and may amount to very high costs for the lessee.

To save money, think about 2nd Move!

To allow you to save more money, we suggest you get the 2nd Move by Europcar service. This option is intended as much for those re-selling late model cars as it is for buyers looking for the latest models at a lower cost. We invite you to check out our fleet of late model used vehicles to find what you’re looking for. In a few clicks, you can book and then try the one(s) you like before making a decision.

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