Leaving vs Buying a Car
Determining whether to buy or lease a newly released vehicle can be a challenge but getting to the right answer is not as complicated as it seems. In this guide, we'll explain the pros & cons of buying or leasing your next Ford truck or SUV.Â
Benefits of Leasing
In some ways, leasing can be seen as long-term car rental. Your Ford truck or SUV will be brand new from the factory line and yours to use for 2-3 years, during which time you'll make monthly payments.
Leasing allows you to drive a brand-new vehicle even when you can't afford to buy it, and you get to change vehicles more often. It's hassle-free and comes with fewer responsibilities than ownership. When the lease period expires, you can choose to sell it, buy the truck or simply walk away.
Drawbacks of Leasing
The main drawback of leasing is that at the end of the lease period, you don't own the vehicle. All the payments you've made went to depreciation or vehicle usage, rather than an investment. The mileage limitation shouldn't be a problem for most drivers, but it's still worth pointing out. Lastly, you may have to pay a disposition fee depending on your next move. In many cases Ford will waive or forgive this fee.
Benefits of BuyingÂ
Purchasing the Ford Maverick or another Ford vehicle is straightforward - you pay the selling price in cash or through financing and get to keep the truck once the amount has been paid in full. In terms of financing, once the set number of years have passed, the vehicle is yours and you can continue driving it without the added interest expense or sell it/ trade it to finance your next purchase.
Drawbacks of Buying
There are a few things worth pointing out when buying a vehicle through financing. The term is the most important - the longer the payment term period, the more the truck will cost, despite the lower monthly payment.Â
If you want to buy the Ford Edge through a financing plan, attempt to pay it off in 4 or 5 years. Not only is that the most optimal duration in terms of balancing the monthly fee and interest, but you'll also be in full ownership of the vehicle while it's still holding much of its original value.Â
Value depreciation is something you'll have to keep in mind, but the projections for Ford Maverick are looking good, making it a solid purchase option.
Buying vs Leasing
The easiest way to decide whether to finance or lease is to ask yourself just two questions:Â
If you want to drive the Ford Explorer or other new Ford for only 2-5 years, then there's no real reason to buy it. You'll have a higher monthly fee and trading it in, or refinancing isn't going to contribute towards the next purchase more than if you just leased.Â
On the other hand, if you'd like to drive your vehicle for more than 5 years and you can pay it off in 4-6 years, then you should go for the purchase. If you can afford a 20-30% down payment, the monthly premium will be almost the same as a lease payment.Â
A middle-of-the-road option is to lease the Maverick for 2-3 years, and then decide whether you want to finance it. You may spend a bit more through this route, but you'll get to experience the truck to its fullest and have ample time to decide whether you want it to be your long-term vehicle or not.
Summary
Whether you decide to buy or lease the new Ford Maverick, the most important thing is to work within your budget. Maverick is a very affordable truck, but you should still create a payment plan that won't burden your wallet. We're sure you're going to enjoy driving the latest Ford truck, so don't hesitate to contact us and get the best deal possible!
