Posted on May 02, 2023

Hello, I'm Olga, your trusted BMW car sales advisor in Katy. As a BMW enthusiast and expert. A lot of my customers are undecided when it comes to choosing between leasing or buying option. What is the best deal? Want to know more? Let's dig into it....

BUYING

WHO OWNS IT?

Whether you pay for the car with cash, financing, or make monthly payments, either way, IT’S YOURS. If you are financing it, you'll have to meet the obligations the lender requires, like a certain down payment amount and timely monthly payments.

UP-FRONT COSTS

If you are financing it, the bank will probably request a down payment. You can also trade in another vehicle and use any equity towards your down payment. The amount of the down payment is usually based on the lender's requirements and your credit score.

FUTURE VALUE

Your vehicle will be worth whatever you can sell it for in the future and that depends on how well you maintain it.

END OF PAYMENTS

Once you've paid off what you owe on your contract, that's it! Your vehicle is 100% yours. The lending institution will send you a little release as proof that the vehicle is completely paid off and all yours.

LEASING

WHO OWNS IT?

You do not own the car when you lease. You are paying for the use of the vehicle, but the financial institutions that you lease it through own it. This is usually why you pay less per month in a lease than if you were to buy the car.

UPFRONT COSTS

Leases often do not require any type of down payment. All you usually have to pay is the first month's payment, a security deposit, the acquisition fee, and other fees and taxes. But, as with the purchase, if you want to lower your monthly payments you can always pay more upfront.