Lease or Buy a Honda – Which One is Right for Me?

One of the first things drivers consider when shopping for a new vehicle is whether or not they should lease or buy their Honda. Use our helpful guide to help steer you in the right direction!

Leasing

Leasing is when you “rent” the vehicle for a set amount of time and milage as determined by you and the dealer when you come into lease. Typically, leases are contracted for around 3 years with a 30,000 mile allotment. Leasing is great for people who don’t regularly travel long distances or for people whose vehicle needs may change often based on where they are in life.

Benefits to leasing include:

• Driving a new vehicle in it’s prime with that the latest safety features and technology.
• Less cash up front – typically leasing does not require a substantial down payment compared to buying.
• You don’t have to worry about resale value – if your car depreciates more than the estimated residual value in your lease contract at full term, you just turn it in and re-lease a new Honda.
• Not worrying about long-term maintenance, only routine maintenance such as oil change, tire rotations, etc.
• Flexibility to change vehicles every few years as your needs change, such as transitioning from college to full time employment, growing your family, or even preparing for an empty nest.

While the benefits to leasing are great, a few things to consider when leasing are:

• You won’t own your vehicle outright and therefore will have a monthly payment as long as you lease.
• While you can opt for more miles at lease-signing, you have to mindful of the amount of miles you put on the vehicle.
• At lease-end, you are responsible for unusual wear and tear on the vehicle (dents, scratches, etc).

Contact our Finance Managers for any questions regarding financing. Our team makes it quick and easy with the DocuPad system.

Buying

When you buy a vehicle, you purchase it to own outright, whereas leased vehicles remain under the ownership of Honda. Whether you buy the vehicle outright (cash deal) or finance the vehicle with a loan, the vehicle is titled to you. If you finance, the title is held by your lending institution until the lien is paid off. By owning the vehicle, you are granted all the rights and responsibilities of ownership which comes with a lot of benefits.

Benefits to buying a Honda include:

• Getting more value out of the life of your vehicle if you plan to keep the vehicle for 5-10 years.
• When your vehicle is paid off, you fully own it and enjoy no payments until it’s time to upgrade to your next car.
• No limitation on how many miles you put on the vehicle. Travel as far and as often as you’d like with no worries about going over mileage allotment.
• Not worrying about shopping for a vehicle every 2-3 years.

While the benefits to leasing are great, a few things to consider when buying are:

• You are responsible for all maintenance, including long-term routine maintenance or repairs, that contribute to the longevity and reliability of your vehicle.
• Vehicle depreciation is a factor in the equity of your vehicle.

Benefits to Both Leasing and Buying

No matter if you lease or buy, there are many benefits to leasing or buying your new Honda, including:

• Honda Service Pass: The first year of routine maintenance (as indicated by the maintenance minder) are included with your purchase*
• Emergency Roadside Assistance: Life happens. Unforeseen circumstances happen. While we don’t wish for you to need emergency roadside services, it’s included on your new Honda for the first 3 years or 36,000 miles (whichever comes first) all at no additional cost to you!
• Manufacturer’s Warranty – All new Honda vehicles are covered by a 3-Year/36,000-Mile Limited Warranty, plus a 5-Year/60,000-Mile Powertrain Limited Warranty.

Still have questions? Visit our Finance center.

*See Honda Service Pass page for details.