Buying vs. Leasing in Lincolnwood, IL
Buy Vs. Lease: Which is Right for You?
Buying and leasing both have advantages, it’s similar to buying or renting a house. Most customers make the decision based on the monthly payments and how long they plan to drive the vehicle.
How long did you keep your last vehicle?
If you purchase new vehicles frequently because of the latest styles, technologies, or your preferences a lease may be a good option for you. Leasing a car allows you to get a new vehicle more often.
How much do you drive?
A car’s mileage affects it’s resale value. If you drive more miles than the average American driver (12,000 per year) a lease may not make sense. Leases most often come with a limit of 10,000-15,000 miles per year and a fee per mile for additional miles driven.
Are you driving the vehicle for business?
If you are driving your vehicle for business a portion of the car’s depreciation and lease payments can be deducted on your taxes. If you want to learn more about the business vehicle tax deduction, check with your tax adviser.
Are you concerned about your vehicle losing value?
If you typically trade in your vehicle for a new one before it is paid off, leasing is a good option for you. You don’t have to worry about resale value with a car lease. If the value of the vehicle drops when you are leasing it doesn’t affect you. If on the other hand the vehicle holds its value better than expected, you will be able to buy the vehicle at the end of your lease.
Are you looking for a lower monthly payment?
Leasing offers a lower monthly payment when compared to financing with the same loan terms. Instead of putting your cash into a car that depreciates, you can invest your money into something that appreciates. If you need access to more cash every month – leasing is a good choice. Car leases also do not usually require a substantial down payment.
Do you want to pay less tax?
When you lease a car you pay less for sales tax. When you purchase a car you pay sales tax on the total amount up front or rolled into your loan. When you lease you pay sales tax only on the portion of the car you finance.
Do you try to avoid car maintenance and repairs?
With a 3 year lease your vehicle is under warranty and the factory will cover the cost of most repairs. Not to mention that a brand new car is unlikely to have dead batteries, or need costly repairs.
What’s the same?
You will need to pay your state’s licensing fees, and you still need to purchase car insurance to cover theft and damage. GAP (Guaranteed Auto Protection) insurance is available with most leases to protect you if the car is totaled.
Toyota of Lincolnwood is Here to Help
Deciding between buying or leasing a vehicle at Toyota of Lincolnwood depends primarily on your long-term goals and daily driving habits.
Whether you are leaning toward the flexibility of a new lease every few years or the long-term value of ownership, we prioritize setting you up for success from day one. By breaking down the latest Toyota incentives and walking you through the long-term cost benefits of each model, our goal is for you to leave the lot with a plan that feels as good as the drive home.
Buying vs. Leasing Frequently Asked Questions:
What is the main difference between buying and leasing a Toyota?
The primary difference lies in ownership and flexibility. When you buy, you are financing the entire cost of the vehicle to eventually own it outright. When you lease, you are essentially paying for the vehicle's use over a set term, typically 24 to 48 months, which often results in lower monthly payments since you are only covering the car's depreciation.
Is it better to buy or lease if I drive a lot of miles in Illinois?
If you have a long commute through Cook County or frequently travel across Illinois, buying is often the better choice. Purchased vehicles have no mileage restrictions, whereas standard leases typically limit you to 10,000 or 12,000 miles per year. Buying allows you to drive as much as you need without worrying about overage fees at the end of your term.
What are the financial benefits of leasing a new Toyota?
Leasing offers several immediate financial perks, including lower down payments and lower monthly costs compared to traditional financing. Leasing also ensures your vehicle is almost always covered by the Toyota factory warranty, minimizing out-of-pocket repair costs.
Can I customize my vehicle if I choose to buy instead of lease?
Yes! Full ownership is one of the biggest advantages of buying. When you finance to own, you are free to customize your Toyota with aftermarket accessories, performance upgrades, or specialized window tints. In contrast, leased vehicles must be returned in their original factory condition, meaning any modifications must be fully removable before the lease ends.
What happens at the end of a Toyota lease term?
At the end of your lease at Toyota of Lincolnwood, you have three flexible options: you can trade it in for a brand-new Toyota model, purchase your current vehicle for the predetermined residual price, or simply return the keys and walk away after a final inspection. This allows you to upgrade to the latest technology and safety features every few years.
How to lease a Toyota?
Leasing at Toyota of Lincolnwood is a seamless process designed for your success. Start by selecting a model and defining your terms, typically 24–60 months with flexible mileage limits. Our experts guide you through the application and explain benefits like ToyotaCare maintenance, ensuring you drive away with lower monthly payments and total confidence.