What You Need to Know Before You Drive Off the Lot
Shopping for a new car in 2025? One of the biggest decisions you'll make is whether to lease or buy. Both options have their perks—and the right choice depends on your lifestyle, budget, and driving habits.
At Crown Motors in Holland, MI, we're here to help break it down so you can make a confident decision that fits your needs. Let’s dive into the key differences, costs, pros and cons, and who each option is best for.
Leasing vs. Buying: What's the Difference?
-
Leasing means you're paying to use the vehicle for a set period (usually 24–36 months). You don’t own it—you’re essentially renting it.
- Buying means you're either financing or paying outright to eventually own the vehicle.
Cost Breakdown: Lease vs. Buy
| Cost Factor | Leasing | Buying |
|---|---|---|
| Monthly Payment | Typically lower | Typically Higher |
| Down Payment | Often Lower | Varies; can be higher |
| Mileage Limits | Yes (usually 10k-15k/year) | No restrictions |
| Wear & Tear Fees | Yes, at the lease end | No, unless you trade/sell |
| Ownership | No | Yes (after loan payoff) |
| Long-Term Costs | Less up-front, more over time | Higher up-front, long-term savings |
Pros of Leasing
- Lower monthly payments
- Little or no down payment
- Always drive a newer model
- Warranty coverage throughout lease
- Easy trade-in at end of term
Cons of Leasing
- You don’t own the vehicle
- Mileage restrictions
- Potential fees for wear and tear
- Customization is limited.
Pros of Buying
- Full ownership
- No mileage restrictions
- You can customize your vehicle
- You can sell or trade anytime
- Long-term savings once loan is paid
Cons of Buying
- Higher monthly payments
- Depreciation over time
- Long-term commitment
- Warranty expires after a certain mileage
Who Should Lease?
Leasing might be best if you:
- Like driving a new vehicle every few years
- Want lower monthly payments
- Don’t drive long distances
- Prefer warranty coverage throughout your term.
Who Should Buy?
Buying might be best if you:
- Plan to keep your vehicle long-term
- Want to build equity
- Drive a lot (no mileage cap!)
- Want to customize your ride.