If you’ve never leased a vehicle before, you may be wondering why it costs less per month. After all, investing in a vehicle is expensive, especially when you want to buy one. So why is it often more affordable on a monthly basis to lease? And what are the benefits of doing so?

The disparity in pricing comes down to what is being priced. For example, when you buy a vehicle, you are purchasing its worth – its sticker price. You also take out an automotive loan, which covers the cost of your vehicle. Your monthly price is calculated based on that loan – its total amount, APR, and length (along with your down payment). This can result in higher monthly payments.

When you lease a vehicle, you are not buying it. You are also not investing in it based on its price. Rather, your lease priced is based on the vehicle’s depreciation while you are driving it. Because of that, leasing is often more affordable on a monthly basis. Leasing is also intended to be a short-term investment – for no more than a few years. Plus, you can always put a down payment on your lease, reducing your monthly price more.

If you have any questions about leases, stop by today! Our team at Audi Turnersville, located in Turnersville, NJ would be proud to assist you. We can also provide you with insight into the purchasing process.

We look forward to assisting you with all of your vehicle-related needs. We can also explain the financing process more if you need more clarification.

Categories: New Inventory