Lease a New Cadillac near Chicago

When you shop for a new Cadillac at Tony Rizza Cadillac near Chicago, IL, you have two ways of financing your vehicle's cost: leasing and buying. The choice of whether to lease or buy is important. You can receive tailored advice by sharing your goals and concerns with our Cadillac lease Chicago-based experts. 
To help you make an educated decision, we offer the following guidelines on the key differences and benefits of purchasing or leasing a Cadillac near Chicago, IL.

WHY LEASE VS BUY?

Leasing a car allows you access a higher price bracket than buying because it allows you to pay only for the depreciation of the vehicle plus interest and fees versus the entire cost of the car. 
When buying a car, you are paying the total car's value, whether that entire amount is paid with cash upfront or through a car loan. Either way, you pay for a purchased vehicle; the dealership is made whole at the point of sale. When you lease a car, you are not paying the full value of the car. Instead, you are paying the difference between the current value of the car and the expected value of the car at the end of the lease term.
 
For example, let’s say you have your heart set on a $40,000 Cadillac vehicle. If you buy the car, you’ll need to arrange a full cash payment or, more commonly, a car loan that pays this full amount. Now let’s assume this car is expected to depreciate to a value of $25,000 after three years. A three-year lease agreement would cover only the loss in the vehicle's value. The lease down payment and monthly payments apply to the $15,000 difference in valuation and not the $40,000 original price.

PERKS OF BUYING A CADILLAC

Although buying may seem more expensive upfront because of owing to the entire value of the car, your long-term costs may be lower when you buy versus leasing. This is because you own the car when you buy it, so once your car loan is paid off, the car is yours to keep, unlike a lease which must be returned to the dealership. Now that you own your car, you can continue to drive it with no monthly payments or you can sell it and keep the money you make. If, after your lease term ends, you plan on switching to a different or newer model, this means your monthly payments will continue. 

One of the biggest perks of buying is mileage usage. Leases limit your mileage per year to keep the car’s value when it is returned. If lessees go over their mileage allotment, they pay as much as 15 to 30 cents per mile. This means going over your yearly mileage by just 1,000 miles can cost up to $300 upon the return of the leased vehicle. Conversely, if you drive far less than your lease agreement states, you’ve essentially paid money for miles you didn’t use. When you own your vehicle outright, you can drive more freely without worrying about your mileage.

For those who like to deck out their cars with custom aftermarket modifications, buying may be the way to go. Owners of leased vehicles cannot paint them, and they must remove any gear they add before returning the vehicle, which can be costly.