It can be difficult to decide if you should buy or lease a vehicle.  There are more things to consider than just their car budget.  Most often, leasing ends up costing less money, but in the long run the motorist has no equity.  Consider these important factors when making your decision.

The most obvious thing to consider is the cost.  There are four factors to think about.  They are the length of the lease, the monthly payments, the restrictions on the mileage, and the down payment.  You could end up with large fines if your mileage exceeds the restrictions.  In addition, if you keep the lease for over three years, replacing tires and other maintenance costs will be up to you.

You also have to pay close attention to your budget.  If you are thinking short term, leases are generally less expensive because of the lack of a down payment and the low monthly costs.  However, purchasing a vehicle that you plan on keeping for ten years ends up being less expensive than leasing.  This is making the assumption that you have an auto warranty that will save you from paying unnecessary expenses.  Motorists who enjoy having a new vehicle every three years would benefit from leasing.

Also, consider if you have any changes coming up in your life.  If you are going to be moving far away or beginning a family, leasing is the way to go.  This gives you a lot of flexibility.

Consider all of these things to make an educated decision on buying or leasing.  Just keep in mind that whenever you buy you want to make sure you are covered by an auto warranty to keep you from paying unnecessary repair expenses.