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Though insurance standards vary depending on the leasing company, they usually include comprehensive and collision coverage.
It could be a good idea to spring for gap insurance, too, though some lease agreements include it at no additional cost (it’s a good idea to ask whether it’s included).
If you’re a car owner, the more miles you drive, the faster your vehicle depreciates.
That could include damages ranging from a tear in the upholstery to a scratch on the bumper, depending on the specifics of your lease agreement. If you live in a crowded city or have a long commute, you may be at risk of putting more wear and tear on your car.
A used car, or a model with less-expensive features, might be the key to a more budget-friendly down payment, particularly if your credit scores are lower.
Leasing may require a down payment too — especially if you’re interested in negotiating the lowest possible monthly payment.
That makes it likely you’ll lease again, which means more monthly lease payments.
Buying a car, on the other hand, means knowing your monthly payments will eventually stop when you pay off the car.