LEASING
In a lease, you do not purchase an automobile. You contract to use it
for the first, and best, period of its life. If preferred you could
choose to lease one of our used vehicles. Following are some
additional benefits to leasing a Honda.
Less Cash Up Front - When comparing a
"lease vs buy", one of the biggest advantages of a lease is that it
does not usually require a substantial down payment. In many states,
you can even pay the sales taxes as part of your monthly lease
payment, rather than in a lump sum.
Lower Monthly Payment - If the
finance period is the same, your monthly payments will be lower when
leasing (vs. traditional financing) because your payments will be
based on the vehicle's estimated depreciation. (You are contracting to
use a portion of the car's value, rather than buying the entire car).
A New Car More Often - Your taste and
preference may change, and a short-term lease makes it easy to drive a
new car more frequently. Additionally, you may have needs for a larger
or smaller car in a few years, and a lease makes it easy to plan for
such changes.
Guaranteed Future Value - You don't
have to worry about resale value. If your car depreciates more than
the estimated residual value in your lease contract at full term, you
can turn it in at the end of your lease term. But if it's worth more,
you can buy it and keep it or resell it. A lease gives you an option.
Tax Advantage for Business Use -
People who use a lease car for business may find larger tax deductions
with leasing than with buying a vehicle. Check with your tax advisor.
©2006 American Honda Finance
Corporation. |
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BUYING
When deciding whether to buy or lease, a key thing to consider is how
long you plan to keep the vehicle. If you typically keep your vehicle
for five to ten years, then traditional financing may be your best
option. Honda Financial Services may be your best choice in financing
your new vehicle, with competitive rates and terms designed to meet
your needs.
Pride of Ownership - Ownership can
instill a sense of pride. It can also build equity. Payment by
payment, an owner's equity may increase.
No Restrictions on Mileage - This is
important to consider if you drive more than 12,000 to 15,000 miles
per year.
Make Changes to Car's Appearance -
You can alter the interior or exterior to suit your taste (though your
choices may affect the resale value).
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