Difference Between Lease and Buy
The words lease and purchases are very different. If you buy any product using option of simply buying it, you should buy it directly. You would not always be presented with the option to purchase it by paying monthly installments.
You would have an advantage of the analyzing and calculating the amount you can pay in the down payment if you buy through lease. At the same time you can also make an approximate calculation as regards the amount of money that your pocket allows you to pay per month as monthly payments.
Lease is a good option if you keep the product for a short period. However, buying is the best option on the other hand if you intend to keep the product for a longer period. Let us take, for example leasing or buying a car.
If you want to keep the car for about three years before changing it, you can go for getting it on lease because leasing a car has better benefits, especially if the product is likely to be retained for a short period. To buy the products in the same circumstances would cost you more for sure.
If you have decided to keep the car for more than say 5 years or so, then you would do well to buy the car rather than getting it on lease, because then you’ll have to pay more for the car if you leased it. This is one of the main differences between leasing and buying.
The difference between leasing and buying is the difference between average amounts of money that you would have paid for the product per year. It is advisable to consider as to what is the best option between lease and buy. It is quite true that there are certain leases that give you the benefit of spending less amount of money per month as compared to buying.