Should you Purchase or Lease your Next Cadillac?

You might have noticed that there is usually an abundance of advertisements encouraging lease deals for new Cadillacs. Considering the price tag that many of these luxury cars seem to sport, these deals can seem to be quite attractive, allowing you to get into a premier luxury car for about the same monthly price you would pay for an economy car. If you are considering leasing a new Cadillac, there are a few factors that should be taken into consideration before you make your final decision. Read on for more details.

First, always take the time to find out what the assumed down payment is for the lease. You may not notice it but most such advertisements do not come out specifically state the amount you must put down on the lease. Generally, the amount will range between $4,000 and $5,000. Take the time to find out ahead of time so you won’t be surprised when you sit down to do the paperwork at the dealership.

Be aware as well that most such lease agreements come with a mile per year maximum cap. This is because the manufacturer and dealer know that the more miles per year you put on the Cadillac the more wear it will attain. This will typically raise the cost of the lease. Therefore, those attractive deals you see advertised commonly assume a 10,000 mile per year cap. If you know you drive more than that, more along the lines of 15,000 miles as is the average for most people, be sure to take into consideration that you will probably be facing a penalty at the end of the lease agreement. For the most part, this is usually a per mile penalty, so the more miles you rack up over the cap the more you will need to pay at the end of the lease term.

It’s also a good idea to ask whether a specific model Cadillac is included in the lease offer. It is not uncommon at all for the lease offer to specify that the offer is only for a particular base model with a specific transmission, usually manual, and a certain engine. That’s fine if you don’t mind having that specific vehicle but if you want something with more options and a bigger engine be prepared for the fact that the lease offer you receive will be pricier than the one that was advertised.

Finally, you should take into consideration whether it will be more beneficial financially for you to lease your new Cadillac or buy it outright. The advantages of leasing include the fact that it allows you to lower your payments in comparison to an outright car purchase. Naturally, that’s quite attractive to most people.

Before you go to far; however, be sure to consider how long you plan to keep the car. If you’re the type of person who likes to trade in your car every year and get a new Cadillac, a lease can actually save you money over time. If; however, you prefer to keep your Cadillac for the life of the car, or at least for a few years, a lease may not be the most financially feasibly option for you. In addition, you should take into consideration the fact that a lease won’t allow you to modify the car at all. This means you cannot enhance the audio, bodywork or anything else regarding the car without breaking the terms of the lease. If that is your plan, buying it outright is a better option.

By taking the time to consider all of these factors regarding leasing and buying you can make the best decision for you regarding the next purchase of your new Cadillac.