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Archive for January, 2015

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As you consider the possibility of replacing your old worn-out road horse with a new Hyundai in Scottsdale, there are many decisions to make. Aside from color, price range, options and trim level, think about whether buying or leasing makes the most sense for your situation. Although there are attractive leasing options at Chapman Hyundai, sometimes traditional financing makes the most sense. Here are some reasons to buy your next vehicle instead of lease.

You drive more than 15,000 miles a year

Long commutes or periodic road trips add up the miles surprisingly quickly. All leases have a penalty if you exceed a certain number of miles per year, with maximums ranging between 9,000 and 15,000. The penalties can be quite severe, adding up to a large bill when it comes time to terminate your lease.

You like to keep a car more than 3 or 4 years

Most leases are for 36 or 48 months, meaning that’s when you either have to turn the vehicle in or pay the residual amount owed on the vehicle. If you like to keep a car until it goes out of fashion, you are better off purchasing through traditional financing. Once the car is paid off, you’ll only have to worry about maintenance costs until it’s time to get another new vehicle.

Your kids love milkshakes and burritos

Normal wear and tear on a leased vehicle doesn’t include food stains, water damage, ripped seats or gum deposits. A leased car doesn’t have to look like it was hermetically sealed when you go to turn it in, but any abnormal wear and tear will likely result in additional charges. If you haul pets and children, consider what your last vehicle looked like at the end of its life before agreeing to a lease.

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You know how to maintain a vehicle

Although all the new cars at Chapman Hyundai come with an industry leading warranty, there does come a time when the warranty runs out. Unless you buy an extended warranty, that means all repairs are your responsibility. When you lease a Hyundai in Scottsdale, the warranty runs as long as the term of the contract. Just figure the cost of an extended warranty into the purchase price to keep out-of-pocket expenses to a minimum.

You like to add personal touches

If you enjoy a custom paint job, some added chrome or aftermarket modification, it makes much more sense to buy a vehicle than to lease. Not only would you likely want to keep the vehicle after spending all that money on customization, but also you would need to remove everything when it came time to end the lease.

Can you appreciate depreciation?

No matter where you buy a new car, it will lose approximately 20 to 30 percent of its value in the first couple of years of ownership. Although the  new vehicles for sale at Chapman Hyundai Scottsdale compare very favorably with other similar models for retained value, they also start depreciating as soon as you drive off the lot. Most people who finance need to keep a new car for at least 3 to 4 years to get back to the break even point regarding the car’s trade in value versus the amount still owed on the vehicle. If you plan on keeping a vehicle longer than that, depreciation should not be an issue for you.

New car warranty is a safety net

Aside from routine maintenance like regular oil changes and tire rotation, new car buyers have little to worry about in terms of maintenance. The new Hyundais for sale at Chapman’s in Scottsdale have an industry-leading 5 year, 60,000 mile limited warranty that provides ownership peace of mind. Depending on the age and number of miles, used cars in Scottsdale may or may not have a remaining factory warranty. If not, it is highly advisable to purchase an extended warranty, which you need to figure into the total cost when deciding on a new or used car purchase.

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Consider the cost of insurance

It stands to reason that the cost of insurance on a used car is less than that of a similar new car. If something were to happen to the used car, it would cost your insurance company less to pay it off or replace it. Also consider the higher limits that finance companies require when leasing a new car. Although the lease payment is generally lower, the insurance will be slightly higher. If you pay cash for a used car, you don’t need to buy comprehensive and collision insurance. This reduces your monthly insurance bill drastically.

What will make you happy?

When it comes right down to it, buying a car is a big decision that you will be stuck with for somewhere between 3 and 5 years. That’s longer than many relationships last, so make a decision that will ultimately make you happy without breaking the bank. Take a look at the inventory at Chapman Hyundai Scottsdale and see which cars pique your interest the most. Whether that new car smell is something that tugs at your heartstrings or if a sporty convertible is only affordable in a slightly used model, sometimes it’s just best to go with your gut and make yourself happy.