Pros and Cons of Livery Leasing Pros and Cons of Livery Leasing | Page 2

Buying a Car
Buying a car is a simple and straightforward process. You can borrow money from a bank or a
financing institution and then make monthly payments until the loan is paid off. As the payments
are made, your equity in the vehicle gradually increases and eventually it is yours when all
payments are done. In this scenario you can keep the vehicle for as long as you like and you can
do whatever you want to it like adding accessories, upgrades, and getting a new paint job. The
only downside is that all these modifications may lower the resale value of your car. Since you
are basically paying back the entire cost of the vehicle (including trade in and down payment) a
loan’s monthly payments are higher than when leasing a car. Also when you want to get a new
car you will have to find a buyer or trader for the old one.