For many people, leasing a truck is appealing since it’s like getting a new vehicle every two to three years. Plus, you never have to worry about maintenance. However, for a business owner that needs new trucks to make deliveries or haul equipment, buying might be a better option. There are some things to consider when deciding on which route to take. We explore the advantages and disadvantages of leasing vs. buying a truck and provide you with questions to ask yourself before you decide on what to do.

Do you have money for the down payment?

Even if you have a vehicle to trade-in, you may have to kick in some cash toward your new purchase. If money is tight, you might want to consider a lease. Some leasing options that don’t require a down payment, which is much more appealing than taking out a loan.

How many miles will you put on the truck?

The next step is to determine how many miles the truck will endure yearly. The American Transportation Research Institute stated that “The trucking industry […] is heavily reliant on the 4 million miles of public roadway in the United States.” That’s a lot of ground to cover. As such, if you’re thinking of leasing, you’ll need to confirm that you won’t go over the mile limit that is set in the contract. If you think you will exceed the amount the dealer is offering on the lease, then buying is a better option. This is because if you go over the mile allotment, the dealer will penalize you at the end of the lease.

Will you keep the truck at the end of the lease?

Before signing any kind of contract, consider your plans for once the lease comes to an end. The biggest perk of leasing a vehicle is at the end of the period, you turn the truck over to the dealership and can then pick out a new one. However, if you plan on purchasing the truck once the lease ends, then you’re better off buying it from the outset. You will end up paying more for a truck you lease than if you bought it outright.

Will you need to cancel the lease early?

It is tough to see into the future; however, if there is any chance (no matter how small) that you may need to break the lease, don’t sign one. Just like terminating an agreement on an apartment, there will more than likely be penalties. There are a few circumstances that you could walk away from a lease penalty-free. For example, active-duty military deployment is one instance where an individual may be able to break a lease without any consequences.

HFI Truck Center is a proud provider of new and used Isuzu diesel trucks. Our team has been selling and servicing commercial trucks for over 80 years. If you’re in the market to buy or lease a new truck, contact us today.