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Should you Lease or Buy a vehicle? 🚙

Should you Lease or Buy a vehicle? 🚙
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When making a lease-or-buy decision, you must look at your financial abilities in terms of your debt load relative Your income. Mortgage Agents always pay attention on those factors when reviewing your overall financial picture.
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🔹Buy with a loan
When you buy, you pay for the entire cost of a vehicle, regardless of how many kilometres you drive. You typically make a down payment, pay sales taxes in cash or roll them into your loan, and pay an interest rate determined by your loan company based on your credit history. Later, you may decide to sell or trade the vehicle for its depreciated resale value.
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Loan payments also have two parts – a principal charge and a finance charge. 
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🔹Lease
When you lease, you pay for only a portion of a vehicle’s cost, which is the part that you “use up” during the time you are driving it. You have the option of not making a down payment, you pay sales tax only on your monthly payments, and you pay a financial rate, called a money factor, which is similar to the interest on a loan. You may also be required to pay fees and a security deposit. At lease-end, you may either return the vehicle or purchase it for its depreciated resale value.
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Lease payments are made up of two parts – a depreciation charge and a finance charge.
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Speak to IK Mortgage Agents and get Pre-Approved for a fast and smooth closing - visit ikfinancial.com and BOOK a consultation.