Buying vs. Leasing a Lincoln: Which Is Right for You?
Should I Buy or Lease a Lincoln?
The right choice depends on your driving habits and ownership preferences.
Buying may make sense if you:
- Plan to keep your Lincoln for several years
- Drive more miles than a typical lease allows
- Want to build equity in your vehicle
- Want the freedom to customize your vehicle
- Prefer to eventually own your vehicle outright
Leasing may make sense if you:
- Prefer driving a newer vehicle every few years
- Want the flexibility of a shorter-term commitment
- Typically drive within the mileage limits of a lease
- Prefer changing vehicles more frequently
- Want to explore current lease offers on new Lincoln models
Buying
You own the vehicle once your auto loan is paid in full. You can keep it as long as you want, sell it or trade it in.
Leasing
You use the vehicle for the length of the lease term but don't own it. At the end of the lease, you may have options to return the vehicle, purchase it or enter another lease, depending on the lease agreement.
Buying
Depending on the financing arrangement, upfront costs may include a down payment, taxes, registration and other applicable fees.
Leasing
Upfront costs may include the first payment, taxes, registration, acquisition fees, a down payment and other applicable charges, depending on the lease terms.
Buying
Monthly loan payments include the amount financed, interest and applicable taxes and fees. Once the loan is paid off, you own the vehicle without a monthly loan payment.
Leasing
Lease payments are generally based on the vehicle's expected depreciation during the lease term, along with applicable finance charges, taxes and fees. Payment amounts vary based on the vehicle and lease terms.
Buying
You can generally sell or trade in a financed vehicle before the loan is paid off, but you'll need to account for any remaining loan balance.
Leasing
Ending a lease before the scheduled maturity date can result in early-termination charges. Review your lease agreement or contact the finance team to understand your options.
Buying
There is no scheduled vehicle return. You keep the vehicle unless you choose to sell or trade it.
Leasing
At the end of the lease, you generally return the vehicle and complete the applicable end-of-lease process. Depending on your agreement, you may also have an option to purchase the vehicle or lease another vehicle.
Buying
The vehicle's value may depreciate over time, but any equity you have when you sell or trade the vehicle belongs to you.
Leasing
The lease agreement establishes a residual value used in calculating the lease payment. You generally don't build ownership equity in the vehicle during the lease term.
Buying
There are generally no contractual mileage limits when you own the vehicle, although higher mileage can affect its future trade-in or resale value.
Leasing
Leases typically include an agreed-upon mileage allowance. Excess mileage charges may apply if you exceed the allowance stated in your lease agreement.
Buying
There are no lease-end wear-and-use charges. However, excessive wear or damage can affect the vehicle's trade-in or resale value.
Leasing
The vehicle must generally be returned in accordance with the wear-and-use standards in the lease agreement. Charges may apply for damage considered excessive.
Buying
Once your loan is paid in full, you own the vehicle. If you still have a loan balance, you continue making payments according to your financing agreement.
Leasing
At the end of the lease, you can typically return the vehicle, purchase it if a purchase option is available, or explore another vehicle and lease. Your specific options and fees depend on your lease agreement.
Buying
Because you own the vehicle, you generally have more freedom to customize it, subject to applicable laws and any outstanding financing requirements.
Leasing
Because the vehicle must generally be returned at the end of the lease, modifications may need to be removed and the vehicle returned according to the lease agreement.
Lease & Purchasing Terms & FAQ's
- What is a Car Dealer Acquisition Fee?
- A fixed dollar amount that is charged by the lessor that offsets some of the costs related to setting up a lease account.
- What is a Closed End Lease?
- A lease in which the lessor is responsible for the difference between the residual value and the realized value provided that the lessee retains the vehicle until the date of maturity. The lessee may still be responsible for excess mileage, wear and use.
- What is a Car Dealer Disposition Fee?
- A fee charged by the lessor at time of termination to process the return of the vehicle.
- What is Excess Mileage?
- Mileage which exceeds the standards for normal use listed on the lease agreement, for which a lessee may be charges when the vehicle is returned.
- What is Excessive Wear and Use?
- Damage that exceeds the standards for normal use listed on the lease agreement, for which a lessee may be charged when the vehicle is returned.
- What is Residual Value?
- The estimated value of the vehicle at the end of the lease; this value is used to determine a portion of the monthly payment.
- What is a Down Payment When Buying or Leasing a Car?
- Cash paid up-front by a borrower to reduce the amount financed in a lease or loan. While a large down payment can reduce your monthly payments, it also likely will be forfeited in the event of a totaled or stolen vehicle.
- What is Annual Percentage Rate (APR)?
- Also called a finance rate, this is the interest rate on a loan; a percentage of the amount borrowed that a lender charges annually for the use of its money.
Although every reasonable effort has been made to ensure the accuracy of the information contained on this site, absolute accuracy cannot be guaranteed. This site, and all information and materials appearing on it, are presented to the user "as is" without warranty of any kind, either express or implied. All vehicles are subject to prior sale. Prices include all costs to be paid by a consumer, except for licensing costs, registration fees, and taxes. ‡Vehicles shown at different locations are not currently in our inventory (Not in Stock) but can be made available to you at our location within a reasonable date from the time of your request, not to exceed one week.