4. The lease versus purchase analysis - Part 1 Which Is Better: To Lease or To Buy? a hver has two financing alternatives to lease or to purchase. Each has operational as well as financial advantages and disadva Therefore, it is critical that you be able to compare them for yourself and make your own decision. Remember, a dealer will recommend the strategy that is most advantageous to him or her. You must protect your own interests. Read each statement that follows and indicate whether it identifies an advantage or disadvantage of a lease or a purchase transaction to acquire a new or previously owned vehicle. More closely associated with a Lease Transaction More closely associated with a Purchase Transaction Statement Fewer maintenance headaches since the term of the contract is usually equal to the length of the warranty You can take advantage of available dealer or manufacturer rebate or other buyer incentives How should you decide whether to buy or to lease a vehicle? Check all that apply. Relate the advantages and disadvantages of leasing and purchasing to your personal situation and decide which financing alternative is better for you at the current time. Accept the financing alternative suggested by your friends. D Accept the financing alternative suggested by the dealer. Uses lesserversus purchase worksheet to identify and compare the total costs of leasing and purchasing and select the method that minimizes both your total cash outlay and your opportunity costs