Leasing versus Buying: What's Right for You?

A question asked by many of our McMinnville, OR drivers when they come to our dealership in search of a new vehicle is whether or not they should buy or lease. With the average American driver trading in their car for a new one every three to four years, we recognize this is a common dilemma, but an easy one to overcome if you know the benefits.

Just like every Subaru car isn't a perfect fit for every driver, there is no one-size-fits-all auto finance solution for everyone. Both traditional car loans and lease options have benefits and drawbacks. The key is to determine which best meets your individual needs and desires.


Questions to Ask Before You Lease or Loan Your Subaru
  • Do I tend to trade in for a new car every few years?
  • Are low monthly payments or the ability to pay off a vehicle more important to me?
  • Do I want to avoid maintenance costs of an older vehicle?

Learn More About Auto Financing

Crunching the Numbers on Subaru Leases and Car Loans

If the cost and interest of a purchase loan (traditional car loan) is outside of your means, this means that leasing a vehicle may be your best bet. For example, if you acquire a new Subaru or used car with a $25,000 MSRP on a purchase loan, you're responsible for the entire cost, plus the additional finance stipulations of your loan. However, if you were to lease the same vehicle with a residual value of 50% ($12,500), you would only be responsible for that cost, in addition to the finance stipulations.

Basing payments off of residual value rather than MSRP is why lease payments are fundamentally lower than purchase-loan financing. Plus, you also save on the long term cost of a vehicle and don't have to deal with additional expenses as the years go by. For many, it's a fantastic option.

To learn more about our car financing, contact our sales team in the Willamette Valley and we'll walk through all the available options. You can also visit our financing page to learn more about your options, and even submit an application.

Jim Doran Subaru

1305 NE 3rd St
Directions McMinnville, OR 97128

  • Call or Text Sales: (503) 472-0383
  • Service: (877) 217-9571
  • Parts: (877) 217-9569


  • Monday 08:00am - 06:00pm
  • Tuesday 08:00am - 06:00pm
  • Wednesday 08:00am - 06:00pm
  • Thursday 08:00am - 06:00pm
  • Friday 08:00am - 06:00pm
  • Saturday 09:00am - 06:00pm
  • Sunday 11:00am - 05:00pm