Lease vs Purchase


 
     LEASING    VS   PURCHASING


OWNERSHIP:


Honda Financial Services (the lessor) owns the vehicle.

 



OWNERSHIP:

The customer (through either a cash transaction or financing it through a lender) owns the vehicle.  The bank or lender holds the title until the Honda vehicle is paid off.


 UP-FRONT COSTS:

May include first month's payments, refundable security deposit, taxes, registration fees, and license fees.  Taxes and fees may be paid monthly (may vary by state). In Hawaii, taxes are added to the monthly payment.

 UP-FRONT COSTS:

The customer pays the full cash price or, if the customer finances it, a down payment, taxes, registration fees, and other charges are due.


 

MONTHLY PAYMENTS:


Depending on the term selected, monthly lease payments can be much lower.  This is because the customer only pays for the portion of the vehicle that is being used during the term.



MONTHLY PAYMENTS:

If the Honda vehicle is financed, the first payment is due one month after the customer signs the contract.  Overall, the monthly payments are higher because the customer pays the entire purchase price of the vehicle plus the finance charge (APR).

EARLY TERMINATION:

The customer is responsible for any payments remaining and excess mileage only.  Honda Financial Service DOES NOT HAVE AN EARLY TERMINATION FEE.

 EARLY TERMINATION:

The customer is responsible for any payoff amount and possible minimum finance charge if the loan ends early.  Honda Financial Services DOES NOT HAVE AN EARLY TERMINATION FEE.

 TERMS:

Maximum Term is up to 48 months
 TERMS:

Maximum term is up to 84 months
 FUTURE VALUE:

The customer doesn't have to worry about the residual value during a lease period since this value is set by Honda Financial Services at the start of the lease; it DOES NOT CHANGE.

FUTURE VALUE:

The customer has the risk.  The value of a Honda depends on driving habits, maintenance, and market value.


MILEAGE:

The customer can choose between a 12,000 or 15,000 mile-per-year lease.  Customers may also purchase additional miles at lease inception.  If a customer exceeds the mileage limit they opted for, they will be billed when they turn the vehicle in to Honda.  They will not pay a mileage penalty if the vehicle is traded.  Trade-in value will depend on driving habits, maintenance, and market value.

MILEAGE:

There are no mileage restrictions.  However, higher mileage accelerates depreciation which can create a lower trade-in or resale value for the Honda vehicle.  Trade-in value will depend on driving habits, maintenance, and market value.

 

 MAINTENANCE & REPAIR:

This is the customer's responsibility.  But depending on the amount of miles elected and the term of the lease; the Honda vehicle may be covered under the original factory warranty for the entire duration of the lease and may not reach the mileage requiring major services.

 
MAINTENANCE & REPAIR:


This is the customer's responsibility.






 END OF TERM:

At the end of the lease, customers have several choices.  They can purchase their Honda at the predetermined price (the residual value), return it to Honda and take care of any end-of-term obligations, extend the current lease, or use the leased Honda as a trade-in for another vehicle.


 
 END OF TERM:


At the end of the customer's finance contract (usually 5 or 6 years), the Honda is the customer's to keep or use as a trade-in for another vehicle.



 


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Honda Windward

45-671 Kamehameha Highway
Directions Kaneohe, HI 96744

  • Sales: (808) 247-8544
  • Service: (808) 235-7566
  • Parts: (808) 235-2067

Hours

  • Monday 9:00 A.M. to 9:00 P.M
  • Tuesday 9:00 A.M. to 9:00 P.M
  • Wednesday 9:00 A.M. to 9:00 P.M
  • Thursday 9:00 A.M. to 9:00 P.M
  • Friday 9:00 A.M. to 9:00 P.M
  • Saturday 9:00 A.M. to 9:00 P.M
  • Sunday 10:00 A.M. to 6:00 P.M