Buying a new car is a big purchase, one you can enjoy for years. But for some, it may make more sense to lease rather than buy.

There are advantages and disadvantages to both decisions. To understand whether leasing is a good fit for you, consider these 5 factors.

5 Factors to Consider for Leasing A Car

Monthly Cash Flow-When you lease a car, you’ll often have lower monthly payments as compared to financing a car with the same terms.

Why? With leasing, you’re paying for the depreciation during the three-year lease, not the whole cost of the vehicle.

So, if you need to have more monthly cash flow, leasing may be right for you.

Down payment and Initial Fees-Most leasing agreements have low down payments. Sometimes, however, you can get the dealer to wave the down payment.

You’ll also pay less sales tax for a leased vehicle because in most states it’s calculated based on monthly payments, not the total cost of the car.

Again, this could be a good option if you’re trying to lessen the monthly impact on your budget.

Driving-If you drive over 10,000-15,000 miles per year, you’ll probably pay extra, depending on your lease agreement.

According to Smart Money, leasing companies often charge somewhere around 15-20 cents per mile for each additional mile beyond the agreed upon mileage terms.

If you buy more miles upfront, you could pay as little as 10 cents per additional mile. Sound a bit daunting? Here’s another consideration. If you were to buy a new car and trade-in your old car, you’d be penalized for above average mileage, too.

Leasing for Business-Leasing a car for business is often a good choice because a portion of the vehicle’s financing costs and depreciation are tax deductible. If you buy a car for business, you don’t have that advantage.

Check out the IRS’s guide for calculating tax deductions for leased cars.

Care of the Car-If you’re hard on a vehicle, you may want to re-consider leasing because of the wear and tear fees. These fees vary depending on your leasing agreement, but typically are limited to three months’ of leasing payments.

Length of Ownership-This is a big consideration. If you plan to keep the car for only a few years, then leasing is a convenient option. But if you want to get out of your lease early, it will cost you as much as six additional leasing payments. Bottom line, make sure you can stick to the lease terms.

Certainly, the biggest distinction with leasing is that you get to have a new car every few years. You also don’t have to worry about trying to sell your old car. And you avoid hefty repair bills for an older car. Just turn in your leased vehicle to the dealer and select another new car.

The important consideration is always your lifestyle preferences and your monthly budget. There really isn’t a wrong choice here. It simply comes down to what works for you!

Visit Joe Bowman Auto Plaza to see our vast inventory of new and used vehicles!

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Purchases such as buying furniture, homes, even vacations, have very little wiggle room when it comes to negotiating the price. The price is the price!

That’s not the case when buying a pre-owned car. Not only is a used car a great investment because you save more money, the consumer usually has negotiating power.

But did you know that there are five more surprise benefits to buying a pre-owned car?

Lower depreciation, Lower Price Tag-It’s no secret that a new car loses its value the minute it’s driven off the lot. The reason is simple. Once the vehicle is purchased, it’s now considered to be used.

A buyer will not pay full price for a vehicle that has been titled to someone else. A pre-owned car, on the other hand, has already lost its new car value through depreciation.

Think about it. If you bought a new car in 2008 for $25,000, it would now be worth about half that. Or, if you buy a car that’s 1-2 years old, it will still have some depreciation, but you’ll lose money less quickly.

Either way, you won’t take the big money hit that the original owner did.

Cheaper Maintenance Costs-With pre-owned cars, it’s much more likely that it will be cheaper to fix than a newer car. Used car components are usually very available on the after market, making it easy for your mechanic to get parts without a problem. Newer model cars don’t have this availability.

Declining Registration Fees-For pre-owned vehicles, the annual registration fee declines because it’s based on the model year and the car’s value. The rate is generally highest during the first three years of a vehicle’s life then levels off after five years.

Cheaper Features on Pre-Owned Cars-You can add whatever gizmos you want on your used car, and at a cheaper rate than blinging out a brand new car. What’s more, if you are searching for a vehicle with a sun roof or navigation system, you’ll get it for far less than the original new price.

No, you may not get everything you want in a pre-owned car, but you also won’t pay extra for additions you didn’t ask for.

Like New Condition–Because today’s vehicles are built to last at least 100,000 miles, you don’t have to sacrifice reliability to get a great car. Instead, you can get a good deal on a pre-owned vehicle that’s in “like new” condition.

Here at Joe Bowman Auto Plaza, we have 30/60/90 day warranties on all of our pre-owned vehicles, depending on mileage and year.

Additionally, all of our used cars must pass a rigorous 75-point checklist before being listed for sale on our lot.

And it must be in 100% tip top mechanical condition or it isn’t for sale. To learn more about our Harrisonburg car dealership, visit our website.

We offer an extensive line of pre-owned cars that you can browse at your convenience.

Or, stop in to see us! We’re happy to answer any questions you may have.

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It’s a hotly debated issue between consumers and financial gurus, is it better to pay cash for a new or used car?

Or should you consider a Harrisonburg auto loan financing option? The short answer to both is, it depends.

Basically, there are 3 ways to buy a new or used car:

–Pay cash
–Finance the vehicle
–A blend of the first two

That’s why getting the “best deal” on a new vehicle really comes down to your finances, your monthly budget, and your future plans.

There are plenty of vehicles to buy up and down the Harrisonburg Motor Mile! So, let’s take a look at the advantages and disadvantages of each method for getting into that new vehicle.

No Auto Loan Financing: Paying Cash for Your Car

By far, paying cash is the preferred method for most people when buying a new vehicle, although it’s not always in reach.

If plunking down a big chunk of money won’t deplete your emergency fund, reduce your ability to save money for big ticket items like a new home, or interfere with your ability to pay your monthly bills, then this is a good way to go.

Who doesn’t want to own a vehicle free and clear right from the start? Plus, budgeting for a new vehicle will keep you from spending more than you can afford.

However, some experts believe you should never pay cash for a car. Their thinking is that you can invest that money and make more with your investments than you will in the interest payments on the loan.

On the flip side, that means you have to be a great investor and that the economy has to continue to grow. While theoretically it’s good advice, it’s not good for everyone!

If you’re buying a used car that doesn’t have a big price tag, then paying cash is a good option. You can avoid the the necessary paperwork for used car financing.

If paying cash prevents you from taking advantage of financing incentives like cash back, do the math to be sure it makes sense to finance.

Also, if you’ve got the discipline to take advantage of a dealership’s 0% offer, and you know you’ll make your payments religiously, AND you won’t spend the cash you’ve put aside, then that offer could save you some dough.

You can leave your money in a CD or savings account until it matures. Yes, you’ll have to pay taxes on it, but you’ll come out ahead in the long run.

Auto Loan Financing

If paying cash isn’t a good option for you, there are many auto loan financing options on the market.

Here at Joe Bowman Auto Plaza, we have a wide network of lenders. That means we can usually find the right lender to match what you need for comfortable monthly payments.

If you have your own personal line of credit, that’s another solid way to go. Credit lines typically have low interest rates with flexible payment plans.

And if you’ve had bad credit in the past? We’ve got good options for you as well.
Because we do have such a good variety of lenders to choose from, we can shop around and find one that won’t gouge you on interest.

This will allow you to build equity, helping to restore your credit. Check out our bad credit auto loan program to learn more.

Down Payment and Financing

Making a large down payment is another smart way to go. This allows you to reduce the size of your car loan, potentially shorten your loan, and the amount of interest you’ll pay.

Each dollar designated as part of your down payment is that much less you’ll have to pay on interest.

So what’s the bottom line? Simply, that there is no “right” way to buy a vehicle. It all comes down to what works for you and your monthly budget.

The real bottom line is preserving and growing your credit, while still allowing you to enjoy your new car without stressing out over payments!

Learn more about us at www.joebowmanautoplaza.com. Joe Bowman Auto Plaza serves Harrisonburg, Staunton, Winchester areas.

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While buying a new car is nice, here at our Harrisonburg VA dealership, we see many practical reasons why a lot of people choose to buy a pre-owned car. Some of those reasons may surprise you!

Lower Depreciation-As soon as you buy a new vehicle, it loses value when it hits the highway. Smaller cars lose approximately $7400 in the first year of ownership, according to Edmunds.com. Luxury cars also lose more value initially because there’s more money to lose.

Used cars and trucks, even if they are just a few years old, tend to hold their value longer over time. And there are certain brands of vehicles that tend to retain their value longer, which makes them an even smarter buy. 

To avoid that immediate loss of depreciation, preowned car buyers choose a vehicle that’s between 1-3 years old.

Price-Because of depreciation and mileage, preowned cars sell for less.

Warranties-Yes, new cars have a manufacturer’s warranty that’s based on mileage driven in a given period of time. But we’re proud to say that at Joe Bowman Auto Plaza, our pre-owned vehicles also come with a warranty.

Depending on the age and mileage of the vehicle, expect a 30 or 90 day warranty. Additionally, before a vehicle is eligible for sale on our lot, it must pass a 75-point checklist inspection.

As far as it is mechanically possible, we want to ensure that the vehicle is in tip top condition!

Insurance Bargains-Generally, car insurance companies insure pre-owned cars at much cheaper rates than a new car, depending on the model. New cars cost more, so naturally insurance premiums are higher.

Environmental Impact-You can reduce your carbon footprint by buying a quality pre-owned car. Instead of adding yet another new vehicle to the road, a preowned car, truck, or SUV reduces that number.

Today, buying a preowned car is a good value. And, when you buy through Joe Bowman Auto Plaza, you are assured that the vehicle has gone through a rigorous inspection by our certified mechanics.

But the service doesn’t stop once the sale has been made. When it comes time to service your vehicle, Joe Bowman customers receive preferred scheduling. If you bought your vehicle from us, you will receive a higher service priority than a vehicle that wasn’t bought at our dealership.

Plus, for as long as you own your vehicle, you receive a free yearly state inspection. Stop by and see us or check out our inventory online.

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It probably comes as no surprise that consumers are holding on to their cars longer. A lot longer, as in 11.6 years. Here at our Harrisonburg VA dealership, we see this a lot.

That’s why it’s important to carefully rule out the clunkers so that you can get a quality used car, especially if you choose to buy a car privately.

If you choose to buy a pre-owned car, truck, or SUV from Joe Bowman Auto Plaza, rest assured that each vehicle must pass a 75-point checklist to be eligible for sale.

Further, each vehicle, depending on the mileage, comes with a 30/60/90 day warranty.

For private used car buying, take a look at the 5 telltale signs of vehicles you should avoid.

5 Signs You Should Walk Away from Buying A Particular Used Vehicle

You love it. It’s perfect for your lifestyle, but is it worth the money? Take a tour around the vehicle to find out:

Excessive Rust-This is the most obvious. Some rust is expected on a used vehicle. But, if the undercarriage looks rusty, walk away. It could mean there are structural issues, which will mean an expensive repair.

Also look for excessive rust with bits of metal flaking off. And you want to avoid cars with rust in the key area. However, a spot of rust in the driver’s foot well or in the wheel may make sense, especially if it’s an older vehicle.

Electrical Issues-These are hard to fix, especially with imported cars, not to mention, expensive. Check lights, traction control, windshield wipers, and brake lights.

Dashboard lights-Does the “check engine light” come on when you start the car? If it doesn’t, it could mean that the bulb is blown. Or, it could mean that the seller is trying to hide a faulty engine. If the oil light comes on, definitely walk away!

Very low price-Maybe it really is an insanely good deal, but more often than not, it’s a red flag that the owner just wants to unload it. Vehicles priced below their current value with no issues is incredibly rare.

Funky Interior Smell-Used vehicles with a moldy or musty smelling interior could mean it has experienced possible flood damage. Insurance companies generally write off a vehicle as a total loss when this happens because water damages nearly every system. Walk away!

Bottom line. Check out the vehicle thoroughly. And, of course, if the seller doesn’t consent to having the car checked out by your mechanic, that’s a huge red flag.

You must feel confident that the vehicle is in good mechanical condition. Otherwise, what’s the point?

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Auto safety has come a long way! Some of the first automobile designs were rigid and resistant during an accident.

That meant the vehicle did not sustain as much damage, but the occupants did. The force from a collision was usually fatal.

While the problem was well known in the auto industry, a solution had yet to present itself. That is, until 1953, when a Mercedes-Benz engineer, Bela Barenyi, who had studied the problem for a long time, came up with an idea.

He invented the “Ponton” or three-box body for Mercedes, the model series W120, a pre-cursor to the crumple zone technology.

It wasn’t until 1967, though, that the Mercedes Heckflosse, or Fintail, featured the first crumple zone technology, which included a safety cage and a trunk that was almost 50% bigger.

The Science Behind Crumple Zones

Isaac Newton’s first law of physics says that an object in motion will stay in motion with the same amount of speed and in the same direction unless intervened by an unbalanced force.

And that’s exactly what happens with an automobile accident. Passengers continue to move unless stopped by a seat, dashboard, etc. Internal organs continue to move even if the body stops, causing severe injuries.

Newton’s second law states that force equals the mass multiplied by acceleration. So, in an automobile accident, the force of the automobile and its occupants decreases if the time required by the vehicle to stop increases.

Newton’s Laws and Crumple Zone Technology

Basically, crumple zones work according to Newton’s two laws. Placed at the front and rear of the vehicle, they absorb the impact of a head-on collision and help to delay collision impact.

Instead of very rigid vehicles colliding causing a high likelihood of human casualties, crumple zones take the hit, increasing the time before the vehicle comes to a stop.

Additionally, the passenger cabin is reinforced using high strength steel and more beams. And with the invention of seatbelts and airbags, they, too, perform this life-saving task.

How Crumple Zone Technology Works in An Auto Crash

Have you ever seen a car accident and wondered how the victims survived? You can thank crumple zone technology for this miracle. 

The outer body of the car is weaker while the passenger area is structurally reinforced. This design allows for the absorption of the impact while preserving the integrity of the passenger cabin.

Today, crumple zone technology is outfitted on the rear and sides of vehicles, especially small cars.

Safety Today

At Joe Bowman Auto Plaza, we’re proud of the considerable strides the automobile industry has made to make vehicles safer. Chevrolet has certainly been a part of the legacy in creating safer cars.

Here at our Harrisonburg dealership, we do our part as well. Every preowned vehicle that is sold on our lot must pass a 75-point checklist or it is not eligible for sale. And depending on the age and mileage of the vehicle, we offer either a 30 or 90 day warranty.

To learn more about us, visit: www.joebowmanautoplaza.com

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While used trucks can offer a tremendous value to the new owner, saving thousands of dollars in upfront costs, sometimes it makes sense to buy a new truck.

For consumers, there are 5 reasons to buy a new truck from Joe Bowman Auto Plaza:

• Gas mileage
• Technology
• Safety
• Better warranty
• Peace of mind

Each of these benefits offers a substantial savings over the life of the truck. And while a new vehicle does depreciate quickly, with regularly scheduled maintenance, the savings in gas mileage, warranty, and technology can make up for the difference in the long run.

New trucks also offer many new safety driving features that you won’t find on older vehicles. For example, 40% of US drivers want blind spot detection and prevention. In fact, it’s one of their most preferred features, according to the 2015 US Tech Choice Study conducted by JD Power.

Makes sense, doesn’t it? The good news is that new trucks offer this very valuable safety feature. What’s more, cars and trucks are much safer in the event of a collision. With the new crumple zone technology, vehicles offer more protection because of the ability to absorb shock and reduce impact to the human body.

Fuel economy is always a top priority for anyone owning a vehicle. Americans are constantly on the go, and they want the most bang for their buck at the gas tank. Late model trucks offer better fuel economy than ever before.

While used trucks at Joe Bowman Auto Plaza do come with a warranty, new trucks offer a longer warranty, which means greater peace of mind.

Buying A New Truck for Business Just Makes Sense

If you’re a small business owner, buying a new vehicle is the way to go. The IRS has a little known tax deduction increase in Section 179, which was raised from $25,000 to $500,000 in 2016.

That means instead of depreciating a vehicle over time, companies can now write off the entire amount. No waiting required. Learn more about this deduction here. 

As always with the government, there are considerations. The truck must meet certain criteria before it can qualify for their write-off.

For example, the IRS wants to make sure that the vehicle you’re purchasing is rated to carry supplies and materials back and forth for business reasons.

The $500,000 maximum annual limit now permits a company to purchase as many as a dozen trucks in a single year, allowing all to be written off.

That’s a significant tax savings!

Which is Better, New or Used Truck Buying?

There really is no right or wrong answer to this question. It all depends on your lifestyle choice. What we can tell you is this. At our Harrisonburg dealership, we’ve got you covered either way.

As a Joe Bowman used truck buyer, know that all of our preowned vehicles must pass a 75-point checklist or we will not list it for sale. Our certified mechanics go over every inch of the truck to ensure its safety.

In as far as it is mechanically possible, we do our best to ensure that the vehicle is 100% safe and in tip top working order.

With an extensive line of quality new and used trucks to choose from, let Joe Bowman Auto Plaza’s 60+ years of service guide you in your decision. We’re here to help!

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