Both have their strengths but, in general, the answer depends on your budget, your cash flow and the kinds of vehicles you like to drive. For example, if you want to work toward owning your car, instead of always making payments, a loan might be best. Buying can also give you more freedom in how you drive. With a lease, you have annual mileage limits and if you exceed those, you have to pay a penalty. With leasing, the biggest advantage is that your monthly lease payments are less than loan payments on the same vehicle. Another advantage is that you can drive your leased vehicle for the term of the lease, usually 36 months, then just bring it back, drop it off and step into a new lease – and a new car. You don't have the hassle or expense of selling your previous vehicle in a nearby community like Norwood MA.