Should You Buy or Lease Your Next Semi?

When you find yourself in the market for a new commercial semi truck, there are numerous considerations and important decisions you need to make. One of the most significant decisions regards whether you should buy or lease your next semi truck. There are particular distinctions to leasing vs. buying a truck that can help inform your ultimate decisions and guide you to more effectively and efficiently choosing the right commercial vehicle to support and promote your needs and interests. What is your current experience level with buying or leasing commercial vehicles? Have you ever leased a semi truck before? Suppose you’ve only ever been a commercial truck driver. Still, you have an interest in switching things up and obtaining more independence as an owner-operator of one or more fleet vehicles. In that case, Handshake Fleet is here for you. 

Making the right decision to protect and promote your particular needs and interests is essential. With extensive knowledge and expertise in selling and leasing commercial trucks and trailers out of Chicago, Handshake Fleet is here as your go-to guide to some of the top distinguishing details of buying and leasing a new semi truck or other commercial vehicle to help inform your decision and purchase of the right vehicle for your needs and aspirations. In this article, we’ll discuss the specific details of leasing vs. buying a truck and the options to lease or buy a truck to help you effectively answer “Should I lease or buy a truck?” and, more specifically, “Should you buy or lease your next semi?” 

Leasing vs. Buying a Truck

When you’re in the market for a new commercial vehicle, such as a new semi truck, it’s essential to make the right decisions to protect and support your assets, interests, and career goals. There is much to learn about leasing or buying a new commercial vehicle. A greater understanding of the pertinent details of leasing vs. buying a truck can help you make the right decision for protection and support and avoid some unnecessary or otherwise significantly detrimental costs and impacts. When distinguishing between leasing and buying a truck, there are two essential types of lease drivers. A lease truck driver can lease from a specific commercial equipment financing source and ultimately broker their freight types. They can also lease from a trucking carrier and simply retain freight access.

While the decision is ultimately yours to make, truck drivers often find it easier to essentially lease with an established trucking source when they’re new to semi truck or other commercial vehicle leasing. Some of the top benefits of leasing your next semi truck include the potential to make a significant profit, enjoy a greater level of flexibility, pay minimal upfront costs, and get to be your boss. However, there are also some potential drawbacks to consider when leasing a new truck. These potential drawbacks include making weekly truck payments, paying for maintenance costs, fuel, and more, figuring out your tax details, and doing extensive planning to achieve success. Some of the top tips for leasing success include researching, reading the contract’s fine print, improving saving skills, and talking to your dispatcher about freight options.

Should I Lease or Buy a Truck?

Answering pertinent questions such as “Should I lease or buy a truck?” for yourself is essential to experiencing the most significant trucking success. The choice between buying and leasing a truck can be challenging to make. On the one hand, buying a new semi truck or other commercial vehicle can involve higher monthly costs. However, you end up owning the vehicle in the end. On the other hand, a commercial vehicle lease can potentially have lower monthly payments and allow you to drive a vehicle that may be ultimately more expensive than you might otherwise be able to afford. However, you can also get into a cycle where you never stop paying for the vehicle. With more people choosing a lease over a loan, the boom in commercial vehicle leasing shows little signs of ceasing. So, which option is right for you? 

When buying a new commercial semi truck or other vehicle with a standard truck loan, you borrow money from a bank, credit union, or other lending institution. Then you proceed to make monthly payments for several years. A portion of each payment goes toward paying interest on your loan, while the remainder goes toward paying the principal amount. The higher the interest, the higher the payment. 

Lease to Own a Truck

When leasing a new commercial semi truck or other vehicle, you pay monthly for driving your new vehicle for a fixed period. This payment is frequently less than the monthly cost of financing a new vehicle. However, the lessee must return the semi truck or other vehicle at the lease term’s end. Ultimately, a lease can have less flexibility than an outright purchase. With a lease, monthly payments are typically lower because you aren’t paying any principal. Over the long term, it’s typically cheaper to buy your next semi truck or other commercial vehicle and keep it until it’s too uneconomical to repair. Much ultimately depends on your specific needs. You also have the option to pursue a lease to own a truck, buying out your existing truck lease.

If you decide to pursue a lease to own a truck, you can enjoy a middle ground between owning and leasing. A lease to own or lease purchase is an ideal alternative to purchasing your next commercial truck with cash or financing, as it provides ownership to drivers once they pay the total amount in monthly or weekly payments. Some of the top benefits of this arrangement are secured truck loads, truck replacements, a minimal upfront capital requirement, operational and technical support, and repair and maintenance discounts. You may also pursue a lease to own a truck with a capital lease, which entitles a lessee to temporary vehicle use with some economic characteristics of asset ownership. A capital lease is considered an asset purchase in accounting.

Buying and Leasing With Handshake Fleet

In addition to answering “Should you buy or lease your next semi?” and following these top tips for success, It’s also essential to buy or lease from a reliable, trustworthy commercial fleet source, such as Handshake Fleet. When considering your answer to “Should you buy or lease your next semi?” trust Chicago’s Handshake Fleet to provide reliable, worthwhile buying and leasing options.