---
id: faq-0017
title: "What's the difference between financing and leasing?"
category: faq
subtopic: financing
page_type: faq
source_url: "https://www.castlecadillacmchenry.com"
tags: ["financing", "lease", "buy-vs-lease", "ownership"]
questions:
  - "Should I lease or buy?"
  - "What's the difference between a lease and a loan?"
  - "Which is cheaper, leasing or financing?"
related: [lease-terms, financing-options]
dealer: Castle Cadillac McHenry
---

**Financing (buying):** You take out a loan to purchase the car, build equity over time, and own it after the loan is paid off. You're responsible for maintenance (though our Service team is here to help), and you can drive unlimited miles. Perfect if you want long-term ownership and the freedom to customize.

**Leasing:** You pay a monthly fee to drive a new car, usually with warranty coverage and no major repair worries. Mileage is limited, and you return it at lease end. Great if you like driving something new every few years with predictable costs.

Each has benefits-ownership builds value, leasing keeps payments lower with less hassle. Castle Cadillac McHenry's Finance team can compare both paths for you. Call (779) 265-4427 to discuss which aligns with how you drive and what matters to you.