There are many purchase options which include renting, borrowing, using one at a local school or college, or even just using the piano your teacher provides, which means not practicing. Renting may be the best option if you cannot afford monthly payments on a more expensive payment or come up with the full amount.
Renting an acoustic piano is possible for under $100 a month and may be the best route for starting the piano. Grand pianos can get more pricey at $200 a month or more, while a keyboard may be the cheapest option for purchase or renting.
Some of the benefits of renting include:
-Testing out the piano before making a large financial decision.
-No long term commitment.
-Allows for piano practicing when you're living in a location that you don't plan on being in for a long period. Thus avoiding shipping costs which can be substantial, especially if you're moving abroad.
-Provides a solution for concerts to be held almost anywhere and is a great option for teachers who want to get creative with their recitals.
Some of the negatives of renting include:
-The condition of the piano may not be the greatest as it most likely has been played by several other pianists in the past.
-The choices are fairly limited so color, brands, and model may not meet your specific requirements.
-Renting is simply a bad financial decision if done in the long term.
In order to purchase a decent piano you'll have to make a significant financial decision. However, there are many options for those who are looking to purchase a piano. Below are some of the options that you will encounter when purchasing a piano.
Cash
As the saying goes "cash is king." This as true with piano sales as any other example. If you have several grand available this may be an option you are considering. However, keep in mind that if you pay cash for any investment you are foregoing what else that money could be used for. For example if you purchase a piano for $10,000 you could've invested that money and if your return on it, if invested, was 10% you could've made $1,000. If you have it invested in a piano you are foregoing that option. Keep this in mind when looking at piano financing options. If you can get financing for a cheaper rate than you can get a return on your dollar it may be best not to pay cash.
Equity Loan
If you are a homeowner or have assets that allow for a personal guarantee you could get a personal loan. Personal loans are typically paid back over shorter time periods and have competitive rates. If you have substantial equity in your home and very limited cash, consider this option.
Credit Cards
Depending on the price of the piano and the credit limit you currently have you may consider purchasing a piano with your credit card. Some credit cards offer cash back on purchase so you may even be able to get a percentage or two back when purchasing the piano.
If you can handle making the monthly payments or even paying cash after the credit card payment this may be a viable option for you. However, be smart about adding more debt to your situation as credit card rates can often be quite high. Be certain that you will be able to pay off the credit card in a short time period before you use it to purchase a piano.
Store provided financing
Some piano stores offer special financing to customers to help them purchase their piano. This may include interest free loans for a certain time period or lower interest rates so that they make a sale. If you can get an interest free loan without pre-payment penalties this is probably the best option. The reason being is that you can invest the cash you have today to make money via interest or investment returns while your piano costs stay the same. At the end of the interest free period pay off the loan before you get hit with higher interest rates. This strategy requires foresight and good financial management, but it the smartest way of purchasing a piano and utilizing the time value of money principle.
No matter what financing source you choose, when it comes time to make the final purchase make sure you get EVERYTHING in writing. Some stores will quote you a price including freight and tuning whereas others will itemize each service. However, even if it?s quoted, make sure it is in writing so you have a verifiable contract to refer to if there are any issues arise. Also, this is a good time to re-check your warranty and make sure it is valid in the country you are purchasing your piano.
For more information regarding pianos including free piano sheet music and a free piano buyers guide please visit http://www.freepianostuff.com
Discover online piano course reviews in the Play Piano Guide.
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