How To Buy Your Leased Vehicle

At the end of your lease the cost to buy out your vehicle often corresponds to the residual value.

How to buy your leased vehicle. The alternative is to return the car to the dealership. The buyout price refers to the amount required to purchase your leased vehicle. Buying out your leased car can be a good deal. You should call the company or dealership and speak to your leasing agent to notify them that you want to buy the car. If allowed ask your buyer to write two checks.

One to you for your equity and another to the lease company for the contract purchase price. That way you can save some time trying to decide what to do at the dealership and get right to the negotiations on how much you re going to pay for your car and whether you ll pay with cash or take out a car lease buyout loan. Financing a leased car purchase is the same as financing any used car purchase. Pre qualify to buyout your leased vehicle no credit impact. If a buyout option was part of your lease agreement you typically have the option to buy your leased vehicle at the end of your lease.

But a three year car lease is not set in stone. Just make sure to shop for loans and be ready to negotiate price. A lease buyout could be a good idea as long as you shop around first. Inform your leasing company that you want to buy the car. If you know you want to sell the car ask your lease finance company if they allow a third party purchase which eliminates double taxation and fees.

If your car is worth less than the purchase option price. Your next step is to notify your dealer which may have already contacted you depending on how close you are to the end of your lease with your intention to buy the car. You may be able to buy your lease early most lessees will drive their leased vehicles until the end of the contract typically 36 months and return it to their dealer. Some dealerships are flexible on the buyout price but you re usually locked in after signing your lease contract. You do not have to rely on your manufacturer s captive finance company.

If you opt for a lease buyout when your lease is up the price will be based on the car s residual value the purchase amount set at lease signing based on the predicted value of the vehicle at the end of the lease. The leasing agent will notify you of any penalties or fees you may need to pay. While you wait for them to call you shop around. Regardless when buying a lease you should at least have a decent idea of what your leased vehicle s value is at the end of the period. If you can t afford to buy your leased vehicle outright you will need financing.