Buy a Leased Car without Getting Ripped Off
You like your leased car so much you want to keep it? No problem. Here’s what you need to do to get the best deal. Follow these steps and you will avoid paying too much for the car you’ve grown fond of.
Step 1: Call the Leasing Company
Call your leasing company and ask what the buyout price for the end-of-lease date is. Your security deposit will be deducted from this amount. Find out whether you will also have to pay a purchase option fee if you buy your leased vehicle. Do this just to make sure the dealership’s price isn’t way off.
Step 2: Check the Residual Car Value.
This is the predicted value of the car at the end of the leasing period. You can estimate it here. If you’ve exceeded your mileage allowance or there’s excessive wear and tear on the car, don’t mention that to the leasing company yet. Declaring this can significantly skew your expenses.
Step 3: Determine the Current Market Value of Your Car
This tells you how much the car is selling for in your area. You can find this number at Kelley Blue Book or in our Buying Advice Guides.
Step 4: Negotiate
Now you are ready to bargain with the leasing company. Remember that the leasing company would generally rather you keep the car and save them the trouble of reselling it or taking it to an auction. So, they should be very willing to hear your offer. That gives you an advantage. If you need negotiating advice, click here.
Your goal is the lowest price possible. However, the reason you’ve researched the market value is because of one thing. If the market value is much higher than the residual value, you’ve got a good deal because you’ve been making payments on a lower value than the car is actually worth. Don’t offer lots of money for the car but keep in mind that you can probably sell the car for the market value if you have to. Is this confusing? See this article for a breakdown of the facts.
You’re all set. Good luck! In the event that you decide to return your lease and buy or lease another car, make sure you get quotes from local dealers online. Click here to get quotes with a few clicks.
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