Buying out a Vehicle lease before its up. - Calgarypuck Forums - The Unofficial Calgary Flames Fan Community

Gundo · 01-09-2010, 01:42 PM

I leased a Truck a couple of years ago and have about 8 months left on the Lease. I love my truck and will buy it out at the end of the term. I was wondering if anybody know which is better, to buy it out at the end of the lease term or before it is up, which position would give me a little more bargaining power (if any) to possible get the buy out price lowered abit. I figure most dealerships (Chevy) would like to keep leases from coming back if possible.

Any help would be greatly appreciated.

4X4 · 01-09-2010, 01:45 PM

Pretty unlikely that you'll get a deal for buying it out early. Probably get penalized for it.

Gundo · 01-09-2010, 01:47 PM

I do know I wont get penalized for buying it out, it says in my lease contract that I have the option to switch it over to a finance at any time.

Sylvanfan · 01-09-2010, 02:17 PM

Quote:

Originally Posted by Gundo

I do know I wont get penalized for buying it out, it says in my lease contract that I have the option to switch it over to a finance at any time.

You can probably save on the interest and taxes a bit. But I suspect the difference between the residual buy out today, and the residual buy out when the lease expires will pretty much end up being the same in total dollars.

Shazam · 01-09-2010, 03:10 PM

Interest works on a declining basis, so you don't have much left interest left (i.e. most of your payment now goes towards principal).

You only have eight months left, so if you want another vehicle from them they might do something for ya.

GreatWhiteEbola · 01-09-2010, 03:19 PM

Quote:

Originally Posted by Gundo

I leased a Truck a couple of years ago and have about 8 months left on the Lease. I love my truck and will buy it out at the end of the term. I was wondering if anybody know which is better, to buy it out at the end of the lease term or before it is up, which position would give me a little more bargaining power (if any) to possible get the buy out price lowered abit. I figure most dealerships (Chevy) would like to keep leases from coming back if possible.

Any help would be greatly appreciated.

I do not believe the buy-out is negotiable, it is a contract, I could be wrong. I bought out my last lease, didn't even bother to haggle. My kms were way over the allotment.

csnarpy · 01-09-2010, 05:02 PM

I talked to my dealer about that, last year, he said I could always buy out the lease but I would still have to pay out the remainder of my payments.

3 Justin 3 · 01-09-2010, 06:40 PM

I tried to haggle with my lease, my parents said I could, and my boss said I could, when I got there, there was no haggling to be had. Lesson learned I guess.

However, I did get like $900 off because I made the payment out to Shaganappi rather than GMAC, or something like that.

If you buy it out early, you'll still have to pay all the remaining payments. As yours in finance, I'm not sure, have never financed. Regardless you'd pay full, no deal.

GreatWhiteEbola · 01-09-2010, 06:47 PM

Quote:

Originally Posted by 3 Justin 3

I tried to haggle with my lease, my parents said I could, and my boss said I could, when I got there, there was no haggling to be had. Lesson learned I guess.

However, I did get like $900 off because I made the payment out to Shaganappi rather than GMAC, or something like that.

If you buy it out early, you'll still have to pay all the remaining payments. As yours in finance, I'm not sure, have never financed. Regardless you'd pay full, no deal.

Yeah, that was my assumption. The haggling is done before you sign the lease agreement. After that, the contract is signed and you are bound to it.

Shazam · 01-09-2010, 07:20 PM

Sometimes they let you negotiate, sometimes not. It usually depends on the type of vehicle and how badly they set the buyback value.

flamesflames444 · 01-09-2010, 08:37 PM

I'm pretty sure that when you sign the lease agreement it is with the car company's finance arm and has nothign to do with the dealership. I bought old my car 2 cars ago before the end of the lease and you pay the residual + the monthly payment X the number of months + a lease penalty break fee (in my case another $850). The only reason I did it was the sports car market was hot a few years ago and I made a few K off the buyout by selling it.