How To Buy Out A Lease
Leasing a car has a list of benefits. Firstly, you get to stay in a newer vehicle. Generally a lease term is between two and three years. This means when the lease is up its out with the old and in with the new. Secondly, a lease usually takes little to no money down and you generally have a lower payment. Thirdly, you generally are covered under the manufacturer warranty the full term of the lease. This means no out of pocket cost for you when your car needs a repair.
In some cases it makes since to buy out a lease. How to buy out a lease is sometimes an intimidating question to take on. For this reason, through out this post we will help you determine if buying out your lease is right for you. We will also provide you with the resources to make the process easier.
Steps On How To Buy Out A Lease
1. Know The Value Of Your Leased Vehicle
First things first! No matter how convinced you are that you need to buy out your lease. Undoubtedly, you do not want to make a bad financial decision. You will want to do your own homework here. You need to have a clear idea of what your vehicles value is. A good resource to know the value of your leased vehicle is www.nada.com. Edmunds.com is also a great source for any used vehicle value. Both of these resources provide retail and wholesale values.
2. Find The Buy Out Price Of Your Leased Vehicle
With the Value of your vehicle in hand, its now time to find the buy out price of your leased vehicle. The best place to start is your last lease statement. Here you will find the phone number of your leasing company. At this time, you want to call the leasing company and request your buyout price. Certain leasing companies will require you to get this through the dealer. Additionally, some leasing companies want you to handle the transaction at the dealership. Handling it at the dealership will assure that you pay the proper sales tax.
Mileage overage is another factor you will want to consider. Firstly, if you are over on miles and turn the vehicle in there will be a charge for the miles. This is usually around .20 per mile but may vary. Secondly, if you buy out your vehicle and your mileage is over you don’t pay for the overage. Depending on the amount of overage this may be an important factor.
3. Know How You Intend On Paying For The Buy Out
When it’s time to make payment for your buy out you want to know how you intend on paying for the buy out. If you are writing a check then it is pretty simple. However, if you are financing you will want to do a little research. If handling this at the dealer they will want to offer financing. With this in mind, you will want to know what interest rate you should be getting. A great resource for current rates is www.bankrate.com/loans/auto-loans/rates/. If financing through your own bank you will want to know up front if you are considering buying a Extended Warranty for your vehicle. You can usually finance the warranty with the vehicle or with the warranty company up to 24 months.
4. Make The Transaction For The Lease Buy Out
If you are dealing with the dealership on the transaction it is pretty simple. You will set a date and time with the finance manager to make the transaction for the lease buy out, usually over the phone. Then you show up sign some papers and you are on your way. Your insurance coverage generally stays the same. You will have to update your lien holder with your insurance company if you financed it. Besides this, It is pretty simple and usually a quick process. If you are dealing with the finance company directly you will most likely handle most of the transaction through the mail. They will give you pretty clear instruction on this
5. Be Sure To Submit For A New Title At The B.M.V.
If you handle the transaction at the dealership they will generally handle all title transferring for you. If you are writing a check for the transaction or financing it yourself. You may have to transfer the title. If the title comes right from the bank to you it will still have the leasing companies lien on it. You will want to take it to the B.M.V. and have the lien removed and or the new lien placed on it if you borrowed from a bank.
Sometimes buying out your lease isn’t the answer. A lot of times a consumer is just wanting to get out of the lease because the parameters don’t work for a change in their transportation needs. If this is the case you might find our article Can You Turn In A Lease Early useful.
How Much Is A Lease Buyout
Determining whether or not to buy out your lease can be a tough decision. figuring out how much your buyout is shouldn’t be. Here we will give you the appropriate resources to help you find out how much is a lease buyout. Most of the time you will need to contact your Leasing company for this. We have given a list of most leasing companies and their phone numbers below. Some companies will make you contact the dealer for this info. Don’t be alarmed this is not out of the ordinary.
List Of Leasing Company Phone Numbers To Help Find Out How Much Your Lease Is
- Ally Financial: 1-888-925-2559
- Audi Financial: 1-888-237-2834
- BMW Financial: 1-800-578-5000
- Chrysler Capital: 1-800-334-9200
- Gm Financial: 1-800-284-2271
- Honda Financial: 1-800-708-6555
- Hyundai Motor finance: 1-800-523-4030
- Infiniti Financial: 1-800-887-5155
- Jaguar Financial: 866-931-3327
- Kia Finance: 1-866-331-5632
- Land Rover Financial: 1-800-336-6675
- Lexus Financial: 1-800-874-7054
- Lincoln Financial: 1-800-723-4016
- Mazda Financial: 1-800-227-5151
- Mercedes-Benz Financial: 1-800-654-6222
- Nissan Finance: 1-800-456-6622
- Tesla Leasing: email@example.com
- Toyota Finance: 1-800-874-8822
- Volkswagen Credit: 1-800-428-4034
How To Buy Out Someone Else’s Car Lease
So you have a friend talking about turning in their lease. Just so happens you are in the market for a vehicle and like their vehicle. Here we will go over How to buy out someone else’s Car Lease. This can actually be easier than you might think. First your friend or family member needs to obtain the buy out from the leasing company as described above. They will also want to let the leasing company know that they need a payoff to sell to a friend or family member. This amount may be higher or even not available. This does not mean that you can not buy the vehicle. You will just have to figure the lessee buying the vehicle and paying sales tax. This is the amount you will have to buy the vehicle for. You will then have to pay the sales tax again on this amount.
With you buying from an individual you will have to secure your own financing. Also, if you are wanting a warranty you will need to look into this yourself. If you shop a Mopar Extended Warranty you can make payments over 24 months with No interest. Mopar is the factory backed warranty for Chrysler, Dodge, Jeep, Ram, Fiat and Alfa Romeo. Although, you can put a Mopar warranty on any make vehicle. Mopar Extended Warranties are honored at any brand of franchise dealership nationwide.
There are other options to finding a Used Vehicle Extended Warranty out there you may check www.cartalk.com/extended-warranties. They do a great job of reviewing third party warranty providers. You can find multiple warranty providers at this one place for easy price comparisons.
Will Car Dealers Buy Out A Lease
Whether you just don’t need the vehicle anymore or you are at the end of the lease and are over on mileage. A question to ask is Will Car Dealers Buy Out A Lease. In certain cases and dependent on the market this could be a great option. Depending on the market some dealers are very interested in buying leased vehicles. Some times the dealer will actually put money in your pocket when they buy out your lease.
Which Car Dealers Will Buy Out A Lease?
A few specialty dealers across the nation will actually handle the whole transaction over the phone and or by email for you. One in particular Is Gaddis Automotive. You can contact their Business manager directly by email at firstname.lastname@example.org. They are extremely fair and easy to work with in buying out your lease.
Mopar Warranty Options
Visit our different plan site pages for full details
- Maxcare Warranty
- Added Care Plus Warranty
- Powertrain Care Plus Warranty
- Mopar Road Hazard Tire & Wheel Protection
- Maxcare Warranty Brochure
- Added Care Plus Warranty Brochure
- Powertrain Care Plus Warranty Brochure
- Lift Kit Coverage Brochure
Thank you for visiting our post hope we helped answer a few of your questions. We at Chrysler-Factory Warranty would love the opportunity to earn your business. Visit our full site at the link below.