Can I Negotiate A Car Lease Buyout?
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- Опубліковано 29 чер 2024
- The short answer is “YES”, you can negotiate the dollar amount of your car lease buyout but the approach that you take will most likely determine whether or not you are successful. You have to know who to negotiate with, what documentation you should provider, and when to start the process. This video will review the steps that you should take to negotiate a lower buyout prices for your lease.
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Update to my previous comment. I called the Credit Union back and the only thing I said was I'd like to negotiate the lease buyout amount. They gave me the number to the CU that owns the car and they are working on the negotiations for me. Thank you for this video. I did a ton of research yesterday and I seem to be on top. My husband is impressed.
How’d you make out? I’m about to reach out to the bank about negotiating a buyout on my lease as well.
@@eodaoreo I made out good. It was an easy process. The first time i called I didn't get anywhere so I called back and spoke to someone else. They reduced the price by $800 I believe.
Hi, could you be kind and explain to me how one goes about buying their lease out. I have until dec 2022 w about 4K left to pay but idk much about what happens after and I’m also over mileage I’m sure
@@yeseniacruz9878 call your bank who you bank with and say you would like to start the process of negotiating a lease buyout… They will walk you through steps. Don’t go into the dealership! Work only with the bank that approves you for a loan…
@@JennaQuinterplease my bank is not a Credit Union so i can go to my personal bank like Chase bank?
I truly appreciate this advice!! Thank you
Thank you for the advice
Great video. I forwarded to a friend with 20K+ over miles on the lease.
This video gave the most useful information.
Thank You,
Julia Richards
Very helpful!
Great advise .! Thanks
Thank you this was helpful. I called the Credit Union that holds my lease payments this morning and they said I have to talk with the dealership about negotiating the payoff. Maybe I should call back and talk with someone else.
Brilliant!
thank you !!
According to the Consumer Leasing Act you cannot charged any fees on the back end when buying out your lease unless they were disclosed on the front end in your lease agreement. Most of the time this means you should only be charged the residual value of your vehicle at lease end. All those other little fees you spoke about are illegal.
What if you have equity in your car because you drove only 23,000 miles on a 36,000 mile lease? You obviously can't argue that your car is valued less. But can you cash in on that equity? Or trade it in and get a credit to apply towards a new lease?
If the lease is with a manufacturer's captive finance company (e.g.; BMW Financial) you cannot negotiate the lease buy out. If the lease is with a bank you a lease buy out may be negotiable.
Unfortunately, most leases these days are through the captive finance company and not a bank.
That might be true of BMW, but other car mfg. wheel and deal because it is expensive to process lease returns if the dealer does not buy them. Expenses to the captives include transportation to an auction, washed, vacuumed, storage, auction house sales fee, etc.
@@ercly9382 Neither Honda nor Toyota will negotiate the residual value. While none of these captive finance companies will wheel and deal, a person may contact the captive finance company (example, BMW Financial or Honda Finance) and request a lease buyout reduction. There is nothing to loose other than a no.
These captives really do not care about expenses related to the lease recovery. That is their business. One more lease return makes no difference. The captive might well sell the vehicle to the dealer at a reduced amount if the dealer wants the vehicle as a used unit on their lot.
On the flip side, if the lease is with a bank there is a good chance you can get a reduction.
Very helpful, thanks
Thank you for the video. What if I want to pay off buyout in full price once my lease ends? Do you recommend to get another financing or pay off in whole some if I have money to afford. Please advise. Thanks
So if I Leased a car form the Dealership, how do I negotiate with the bank?
I called Volks Wagon they told me have a nice day..!
My lease is with American Honda Finance. How will a buy out work with them? ie doc fees, dealer fees etc....
Fled won’t negotiate either, but I was lucky because my buyout was cheaper than the buyout
I have leased a vehicle through Ford Credit. At the end of my lease I am not sure if they would allow a negotiation since this was not done originally through the bank. Should I still bring documentation about my vehicles value in todays market and KBB? I have a feeling that I will be stuck with the estimated value that was given when I signed the lease.
This video has definitely helped me understand more of this process!
Grest question i am looking for a answer to this as well. My loan is through honda financials
@@ChanelBrooke1994 hello. Did Honda help with the price at all?
Ok so my the price they gave me as the buyout price is 10900 but they r saying I owe 13k how does that work for they change the price?
I called BMW FINANCIAL, they said they don’t negotiate.
Pompous jerks...lol
My volvo xc40 buyout was $25000 and I went tovolvo diler and guess what..they give me $31000 !! And i Took another volvo !! for less than previous one!! Im so happy!!
Did you take new volvo with same model or higher model with less payments? And advice if i want to change my lease replace with new lease?
Are you talking about negotiate a car buy out BEFORE leasing the car? Or if you leased the car already and the buyout price is on the contract. Than trying to negotiate closer to the buyout date? I wonder if the buy out price on the contract already signed is negotiable or if your screwed since the contract was signed with a buyout amount lol. thanks!
The second scenario. You already signed the lease and you are getting close to the end of the term of the lease. Even though there is a dollar amount in the lease agreement some lenders will negotiate that amount prior to the lease ending (Comment is for education. Not advice)
Am on the 18 of a 36 month lease contract with Kia/Hyundai financial my car has less than 10k miles and has appreciate or at least held on to it's value my residual is only 16000 can Hyundai change it? Is it too early to buy it out? My buy out is 23000 right now
My 2019 KIA is up in July. KIA finance has started to text me to see what I want to do. Buy, Lease again or turn it in. I want to buy because my car has appriciated. I must go into the dealer. Even though the buy out is low they can add a bunch of fees on. Doc fees $800. reconditioning fee, ect. Plus normal tax, title and registration. Could be as much as $4000. more than the residual.
Have fun dealing with GM Financial.
I leased a car from.hyundai dealer how can i negotiate?
I tried to get Toyota to buyout my lease from Kia, but the General Manager from the Toyota dealership said no thanks. I guess they were going to negotiate with Kia Finance and they are in no position to drop the price. Ugh!!!
Don't go to the dealer. Do not ask the dealer. Call the leasing company directly. Ex. Ford Motor Credit, Chrysler Capital, Nissan Motor Credit, etc.
How do you go directly to the bank? Just call? So we dont need to talk with the dealer??
You call the financial institution that is financing the lease to begin the negotiations. (Comment is for education. Not advice)
OK, but how about now during the pandemic??
I have 2019 4 Runner TRD Off road base trim Black 13,000 miles on it. and will end the lease this March 2022 what do you think i buy it or return it ?
Definitely buy it. Used car are in huge demand. I bet your residual is really low and that's a good thing for you.
@@barbarawojtaszek4945my resudual amount price according to the cotract is $26,850.00
and Plus tax and dealer fees.
is that ok right?
@@bonifaciomagdiwang1697 Looks like they are selling for around $40,000 to 47.
@@barbarawojtaszek4945 Yes its correct
I leased a Dodge Challenger through Chrysler Capitol. How do I go about contacting Chrysler Capitol to negotiate? Won’t they just send me to the dealer?
There should be a customer service number listed on your monthly statements from Chrysler Capitol. I would call them to ask who you needs to speak too. (Comment is for education. Not advice)
Any luck with the Chrysler capital people I have my car lease with them I’m thinking of buying it out so I can sell it
What if your residual value is like $13k and you have that money all cash? Can I just buy it all out like that or you recommend getting a bank involved for financing? I have 2018 Prius and I want to do a buyout lease. Would the dealer be willing to still negotiate with me if I mention I want to buy in full? Would they be more inclined to accept my offer since they’d rather have me purchase it than them trying to re-sell it at auction or online?
How did you end up with your story? I have prius 2019 and want to do the same with my leasezany advice please?
can the bank ask for more than the buy out price in the lease agreement ?
In most leases the buyout is listed in the lease agreement which is a contractual agreement. So in most cases, the answer to your question is “no, they can’t ask for more than the buyout amount stated in the agreement” (Comment is for education. Not advice)
@@greenbushfinancialgroup thanks
Oh shit. I paid my lease up front and now want to buy the car. I paid for 36K miles and only out on 11K. Did I mention the lease is due in exactly one month? Advise….please?
How did it pan out for you?
@@rasta487 I ended up buying it…..and kept it. If new and used cars are still ridiculously over priced, I would advise anyone in my position to buy the car. If you can’t afford it, put in the time to sell it privately. You’ll make more money than selling it to a dealer. Although selling it to a dealer is easier. I had to hold on to mine because I needed a car! The good thing is there’s no negotiations. You pay the buyout price on your lease papers.
I'm already late
My lease ends this month 🥲
What about if your lease is worth more .... buy out is 27k, but the car is worth 35k .. can you still negotiate a lower price
Usually not. The negotiation process typically only works when the value of the car is less than the lease buyout. The price of used cars is still really high right now which makes it though to negotiate price when the car company can contractually buy it back from you at a really low value. (Comment is for education. Not advice)
I’ve leased over a dozen cars over the past 35 years. Not once was the finance company willing to negotiate.
Plus, in my experience the bank told me to deal directly with the dealership. They did not want to handle the transaction.
can you please share how that works? I am about to lease one
No one I know has been able to negotiate a lease? You have minimum wage employees and they never shift from their written rules.
I just leased a 2021 civic ex for 36 months. I hope to buy the car at the end of the lease but won't hold my breath on Honda Financial to negotiate a lower price from the agreed residual. My only hope is that 3 years from now, the value of the car will be the same or higher than the residual and I will either pay cash or partially finance the residual amount. Otherwise, just turn it in. This is what financing and economics are... A gamble
From my experience selling Hondas for 4 years, AHFC(American Hona Finance Corp) does not negotiate their lease end value (called Residual Value). That said their Residual Value tends to be pretty on point so you should have some flexibility at lease end assuming you don't crank up your miles.
Same here, leased civic hatch sport 21 model last month, 36 month term, am hoping to buy it out if car holds up well, i heard some owners have problems with oil dilution on 1.5l turbos.
@@thenow5559
Heard the same. If that's the case I will just turn it in
Coming to the end of a 3 year lease myself now for Civic Ex, in the current market, market value is several thousand over my residual. Good luck to you, it does happen
@@CeldurantSB
So if the current market value at the of the lease is higher than the residual, do you get to purchase it for the lower of the two?
Who is “the bank?” His he referring to my personal bank?
The financial institution that issued you the lease. Who you make your payments too (Comment is for education. Not advice)
@@greenbushfinancialgroup I’m seriously beyond embarrassed. The worst part is I have a math degree 🙄 For my lease, I paid all the loot up front, and didn’t take out any financing, so I couldn’t figure out how I used a bank?? I’m new to your channel, and am learning! But I need help fast. I purchased a 3yr/36K mile lease. It’s due June 15th. Because it doesn’t even have 12,000 miles, I’m going to buy it. I’ve done my homework, I just don’t know how to put all the pieces together. Additionally, I’m not sure I can negotiate because my neighbor backed into it. In November 2017. Because you can’t see any damage, I never got it fixed and now the statue of limitations is up in Michigan for the guilty party’s insurance company to fix my car. Do you have a number I can call to put me on the fast track to getting my game together so I can start this process?
Due to the fact this is the first time I’m buying out my lease, I didn’t know I had to start months in advance. Now, I’ve got about 27 days. I’m desperate as the day is long to get moving, I just don’t know how. Thank you so much!
@@MSUSPARTANS1973 Go to the dealer today. They will work with you, They may charge a reconditioning fee. You should still be able to get a good deal.
this seems like its far more effort than its worth. i will never lease another vehicle ever again. this has been a years long nightmare and ill never make this mistake again. dont ever lease a car. this is the worst option