The current Car Supply Shortage has caused supply chain issues for all car dealers across the US, and has ultimately affected potential new car buyers. Many Buyers currently leasing a car are stuck wondering if they should buy out their current car lease? It’s no secret that there’s a shortage of used cars right now, nor that car prices have increased significantly. Here are a few things you should know about buying out your current car lease.
You’ll need to do your research to figure if these trends apply to your leased vehicle. Prices for the most popular SUVs — and particularly for pickup trucks — have risen more than other vehicles. Vehicles with a higher original price tag might also show a wider spread. If your leased car hasn’t had a big runup, you can just finish the lease and walk away.
Compare these valuations to the lease buyout price — generally the sum of the residual value in the contract, the payments you still owe and any “disposition fee” (an end-of-lease fee many contracts require). Your leasing company can quote you the buyout total. The difference between what you’ll owe and the vehicle’s current value is your equity in the vehicle, a measure of your potential gain.
The is the popular saying “there is no better time to buy a new car!”, the purpose of the ads is to attract new customers to spend more money, also there is a new element of time as a factor. There is always certain days or month in the year that shows as the ideal time to get yourself a new ride. Most automakers and car dealers try to give several incentives of financing, cashback, and leasing in other to attract customers every month. Most of these industry gives offers almost yearly, while others provide these incentives monthly.
When it comes to buying new cars, all that matters is a dealership and the sales target that manufacturers try to meet. The closer people get to the milestone the faster they would be able to close a car deal and move the inventory. But to answer the question, the best time for getting a car deal done is usually the end of the month, end of the year, or end of a quarter. In this article, we would do out the best time during this period to get good deals.
Buy Out Your Car Lease
If you like the vehicle and it meets your needs, the easiest choice is to just buy it from the leasing company. You’ll be getting a discounted price — a used car worth more than you’ll be paying for it — and you won’t find another used car you know more about than the one you’ve driven and cared for. You’d have to pay a premium in this market to get a different car, purchased or leased. Buying it also puts an end date to the continuous payments that come with leasing.
You don’t have to wait out the lease. You can call your leasing company and ask for the early buyout price. Also check on the sales tax treatment in your state for a buyout. If you don’t have the cash on hand, many lenders who make auto loans and auto refinance loans also make lease buyout loans. Your leasing company might also make a pitch for your loan business but — as always with any new credit — be sure to shop around to get the best interest rate.
Return Your Car Lease
End-of-lease “disposition fees” can be $350 or more. Excess mileage can cost 25 cents per mile. Minor body dings and wheel scuffing could add more. The car’s increased value gives you some leverage to negotiate these fees with the dealer, particularly if you’re in the market for a new lease or purchase, too.
Sell Your Car
This is trickier, but it beats just giving the vehicle back if your equity is substantial and, in some cases, you won’t have to buy the vehicle yourself to be able to sell it or use it as a trade-in. Reasons you don’t want to keep the vehicle yourself might be that you don’t like it, you’re straining to make the payments, or your post-pandemic life has changed in ways that mean you don’t need the vehicle or you need a different type of vehicle. Among your options:
Car Trade-In Values have hit an all-time highs for 2021. Manufacturers and Dealers have been faced with low inventory problems caused by parts shortages across the world, which have caused the historic spike on New Car Prices. Following the Covid-19 Pandemic Dealers and Manufactures have been face with shortages on car parts, leading to inventory issues across the nation for Car Dealers. Florida Car Dealers have seen an increase inventory shortages, with buyers quickly wanting to order or lease the latest brands and models.
Signature Auto Group New York & Florida’s Premiere New Car Leasing Company
With Signature Auto locations in Brooklyn, NY and Fort Lauderdale, FL we are dedicated to providing our New York Auto Leasing and Florida Car Leasing customers the best deals on the latest Auto Leases. As a company we learned a long time ago just how significant it is to have talented, loyal and motivated staff to serve our clients in every aspect; before, during and of course even after such an important vehicle purchase. Even though this will always be an ongoing process, this organization has been fortunate to have attracted and retain such extraordinary individuals at every single level in this company.
We are honored to serve all Signature Auto Group clients past, present and future clients in the major areas of the United States and around the rest of the world. Signature wants their customers to enjoy life to its fullest. We also have high standards that the staff agrees with and are committed to providing you with the service you deserve. The sales staff is extremely knowledgeable about our products and is there to get you the fantastic vehicle that you want and desire. Come on in and check out our extensive inventory that includes all the latest makes and models of vehicles. It doesn’t matter whether you are wanting to purchase or lease; we have the perfect plan for you. And don’t forget to check out our specials, we are always having great lease specials on a lot of the new vehicles in stock.