Doing the lease buyout and buying it out ASAP, the Residual value, MF, leases payments don’t matter.
All I know when I did the lease buyout, everything went exactly how I’ve read from the lease buyout thread and the YouTube video, in FL.
but I did take my time and did my homework, read every single post, probably watched the YouTube video 15 times, before I completely understand.
I’ve also watch new car buying strategies. Know the lingo, talk like them. Basically know the in and outs of the process and watch out for their traps.
Never put any money down on a lease.
You want the most lease rebate and dealer discount b/c you will pay tax twice.
Lease rebate historically been a lot more at the end of the year. Also dealerships are more willing to give discounts to get raid of current year and make room for next year.
I read through several threads regarding lease buyout. I've also gone through the YouTube video and made my calculation spreadsheet. However, in my situation the adjusted cap cost turns out to be less than the residual value after 2 years. What I want to know is where does the depreciation go? Do I get the cash back in some form of payment?
I went though the threads and watched the YouTube video, and also made my own spreadsheet. However, I never saw a scenario where the adjusted cap cost is less than the residual value.
My question is what happens during that situation. Do I get that difference in cash or check from the dealer?
2020 GT1 AWD all options. NO dealer addons(never ever ever ever get any dealer add ons!! like paint prot, security, etc etc NEVER they will always talk you in to it and say its a must but dont do it. this is how dealers make money and trust me... none of it has value!) 52k msrp, dealer discount -7k(negotiated ) Lease discount -11.5k and something else i cant remember cap cost was 36k and with trade in residual 26k payment is 300 a month
3yr 36k lease
Ok. Did I hear this right. There is a lease buyout "rebate"? If so does that apply to a early buyout also?
I have a 2019 GT2 AWD. Only using it for my joy rides so at this time I have only 3500 miles on it. In November my buyout cost will $29k. Not sure if I should buy it out and sell it at the end of the lease, or do a early lease buyout, if I decide not to keep it, or just give it back.
Ok. Did I hear this right. There is a lease buyout "rebate"? If so does that apply to a early buyout also?
I have a 2019 GT2 AWD. Only using it for my joy rides so at this time I have only 3500 miles on it. In November my buyout cost will $29k. Not sure if I should buy it out and sell it at the end of the lease, or do a early lease buyout, if I decide not to keep it, or just give it back.
Can I ask why that would matter though at this time? Right now I owe about $34K. I mean in the end of the lease will be $29k. Just trying to estimate my value into it. I would say the car at the end of the lease in November it won't have more than 5000 to 6000 miles on it.
I am one of those guys that has to wear a mask and change his identity every time someone tries to ask this. I think I overpaid by 2-3k easily since the car was a dealer used car with just enough millage to still consider it legally new to sell it because it was registered to the dealer. I got a good deal on my mustang trade in, but I should not had paid more than 34k for the car as is.
Moral of the story is to always consider how much millage is on the car and how many people actually drove it.
Can I ask why that would matter though at this time? Right now I owe about $34K. I mean in the end of the lease will be $29k. Just trying to estimate my value into it. I would say the car at the end of the lease in November it won't have more than 5000 to 6000 miles on it.
A lease buyout is only worth it if your monthly payments and the buyout are significantly less than the MSRP of the car. Example:
MSRP: $55k
Monthly payment: $600 for 36 months = $21,600
$55,000 - $21,600 = $33,400 is what the buyout would be.
You are saying the buyout is $29k. More math:
$21,600 (paid) + $29,000 (unpaid) = $50,600 you'd pay for the car between lease payments and buyout. If you paid $55k, you are saving $4,400, which would equate to a good deal.
I don't know all of your costs so again, this is just an example. Your monthly payment may negate the $29k buyout. Only you know the numbers though.
A lease buyout is only worth it if your monthly payments and the buyout are significantly less than the MSRP of the car. Example:
MSRP: $55k
Monthly payment: $600 for 36 months = $21,600
$55,000 - $21,600 = $33,400 is what the buyout would be.
You are saying the buyout is $29k. More math:
$21,600 (paid) + $29,000 (unpaid) = $50,600 you'd pay for the car between lease payments and buyout. If you paid $55k, you are saving $4,400, which would equate to a good deal.
I don't know all of your costs so again, this is just an example. Your monthly payment may negate the $29k buyout. Only you know the numbers though.
I would take it though in November. A Kia stinger gt2 awd with only 6000 miles will be worth more than $29k. Even right now with me owing $34k, you are probably talking upper $30's for that type of car with that low miles im thinking
I would take it though in November. A Kia stinger gt2 awd with only 6000 miles will be worth more than $29k. Even right now with me owing $34k, you are probably talking upper $30's for that type of car with that low miles im thinking
Again, it all depends on how you have into it with your monthly payments through November.
$29k buyout seems like a good place regardless. I just hope you won't have more than $25k into it come November, then it would be a wash ($54k total with lease payments and buyout amount).
Thank you. That was well detailed! However, the challenge I have is w.r.t trade-in. If I go with the lease buyout rebate, they could ding me on trade-in value. I'm getting 2.5 K over my KBB for the car as we speak. This becomes a major factor in my payment. My goal is a certain payment/month for 66 months. I'm thinking to negotiate from that. I don't care how they adjust APR, trade-in, MSRP. I am looking for a certain monthly payment.
Also, I will read the thread. Thanks again! Appreciate it !!
Again, it all depends on how you have into it with your monthly payments through November.
$29k buyout seems like a good place regardless. I just hope you won't have more than $25k into it come November, then it would be a wash ($54k total with lease payments and buyout amount).
Thanks for your input. I have the lease through my company so its not quite as bad. In 24 months I will have $15,000 in payments. I got the car for $41k
Closed a deal on a 2020 GT1 AWD ( with all options) CPO with 4,000 miles ( 5 months old). $39,500 + taxes ( no dealer fees) $42,000 OTD. Financed at 2.4% for 60 months. Seems like a fair deal to me.
Closed a deal on a 2020 GT1 AWD ( with all options) CPO with 4,000 miles ( 5 months old). $39,500 + taxes ( no dealer fees) $42,000 OTD. Financed at 2.4% for 60 months. Seems like a fair deal to me.
) Lease discount -11.5k and something else i cant remember cap cost was 36k and with trade in residual 26k payment is 300 a month
