Lease vs Buy Out

[Kr33m0]

This may have been discussed ad nauseum, but my lease will be up in September and I am considering my options. My residual is ~$28,500. I checked on KBB and a couple of other sites that suggest a trade in price from low to mid 40s for both trade-ins and private sale. First thing that comes to mind is "no brainer" - buyout, as there is equity in the car! But with this war kicking up and an uncertain future, maybe those prices will begin to normalize. Plus there is this whole issue of the price of gas and we know the Stinger is no champion when it comes to MPG. Thoughts? Anyone recently made a decision? How did it go? Were there any surprises? Thanks!

 

[chattanoogastinger]

I can tell you for a fact, prices in September will in no way be what they have been the last 6 months. Each day, more and more new vehicles are hitting lots, this will inevitably drive the prices somewhat downward on the pre owned market.

If Kia allows 3rd party buyouts, I'd check and see what Carvana, Vroom, or even Carmax would offer you for it in your area if you are considering selling. (this would get you out of the car with very little effort on your part for a good chunk of profit)

 

[stoopid]

How many miles on the 2019? You might be better off keeping it with the buyout, then try to time your tradein just as supply is increasing for a new car and you can still get more than $29k for your trade. Between now and then would be bonus time with the car assuming you can get the $29k+.

I've been through several gas price spikes in my lifetime, I'm immune to them at this stage. They hurt for a bit, but usually there's a swift correction and it's all forgotten until it happens again in a year or 5. I've stopped buying vehicles based on this alone as a result. Life's too short, drive what you'll enjoy. Maybe get a commuter car and keep the Stinger as a weekender, if finances allow.

 

[Kr33m0]

How many miles on the 2019? You might be better off keeping it with the buyout, then try to time your tradein just as supply is increasing for a new car and you can still get more than $29k for your trade. Between now and then would be bonus time with the car assuming you can get the $29k+.

I've been through several gas price spikes in my lifetime, I'm immune to them at this stage. They hurt for a bit, but usually there's a swift correction and it's all forgotten until it happens again in a year or 5. I've stopped buying vehicles based on this alone as a result. Life's too short, drive what you'll enjoy. Maybe get a commuter car and keep the Stinger as a weekender, if finances allow.

Less than 15k on the clock! Haven't driven much during the pandemic. Are you saying that the dealership may not honor the original residual value? It is Kia, so the idea won't be so far-fetched I guess.

 

[stoopid]

Less than 15k on the clock! Haven't driven much during the pandemic. Are you saying that the dealership may not honor the original residual value? It is Kia, so the idea won't be so far-fetched I guess.

They absolutely need to honor what is in the contract. Most people are buying out their leases, which is also a small part why there's fewer used cars (in addition to the other reasons).

 

[NIU_Huskies]

Less than 15k on the clock! Haven't driven much during the pandemic. Are you saying that the dealership may not honor the original residual value? It is Kia, so the idea won't be so far-fetched I guess.

Oh, low mileage indeed. My 2019 GT2 just broke 13k last week. If you can afford it, just buy out the lease or go to your bank and get an auto loan to finance it. If you no longer want or need the car I'm sure you could easily sell it for at least $42k.

 

[Kr33m0]

I am also assuming, unless turning in the car, the low mileage will have no impact (no credit back to you)? Other than you personally having a low mileage car!