Many people choose to lease a car. And once the lease is over, they return the car to the dealer. Some would prefer to lease again, a different vehicle this time. But there are others who choose to buy out their leased car. If you liked the car, should you consider buying it? Some people do. Let this guide help you figure out if it’s a smart move for you to buy lease returns in austin.
Car is Worth Buying
The first thing that you need to figure out is whether or not the car is worth buying. If you still have your lease contract, check it out and see how much the residual amount is. This is the buyout price of your leased vehicle.
Once you know your residual amount, then it is time to check if what is the appraisal price of the vehicle. There are now plenty of car appraisal tools that you can use to figure out the average market value of your leased car. If the buyout price is less than the average retail price, then this is a good deal. The car is worth buying.
Do A Thorough Inspection
If the price is right for you, then go ahead and do a thorough mechanical inspection of the vehicle. When you are leasing a car, it is under warranty for the duration of your lease. However, remember that when you decide to buy it out, it will no longer have the same warranty. So before you decide to purchase the leased vehicle, make sure that you have it thoroughly checked by your trusted mechanic.
If you plan to buy out the car and you are still under a lease, repairs can be done for free. Once you purchase the car you will be the one responsible for any repairs and replacement of parts like the battery and the tires. You have to factor in these expenses as part of your regular maintenance. If the overall expenses are too much for you, then you should not buy the vehicle. But if it’s in overall mint condition and will not cost you that much in maintenance, then it’s a sign that it might be a good purchase for you.
Can You Afford the Buyout?
Now that you know how much is the buyout price and according to your research it is smaller than the general market value, then you have to determine whether or not you can afford it. Remember that when you decide to buy out the leased vehicle, you will have an option to pay for the downpayment or just have it added onto your monthly bill. But of course, take note that when it’s added on top of your monthly payments, it will be more expensive.
As you can see, there are so many things that you have to take into consideration when you choose to buy your leased returned car. So make sure that you have penciled out these things before you make your final decision to buy out. And if you are happy, then go ahead and purchase the vehicle once your lease contract is up.