Drivers whose lease is coming to an end may find themselves in a surprisingly advantageous position

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People with leases ending in 2022 should do their research before returning their car to the dealership because they could be leaving thousands of dollars on the table, Edmunds says. Indeed, the growing demand for used vehicles and inflated prices put renters in a surprisingly advantageous position.

“If you’re one of the four million Americans who leased a vehicle in 2019, you could be in a financially advantageous position this year without even knowing it,” said Jessica Caldwell, Edmunds’ executive knowledge manager. “Most consumers are probably unaware of the other options available to them besides surrendering their lease once it’s over, including the ability to cash in on their vehicle.”

The outlet reviewed the estimated residual values ​​of 2019 model year vehicles and compared them to trade-in values. He found that on average, the 2022 trade-in value for all MY2019 vehicles saw a 33% increase over their original estimated values. This is an increase of $7,208 on average.

Also Read: Honda and Acura Will No Longer Let You Return Leased Cars to Other Dealerships

The Lexus IS 300 was the vehicle with the highest percentage increase among luxury vehicles. It generated on average 46% more than its initial estimates, an increase of $9,868. The Ford Mustang, meanwhile, was the top performer among the mainstream vehicles, generating 68% more than originally expected, which came in at $11,852.

“Unless you’ve done an exorbitant number of miles or your vehicle is excessively worn, you’re pretty much guaranteed to see an increase in value,” said Ivan Drury, senior knowledge manager at Edmunds. “The only downside is that you will probably have to do a little more legwork than in the past to take advantage of the equity in your expiring lease, given that some automakers have recently imposed stricter rules on car purchase options. But taking a few extra steps will be worth it for many, considering the financial reward.

In order to leave as little money on the table as possible, Edmunds recommends following four steps. First, he recommends figuring out exactly how much you’ll be refunded, then figuring out what your vehicle is worth, after which you should find out if your finance company allows third-party buyouts (other dealerships may want to buy you the car and might offer you more money to lure you in), and finally, you should consider buying the lease yourself and trying to sell the vehicle for a profit.

A list of top performing vehicles is available on the Edmunds website and also offers vehicle ratings, although other companies offer the same service.

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