- Yes, it’s possible to buy a car after leasing it.
- There are many benefits that come with buying leased cars such as gaining ownership, saving money, and avoiding hidden costs.
- You shouldn’t buy leased cars if it’s cheaper to buy one from the market, if it doesn’t fit your needs, or if you want to try other vehicles.
On top of saving a lot of money, leasing a car helps people get a feel of what driving a specific model feels like before fully committing to it. Sometimes drivers wind up loving their leased cars so much that they want to own them.
But is it possible to buy a car after a lease and gain total ownership?
Can You Buy a Car After Leasing It?
Yes, it is possible to purchase a car after leasing it. This is called a lease buyout, and this is done for many reasons. For example, if a driver is confident that their leased vehicle is the perfect one for them, they can choose to end their lease agreement by purchasing it from the lessor.
When conducting a lease buyout, the lessee typically has to purchase the vehicle at the end of the lease agreement or before. It’s generally a better idea to wait until the end of the lease agreement before buying the vehicle because doing it before might incur extra fees.
How to Buy a Car After A Lease
Generally speaking, lessors only offer you buyout options when the lease agreement ends. In some cases, lessees might receive an offer before the lease ends. This typically happens when interest is expressed and the lessor has no problems with selling the vehicle.
However, before a lessee purchases a leased vehicle, they must first consider numerous factors to make sure they get a good deal:
- The condition of the car.
- The price of the car on the market.
- Whether or not you can negotiate for a better deal.
If you can confirm that the vehicle is in good condition, that it’s cheaper to do a lease buyout than it is to buy the same model on the market, and that the deal they’ve been offered is worth it, then all signs suggest the vehicle worth buying.
Benefits of Buying A Leased Car
There are many reasons why people buy out leased cars. Some lessees do it because they fell in love with the vehicle and want to own it, whereas others do it because it’s cheaper than buying one from the market.
Here are some of the many benefits that come with buying leased vehicles:
You Get A Car You Like
Unsurprisingly, one of the biggest benefits of buying a leased car is the fact that you get to buy a tried and tested vehicle. You can think of leasing a vehicle as a trial run of sorts where you can experience what having a car is like without technically owning one. You can drive it around and pay for gas yourself, but it’s still not your car.
Generally, leased vehicles should only be bought if the lessee likes driving the vehicle. It has to be a truly impressive machine that improves the overall quality of life for the lessee, otherwise getting ownership of it wouldn’t feel like a smart decision, nor would it feel satisfying.
Buyout Price Is Lower Than the Market Value
Sometimes a lease buyout can cost you less than buying a new vehicle of the same model from a dealership. This is quite rare, but cheaper buyout prices typically happen when the market value for the vehicle becomes higher than when you signed the lease agreement.
The price of a leased vehicle can also decrease depending on factors such as mileage and its overall condition. The more mileage a vehicle has and the more damage it sustains, the cheaper it becomes. If the vehicle you’re leasing is old and well-used, there’s a good chance you can own it via a lease buyout at a cheaper price than the market value.
Personalizing Your Vehicle
Another benefit of purchasing a leased vehicle is that you’re finally free to customize it and replace any parts on your own. Normally, you wouldn’t be able to personalize and customize a leased vehicle since you don’t actually own it.
After getting ownership of the vehicle, you can replace the paint of your vehicle, add decorations, switch out parts, and many more. This gives you a significantly greater sense of satisfaction since you can truly call your vehicle your own — and have it show as well.
No More Hidden Charges
Another benefit that comes with buying out a leased vehicle is the fact that you won’t receive random charges anymore. Sometimes lessors throw in additional charges for things that are difficult to quantify like wear and tear, administrative costs, and interest.
It’s difficult dealing with extra costs since they tend to add up. By buying out their leased vehicles, drivers can save a lot of money in the long run.
When Should You Avoid Buying Leased Cars?
Buying a leased vehicle may not be the best option for some drivers. It’ll vary from model to model, but it can be cheaper to buy from the used car market than to buy from a lessor.
Here are some reasons why it might be best to hold off on lease buyouts:
It’d Be Cheaper To Buy From the Market
If you can get your hands on the same vehicle for a much cheaper price at a used car dealership, then there’s no need for a lease buyout.
You Want to Try Other Vehicles
Not all vehicles are built equally. Even if the vehicle you’ve leased feels good and satisfying to drive right now, it might not satisfy your long-term requirements.
Sometimes you want to be able to see if other vehicles can scratch an itch, and you won’t be able to do that if you settle early. It’s not a good idea to buy a leased car as soon as possible if there are other vehicles you want to try before locking in your final choice.
Your Needs Have Changed
Your living conditions might have changed since you first leased the vehicle. You might have a larger family now or you might need a ride that’s better suited for the road conditions at your new home.
A four-seater won’t be able to accommodate a family of six, so avoid buying a leased vehicle that’s too small for your needs.
Any information provided on this Website is for informational purposes only and is not intended to replace consultation with a professional mechanic. The accuracy and timeliness of the information may change from the time of publication.