Sage-Tips

Can a leased car be leased again?

All leased cars have a termination date on the contract, which is usually about 36 months from when you bought it. Near the end of a car lease, you have the option to buy it, lease another one, or walk away after turning it in.

Can you lease a car more than once?

In that case, the answer is no. At the end of the first lease, the car is then a used car — and leasing is not available for used cars (except for some high-end luxury vehicles). You can, however, purchase the car at lease-end for the price locked into your lease contract.

What happens to returned lease cars?

What happens after you return the lease? The good news is that after you turn in your leased car and paid the fees, you’re good to go. If the car has a lot of miles on it, or if they have a lot of that same car already on their lot – a bunch of Subaru Foresters, for example – then they’ll send it to the auction.

Can I buy my leased car without going to dealership?

Some lenders don’t accept third-party buyouts — if you wanted to trade the car or sell it outright to a dealer. If your lender doesn’t allow third parties to buy out your lease, you would need to use a lease buyout loan to purchase the car yourself before trading or selling it.

Can I trade in my leased car early?

In almost every case, you can certainly turn in your leased vehicle early. Whether you buy or lease from the same dealership after is up to you. What you need to know before making this decision is your penalty for early lease termination.

Is it a good idea to lease a car then buy it?

It’s generally not a good idea to lease a car if your intention is to buy it at the end of the lease, espeically if you’re going to finance the end-of-lease buyout. You’ll be much better off just purchasing the car from the very beginning. That being said, there are times when you should purchase the car at lease end.

Can I trade in my leased car from another dealership?

One of the only times to consider an early lease trade in from another dealership is if there’s equity in your leased vehicle. This doesn’t typically happen, but in some cases, the residual value of the leased car is more than what you owe on the lease.

Can you buy a leased car with a purchase option?

Yes, when your lease ends, you usually have the option of returning the car to the leasing company, extending your lease, or buying the car. If you decide you want to buy the car, there will typically be a purchase option price within your lease agreement, known as the residual price.

Can you lease a car from a dealership month-to-month?

Dealerships love this, of course, because when people panic, they make poor decisions with their money. If you need a little more time after your lease is up to figure out what your next car should be, most leasing companies will allow you to keep the car on a month-to-month basis.

Can I turn in my leased vehicle early?

Because you can’t just turn in a leased vehicle in the middle of your lease term and walk away, it can be complicated and costly to end your lease early, even more so if you don’t do it right.