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How to Buy a Car Off a Lease

Watch more How to Buy a Car videos: Subscribe to Howcast's YouTube Channel - Learn how to buy a car off a lease by following these tips. Howcast uploads the highest quality how-to videos daily! Be sure to check out our playlists for guides that interest you: Subscribe to Howcast's other YouTube Channels: Howcast Health Channel - Howcast Video Games Channel - Howcast Tech Channel - Howcast Food Channel - Howcast Arts & Recreation Channel - Howcast Sports & Fitness Channel - Howcast Personal Care & Style Channel - Howcast empowers people with engaging, useful how-to information wherever, whenever they need to know how. Emphasizing high-quality instructional videos, Howcast brings you experts who provide accurate information in easy-to-follow tutorials on everything from makeup, hairstyling, nail art design, and soccer to parkour, skateboarding, dancing, kissing, and much, much more. Step 1: Check your paperwork Check the lease papers to see whether a buyout amount is listed. Find the car's residual value, plus a purchase-option fee. Typically, the purchase-option fee is $300 to $600. Tip You can also buy your car before the lease ends. This is called an early buyout and is typically more complicated than a lease-end buyout because of pricing factors. Check with your bank or lease holder for more information. Step 2: Determine market value Look at the Kelley Blue Book to determine your car's fair market value. Compare the market value to the residual value to see if you'd be getting a good deal. Tip Check with your leasing company to make sure your buyout will not be considered an early termination of the lease. Step 3: Negotiate a price Discuss pricing and buyout options with your dealer or leasing company. Ask about other incentives, such as eliminating the purchase-option fee or a discount lease buyout financing. Step 4: Shop around for financing Shop around for the best financing rates on a lease-buyout loan. Your current leasing company may not offer the best rate, so it pays to look elsewhere. Step 5: Be persistent Be persistent with the leasing company. After all, if you simply returned the car, they could only expect to get a wholesale price at a dealer auction. Explain to them that it's a win-win situation. Did You Know? In 1908, a Ford Model T cost $850. Four years later the price dropped to $550.
Length: 01:40


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