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Skyrocketing Vehicle Prices Make Auto Lease Buyouts an Attractive Option.

Posted On 5/12/2022
auto lease buyout
Like many lessees, you may be planning to sign a new lease or buy a different vehicle at the end of your contract. Consider how an auto lease buyout might be better for your finances, and benefit with a preapproved auto loan from St. Mary’s Bank.

What’s an Auto Lease Buyout?
Lessees can return their leased vehicle to the dealership or take advantage of purchase options outlined in the leasing contract. Most agreements allow you to “buyout” the vehicle at the end of the contract period for a pre-set price based on its remaining fair market value plus taxes and fees.

Top Reasons to Choose an Auto Lease Buyout:
1. You could save money.
The lease buyout amount was calculated several years ago, before prices skyrocketed. It may be possible to purchase the vehicle you’re already driving for an amount far lower than what it would cost on today’s open market.

2. New and used vehicles are more expensive today.
Chip shortages have caused inventory issues, making new cars with preferred features harder to find—and more costly. While the vehicle shortage was initially expected to last a few months, experts are now warning it might last a few years. Buyers searching for used vehicles are also finding higher sticker prices.

3. Your car payments will end sooner.
Signing another lease agreement could put you on a merry-go-round of never-ending car payments. But purchasing your leased vehicle ensures you have a pre-set date when payments will end.

4. You’ll be free from mileage restrictions and other penalties.
Purchase your leased vehicle and drive it without fear of excessive mileage or wear-and-tear fees.

NOTE: If you purchase the vehicle before the contract end date, the total amount due may also include the remaining lease payments.

Pump the brakes on swapping keys with the dealer.
Buying your leased vehicle could be your next best financial move. Get the payoff amount from the leasing company, then call us at 1-888-786-2791, or schedule an appointment at your preferred branch. Together, let’s explore financing options that allow you to smoothly shift gears from lessee to owner.

1. Reuters. Fed’s Harker open to more than three rate hikes in 2022 if inflation worsens, FT, January 12, 2022.

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