Lease Buyout

DoingHomework · **Joined:** Wed Sep 23, 2009 9:01 am **Posts:** 4491

candicem wrote:

He's an underwritier in insurance. I'm not sure where scientist came from. You're right, I should be able to persuad him as an attorney. My powers of persuasion only go so far. I don't think I could convince him that it makes sense for me to turn in a 2010 and buy a 2002 model of a car. Even showing him the numbers, he'd still be against it. My best bet is to keep the camry until it is that old. That wouldn't be so abrupt for him.

Oops. I got you confused with the love shack girl. Insurance guys don't know squat. You can tell him I said that...

Having a reliable car is important. But reliability is not necessarily related to age. Until recently I drove a 20 year old car that was completely reliable until it wasn't. Any car can be a potential issue. Maybe getting you a platinum card with great road service might give better security.

stannius · **Posted:** Mon May 07, 2012 5:41 pm

candicem wrote:

stannius wrote:

Considering that you have limited your choices to those that involve buying a car you don't have the money for... yep, looks like buying this particular car would be a pretty good deal. And then you won't have to clean your junk outta the trunk nor argue with the dealer over how many scratches it has.

Thanks for the insightful post. I asked for advice or suggestions, not to be mocked. I am trying to correct past bad choices and make better choices in the future. Not that I'd say my car choice has been horribly bad.

My response might have been a little flip but it wasn't meant to be insulting. Note, for instance, that I said "don't have the money for" and not "that you can't afford" (which some other regulars here would have said). The junk/trunk comment was supposed to be funny. And arguing with the dealer about scratches is something that really does happen, or so I hear.

All I was trying to say was: if you (and/or your husband) filter the entire universe of choices down to these two, for whatever reasons good or bad you choose to do so. Then amongst those two choices, if I were you I would probably make the same one.

If you didn't filter the universe of choices down to a small number... well it would be pretty hard to choose from or give advice about an (effectively) infinite number of choices. It's a natural and usually helpful human heuristic to do that filtering.

Buying off lease cars can be a relatively good deal, especially if the residual value set by the dealer at the beginning of the lease ends up being below the actual value of the car in the used market at the end of the lease. Which it is, in your case. Another situation where it might be worth it is if you went significantly over the mileage limit.

candicem · **Joined:** Mon Mar 19, 2012 11:09 am **Posts:** 36

stannius wrote:

candicem wrote:

stannius wrote:

Considering that you have limited your choices to those that involve buying a car you don't have the money for... yep, looks like buying this particular car would be a pretty good deal. And then you won't have to clean your junk outta the trunk nor argue with the dealer over how many scratches it has.

Thanks for the insightful post. I asked for advice or suggestions, not to be mocked. I am trying to correct past bad choices and make better choices in the future. Not that I'd say my car choice has been horribly bad.

My response might have been a little flip but it wasn't meant to be insulting. Note, for instance, that I said "don't have the money for" and not "that you can't afford" (which some other regulars here would have said). The junk/trunk comment was supposed to be funny. And arguing with the dealer about scratches is something that really does happen, or so I hear.

All I was trying to say was: if you (and/or your husband) filter the entire universe of choices down to these two, for whatever reasons good or bad you choose to do so. Then amongst those two choices, if I were you I would probably make the same one.

If you didn't filter the universe of choices down to a small number... well it would be pretty hard to choose from or give advice about an (effectively) infinite number of choices. It's a natural and usually helpful human heuristic to do that filtering.

Buying off lease cars can be a relatively good deal, especially if the residual value set by the dealer at the beginning of the lease ends up being below the actual value of the car in the used market at the end of the lease. Which it is, in your case. Another situation where it might be worth it is if you went significantly over the mileage limit.

Thank you for the clarification of what you really intended to say. This is always the problem with the internet...a person's tone can so easily be misinterpretted.

candicem · **Joined:** Mon Mar 19, 2012 11:09 am **Posts:** 36

I just wanted to post an update. I decided to buyout the lease now and start paying to own the vehicle now. The buyout price adds the remaining lease payments to the residual amount less a little bit for the monthly rent charge that Toyota gets. So it actually works in my favor to do it now rather than wait until the end of the lease. I got approved for a 1.99% with Penfed. I financed it for 48 months but my goal is to pay it off in 24 months. Now I just have to do the actual paperwork and get everything situated with Penfed and Toyota.

Lease Buyout

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