Jeep End of Lease Options PA
So, your current Jeep lease is coming to an end. What now? You have a couple of options to choose from. You could buy out your lease, transfer it, trade it in, or extend it. But which option is best for you? Well, the Reedman Toll DCJR Jenkintown team thought we would help you make an informed decision by explaining these options. So, let's get into it!
Buy Out Your Lease
What if you love your current Jeep and want to keep it? Well, then, a lease buyout might be the best option for you. A lease buyout loan lets you buy the car you're already driving from the leasing company for a predetermined price. Your leasing agreement will have your Jeep's residual value or the purchase option price. When you decide to keep your current Jeep, you will need to pay the residual value plus any applicable taxes and Department of Motor Vehicles fees. One thing to remember about buying your lease is that your Jeep may be worth more or less than the residual price on the open market. So, it is recommended that you first find out how much your Jeep is worth on the open market.
Lease Another Jeep
Suppose you loved leasing and your Jeep, but perhaps you want a different model or updated technology, then trading in your current lease and leasing another one is the perfect one for you. This is by far the easiest option. Plus, there are owner loyalty programs available to help you save money. For example, when you lease another Jeep, they give you $500 as a thank you for your loyalty.
Trade-In Your Lease and Purchase a Jeep
What if you loved your Jeep but found that leasing wasn't for you? In this case, you could trade your current leased Jeep and purchase a Jeep. With the used car market, the way it has been, your current leased Jeep could be worth more than you think, which means you could save some big bank. In this situation, the dealer pays off your lease balance and buys the car from the leasing company. The car's wholesale value will then be used as a trade credit minus the termination charges they paid.
Extend Your Lease
What if you need more time to decide? In that situation, you could extend your lease to give yourself a few extra months. There are two types of car lease extensions: informal and formal. With an informal extension, the leasing company extends the lease for a relatively short term, typically six months or less. This is done without a new lease agreement and with the same payment schedule as in your original contract. A formal lease extension requires you to sign a contract that extends the lease for a fixed term, often running anywhere from six to 12 months. This type of lease extension may also come with a revised monthly lease payment and revised mileage limits.