Who would like to get around town in a shiny brand new car? However, getting new wheels can prove to be an uphill task. Some people don’t like the idea of getting a vehicle from a dealership because they will come across multiple options that are confusing and negotiating can be next to impossible.
Instead, they prefer to trade in leased car and go for a newer model. Even though you won’t cash in when you trade in a leased car, you will enjoy a few advantages. Discussed below are some ideas to help you trade in a leased car for a new lease or purchase.
Review Your Contract
Go through your lease to discover more about the price that you will part with for terminating your current lease. If you intend to trade in your leased auto before the contract expires, you must find out more about the associated costs, and you might have to finance if you are planning to get a new vehicle. If your lease has already expired, you won’t have to worry about paying for the costs that are linked to the termination.
Know Your Pay off Amount
Before trading in a leased car, you must know its value. You can easily know the amount by contacting the company that facilitated the lease. This might be a car dealership, bank or used car dealership. You can request them for the pay the value of your car. However, you must pay the cash before you get the chance to trade in the vehicle. Furthermore, you can also enquire from the leasing company whether a dealership can be allowed to purchase the car.
Prepare Your Vehicle
Make sure that you have serviced your vehicle and it is in excellent working condition before you trade it in so that you get the most out of the deal. Apart from tuning the engine, you should ensure that the interior of your car is neat and clean. Change the oil and ensure that the tires are in good conditions and appropriately inflated.
Choose Between Lease or Buy
If you wish to lease another car from the same dealer, you can get advantages like incentives or discounts. On the flipside, if you want to get a new auto you should, first of all, know whether the dealership is interested in purchasing your current car so that you can pay off the penalties that accompany lease termination.
Determine Car’s Value
You should calculate the value of your vehicle by requesting a valuer to do its valuation. Afterward, subtract the value of the pay off from the figure that you get. The amount you will arrive at will be your car’s trade-in value. If you get a negative figure, your odds of trading in the vehicle will be extremely low. On the flipside, if you get a positive value, you will convince the leasing firm to allow the dealership to purchase the vehicle.
Read the Terms
Go through all the paperwork and contract before penning an agreement. Your leasing company and the dealership interested in buying the vehicle must agree with the deal for the trade in to bear fruits.