Taking too long? Close loading screen.
Connect with us

Tech

How to Sell Your Leased Car for Profit

Published

on

Illustration for article titled How to Sell Your Leased Car for Profit

Photo: Patcharanan Worrapatchareeroj (Getty Images)

With used vehicles sales soaring 15% in the last quarter, your leased vehicle could be worth more on the open market than the cost of buying it out. With some finesse, you could pocket the difference and make some money. Here’s what you need to know.

Advertisement

Knowing the value of your leased vehicle 

When you lease a car, you’re paying to drive a new vehicle that you don’t own. Your monthly lease payments are based on the residual value of your vehicle, which is an estimate of how much the car is worth once the lease contract expires.

Advertisement

The lease residual is based on a certain percentage of the Manufacturer’s Suggested Retail Price (MSRP). As an example, a leased vehicle could have an MSRP of $25,000 with a residual lease value of 50% for a three-year lease, which would make the lease residual $12,500. At the end of the lease, you have two choices: walk away, or buy out the car for its remaining value (sometimes you have to pay an additional $300-$400 “disposition fee”). You also have the option to do an early buyout, the price of which includes the remaining payments and, in some cases, a termination fee.

The new wrinkle here is the pandemic. As a result of a car shortage and other factors, a disparity between market value and residual value of leased cars has suddenly emerged—many vehicles now have a residual value lower than what it can be sold for in the open market.

The Detroit Free Press has a breakdown of some potential profits:

A Ram 1500, for example, has an average residual price of $24,073 if leased in 2017, according to data from Edmunds. By contrast, it could sell for $28,292 on average on the open market. That’s a potential profit of roughly $4,200.

The 2017 Toyota Prius Prime has an average buyout price of $14,971 but an average sale price on the open market at $17,840 — with a gain of more than $2,800.

Advertisement

Finding equity in your vehicle

You’ll want to know how much equity can be squeezed out of your lease to determine if a buyout is right for you. To do so, follow these steps:

  • Check your lease contract or contact your lender to confirm the buyout (or early buyout) price. You will have to pay extra if your car has excessive wear-and-tear.
  • Compare your buyout price to the current market value of your vehicle using online pricing guides like Kelley Blue Book or Edmunds, or by getting a real cash offer from online car dealers like Carvana or Vroom.
  • Subtract the residual value from the current market price, which will tell you how much you could make by selling the car. Whether that difference is high enough for the hassle of buying and selling is up to you (you’ll also want to factor in your time and money if you’re planning to sell your vehicle privately).
  • If the math adds up, you can buy out your lease and sell the car to dealers or privately. Selling the car will be your responsibility, of course, and there’s always a risk that market conditions might change.

Advertisement

Source

Continue Reading
Advertisement
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Tech

Keep That Hotdish Hot With 65% Off a Luncia Casserole Carrier, Only $11 With Promo Code

Published

on

Best Home DealsBest Home DealsThe best home, kitchen, smart home, and automotive deals from around the web, updated daily.

Luncia Double-Decker Dish Carrier | $11 | Amazon | Promo code SDDU9S7F

It has been a long time since the days we could safely have a potluck or other gatherings, but we have a fantastic deal perfect for once those times return. These double-decker Luncia dish carriers can be had for 65% off when you add promo code SDDU9S7F at checkout and clip the coupon on the site (it’s just below the price). These holders fit 9″x 13″ sized baking dishes.

Advertisement

That means you can insulate and keep two dishes of food warm for only $11 instead of $30. What’s more, your Luncia carrier will arrive by Christmas if you order today as a Prime member.

Just add promo code SDDU9S7F and clip the 5% off coupon to bring the price down to $11 for the blue or the grey option.

Advertisement

Grab this offer while it’s still around!


Source

Continue Reading

Tech

Conquer Your Pup’s Dander and Fur With $700 Off a Cobalt or Charcoal Bobsweep PetHair Plus Robot Vacuum

Published

on

Best Home DealsBest Home DealsThe best home, kitchen, smart home, and automotive deals from around the web, updated daily.

Bobsweep PetHair Plus Robot Vacuum & Mop (Cobalt) | $200 | Best Buy

Bobsweep PetHair Plus Robot Vacuum & Mop (Charcoal) | $200 | Best Buy

Allergies can be bad enough as the seasons change. Don’t let pet hair and dander add to that by vacuuming it up early and often. That chore is easier said than done— unless you have a robot vacuum to do the work for you. This lovely bright cobalt Bobsweep PetHair Plus robot vacuum and mop, only $200 today at Best Buy seems like an ideal option. That’s a whopping $700 off, by the way.

Advertisement

You can get the same deal for the charcoal version of the robot vac, too. This model is not only specially made for picking up pet hair, it self docks and charges when it’s finished with the work.

It also comes with a mop attachment, so it can take care of those kitchen floors for you as well. Grab it while it’s still available for this fantastic price!

Advertisement


Source

Continue Reading

Tech

Apple will replace AirPods Pro for free with faulty noise cancellation, static or crackling

Published

on

Today, exactly one year after Apple first launched the AirPods Pro — and thus the same day the very first AirPods Pro owners will see their one-year warranties expire — Apple has launched a repair program that offers free repairs or replacements for another whole year if your AirPods Pro experience issues with noise cancellation or static.

Specifically, Apple will fix:

Crackling or static sounds that increase in loud environments, with exercise or while talking on the phone

Active Noise Cancellation not working as expected, such as a loss of bass sound, or an increase in background sounds, such as street or airplane noise

Apple says only a “small percentage of AirPods Pro” are affected by the issues, but it apparently wasn’t just an early batch — Apple says affected units were manufactured “before October 2020,” meaning every AirPods Pro ever made might be eligible. That’s quite a recall if so. Apple says it will repair faulty AirPods Pro for two years after you first buy them.

We’ve heard complaints about degraded noise cancellation before, and at least one Verge editor has replaced their AirPods Pro under warranty. It’s nice to hear that Apple isn’t just cutting buyers off as soon as that warranty expires.

Source

Continue Reading

Trending