Yes, you can absolutely buy the car you've been leasing. This process, called a lease buyout, is a common and often smart option at the end of your lease term. The key is understanding your lease agreement's residual value—the pre-determined purchase price set at the start of the lease—and comparing it to the car's current market value. If the residual value is lower than what similar cars are selling for, buying your leased car can be an excellent financial decision.
The first step is to review your lease contract to find the residual value and the specific buyout procedure. Contact your leasing company, usually a bank or the automaker's financial arm, well before your lease ends to express your intent to buy. They will provide a official buyout quote, which includes the residual value plus any applicable fees and taxes. It's crucial to get a pre-purchase inspection from an independent mechanic, even though you know the car's history, to identify any potential hidden issues.
To make an informed decision, compare your buyout cost against the current market. Here’s a sample data comparison for a popular midsize SUV after a 3-year lease:
| Metric | Your Lease Buyout Cost | Average Market Price for Similar Used Model |
|---|
| Price | $22,500 (Residual Value) | $25,800 |
| Mileage | 30,000 miles (Your actual mileage) | 36,000 miles |
| Vehicle History | Single driver, full service records | Varies, potential accidents |
| Warranty | Possible remaining factory warranty | Likely expired |
| Known Condition | Excellent, you know its entire history | Unknown |
If the numbers work in your favor, financing the buyout is similar to getting a used car loan. Secure financing from your bank or credit union before approaching the leasing company to potentially get a better rate. The main advantage is peace of mind; you know exactly how the car has been driven and maintained.
