can you lease a certified pre owned car

[LeKathryn]

Yes, you can lease a Certified Pre-Owned (CPO) car, but it's far less common than leasing a new vehicle and your options will be limited. The primary reason is that leasing is fundamentally a financing method based on a vehicle's predicted future value, or residual value. New cars have well-established depreciation curves, making it easier for lenders to set a predictable residual value at the end of the lease. With a used car, even a CPO one, predicting its value three years down the line is riskier for the leasing company.

However, some manufacturers' financial arms, like BMW Financial Services or Mercedes-Benz Financial Services, do offer CPO lease programs on select, recent-model-year vehicles. These programs are often used as a tool to move certified inventory that is just one or two years old.

The Pros and Cons of Leasing a CPO Car

• Potential for Lower Payments: Since you're only financing the depreciation during the lease term on a car that has already undergone its initial steep depreciation, your monthly payment could be lower than leasing a comparable new model.
• Warranty Coverage: A major advantage is that the vehicle remains under the comprehensive CPO warranty for the entire lease duration, minimizing your out-of-pocket repair costs.
• Limited Availability: You cannot walk into any dealership and lease any CPO car. The program is typically restricted to specific models and model years.
• Less Favorable Terms: The money factor (the lease equivalent of an interest rate) might be higher, and the residual value might be set more conservatively to mitigate the lender's risk, which can negate the potential payment savings.

Your best alternative is often to finance the CPO car with a loan. You'll own the asset at the end of the payment term, and with today's used car loan rates, the long-term cost might be more favorable. If low monthly payments are your absolute priority and you find a suitable CPO lease program, it can be a viable, though niche, option.

Aspect	Leasing a New Car	Leasing a CPO Car
Availability	Widely available for most new models	Limited to specific programs from specific brands
Monthly Payment	Based on new car depreciation	Potentially lower, based on slower used car depreciation
Residual Value Risk	Low (predictable)	Higher for the lender
Warranty Coverage	Full factory warranty for lease term	Full CPO warranty for lease term
End-of-Lease Option	Return, buy out, or lease another new car	Return or buy out the used car
Mileage Limits	Strict, with penalties for overage	Strict, with penalties for overage

[Bobby]

From my experience, finding a CPO lease is like finding a specific part in a junkyard—possible, but you gotta know where to look. Most banks and credit unions won't touch it. Your best shot is with the manufacturer's own finance company. I’d call the finance desk at a big dealership directly and ask if they have any "CPO lease specials" on their lot. It’s not the norm, so be prepared to finance it the traditional way instead. The terms are rarely as sweet as a new car lease.

[MalachiMarie]

Think of it from the bank's perspective. Leasing is a bet on a car's future value. A new car's value in three years is easier to predict. A used car's value, even certified, is a bigger gamble. To offset that risk, the leasing company might charge a higher interest rate or set a lower residual value, which can eat away at the monthly payment savings you were hoping for. It often makes more financial sense to just get a low-interest loan on the CPO vehicle and build equity.

[DiBethany]

I looked into this last year. I wanted a near-new luxury sedan without the new car price tag. I discovered that only a few luxury brands even offer CPO leases, and they're usually on cars that are just a year old. The payment was attractive, but the mileage allowance was too restrictive for my commute. I ended up taking a five-year loan on a CPO car instead. My payment is a tad higher, but I’ll own it outright in a few years, which feels like a smarter long-term move for my wallet.

[MacAdriel]

The short answer is yes, but it's an exception, not the rule. Your success depends entirely on the brand. Mainstream brands like Toyota or Ford rarely have official CPO lease programs. You're more likely to find them with luxury manufacturers like Audi, BMW, or Lexus for their late-model CPO vehicles. These programs are designed as a gateway into the brand for buyers who want a lower payment than a new lease. Always compare the total cost of the CPO lease against a conventional CPO loan to see which truly offers the better value.