Buying a lease out

ViciousJay

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Sorry guys for the dumb questions here but I've always bought my cars but my current car (2018 Dodge Durango R/T is up on it's lease in a year or so and I'm considering buying it. How does it work for buying it outright at the end? Let's say I got it for 45K it's well under it's mileage and say after it's 48 month term I paid 38K in payments. Can I buy it for the extra 7K owed or do I have to then finance it at market value? How does this crap work?
 

JimCSHO

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Oct 31, 2016
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Your lease set a residual value. That tells you what your buy-out is at the end. We wanted to buy my wife's Lincoln but the residual value was higher than we wanted to pay and was over the fair market value for similar cars.

It doesn't matter whether you are over or under your lease miles. The residual value is fixed by the lease.
 

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