If you plan to takeover a lease, you should keep the factors below in mind while making your decision and calculating your cost.
- Lease transfer fees. Who is paying the transfer fees that the dealership and/or leasing company will be charging for the paper work?The lease transfer charges vary with every leasing company and automobile manufacture.In SOME cases the current lessee will pay the transfer fees as an incentive for you to take over his lease.
- Cash incentive! This can be THE make it or break deal.For arguments sake….let’s say I have 20 months left on my lease and I need to get rid of it today! I would place my ad and start off with a cash bonus (AKA incentive) of 2 months. This would spice up the deal for the buyer as he gets 2 months free. Instead of paying for the remaining 20 months, he pays for only 18.We have listed cars with incentives as high as $5000! Yes, 5K! These types of leases are usually transferred within a couple of days.
- Inspection – Inspection – Inspection! Are people still buying and re-leasing cars without getting them inspected!?!? You need to have your cars inspected!Let’s say you takeover someone’s lease and there are 12 months left. You got a great deal, the leasee gave you a 1 month incentive and winter tires! After your 12 months are up you take the car back and the dealer and surprise! The car has been in an accident and repaired by a non certified body-shop, the 4 breaks finished to the metal, tires are work past the allowed limit! This stuff costs money, have you car inspected, please
- You should also be aware of the legal issues relating to a Lease Takeover. Please contact your dealership for further information and read ALL contracts.Happy leasing
Ray Franchi
Co-Owner of QuebecLeasing.com
Posted in Leasing