How to Trade in an Auto Lease

The process of trading an auto lease is similar to trading a financed vehicle. You can purchase your leased vehicle at any time, usually for its lease-end value in addition to any monthly payments left in your contract. Because a leased vehicle's purchase price should equal its value near the end of the term, you may owe more than the vehicle is worth. If the lease buyout is less than the vehicle's value, you can use the equity to put toward your new loan.

Instructions

1

Go to a dealership you want to purchase from. To find a dealer in your area or to shop local inventory, conduct an online search or visit a manufacturer's website to find dealers by your zip code. Call to make an appointment or stop in with your leased vehicle.

2

Bring your account number and bank information with you to the dealership. Your salesperson will call your leasing bank to find out your leased car's purchase amount. Speak to a salesperson and state your intentions.

3

Tell your salesperson which car you want and ask to test-drive it properly equipped. If you have not found a car yet, shop the lot until you find one you like. Once you have a new vehicle picked out, offer your account information so your salesperson can retrieve your leased car's buyout amount.

4

Give your keys to your salesperson to have your car appraised. Discuss leasing and financing options for the new car, including pricing, money down, term or mileage preferences. Wait while the salesperson figures out your monthly payment with your lease trade-in included.

5

Talk about money down if necessary; you may have to put money down if you owe more than the car's value. Fill out a credit application; your leasing or financing options depend on your credit standing. Once your credit application is complete, the dealer can submit your application electronically.

6

Purchase the new vehicle and drive it home the same day if approved, or make an appointment to come back and complete the purchase. Give the salesperson any additional information it requires. You likely have to bring your leased vehicle's title, if you have it (some states send the title to the leasing bank).

7

Set up your insurance with your salesperson; he will offer your agent the correct information and obtain proof of coverage to provide to your state's motor vehicle office and lender. Sign your contracts and motor vehicle work to complete your purchase.