to renew lease or not?
11-26-09, 08:43 PM
#16
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While the dealer doesn't own the vehicle, yes, they are still the ones you need to go though to make the deal. They have the connections with Lexus, you don't. Who 'sold' you the car? Lexus or the dealer?...... The dealer. You also have the option of turning in the car, hoping the dealer will buy it (which at 21k miles with no accidents, there is a high chance), then you could walk back in next week and buy it. OR you could hope Lexus takes it back and wholesales it. Figure out where they are putting it up on the auction block, find a dealer friend, go to the auction and buy it for yourself at wholesale.
1) if the dealer purchases it, won't the price they sell at likely be higher than the residual? they still want their pound of flesh.
2) any idea of wholesale discount over msrp? any dealer i use would also want their finders fee.
11-27-09, 08:29 AM
#17
Lexus Test Driver
i didn't want to say much, but this is true. when you return a lexus lease, you return to any lexus dealership, because all they do is paperwork and afterward lexus will pick up the car.
again, i would want to see real case where people are able to negotiate and get a new price on the residual for their lexus. i have asked and tried and heard and seen, none so far. basically dealership said "nop, can't do, nothing we can do. either you buy it out or leave us with the keys"
again, i would want to see real case where people are able to negotiate and get a new price on the residual for their lexus. i have asked and tried and heard and seen, none so far. basically dealership said "nop, can't do, nothing we can do. either you buy it out or leave us with the keys"
^ +1
I've leased cars for years and I've never seen a manufacturer "deal" on the buyout. You and Lexus entered into a contract when you leased, and in that contract they specified the amount they will pay for the car at lease end. It's important to the whole lease process that they stick by the contract.
And the dealer has no part in the process after the "sale". They get their rake-off and then it's between you and Lexus Financial after that. All the dealer does is handle repairs and maintenance, and they actually contract with Lexus to be able to do that. They have no authority to deal on buyouts, and I don't think Lexus would even use them as a mouthpiece to pass along offers, if any.
If someone can show me evidence this kind of thing actually happens, I'll be happy to eat my words.
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11-27-09, 08:46 AM
#18
^ +1
I've leased cars for years and I've never seen a manufacturer "deal" on the buyout. You and Lexus entered into a contract when you leased, and in that contract they specified the amount they will pay for the car at lease end. It's important to the whole lease process that they stick by the contract.
And the dealer has no part in the process after the "sale". They get their rake-off and then it's between you and Lexus Financial after that. All the dealer does is handle repairs and maintenance, and they actually contract with Lexus to be able to do that. They have no authority to deal on buyouts, and I don't think Lexus would even use them as a mouthpiece to pass along offers, if any.
If someone can show me evidence this kind of thing actually happens, I'll be happy to eat my words.
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I've leased cars for years and I've never seen a manufacturer "deal" on the buyout. You and Lexus entered into a contract when you leased, and in that contract they specified the amount they will pay for the car at lease end. It's important to the whole lease process that they stick by the contract.
And the dealer has no part in the process after the "sale". They get their rake-off and then it's between you and Lexus Financial after that. All the dealer does is handle repairs and maintenance, and they actually contract with Lexus to be able to do that. They have no authority to deal on buyouts, and I don't think Lexus would even use them as a mouthpiece to pass along offers, if any.
If someone can show me evidence this kind of thing actually happens, I'll be happy to eat my words.
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.
11-27-09, 10:06 AM
#19
My family owns a series of dealerships - I've heard of customers negotiating buyouts with other brands, but it has always been the customer dealing with the finance company directly.
I once leased a Lincoln and had a relative (dealer) follow it to auction (Ford Motor Company's agreement with the dealer states it must be done this way) and got it at wholesale, plus auction fee. There's no guarantee I would have been able to get it, it was a hassle and not something I'd ever do again.
I suppose Lexus could handle it differently, but I doubt it.
I once leased a Lincoln and had a relative (dealer) follow it to auction (Ford Motor Company's agreement with the dealer states it must be done this way) and got it at wholesale, plus auction fee. There's no guarantee I would have been able to get it, it was a hassle and not something I'd ever do again.
I suppose Lexus could handle it differently, but I doubt it.
11-27-09, 11:04 AM
#20
Lexus Test Driver
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11-27-09, 03:35 PM
#21
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The only lease turn-in vehicles that make it to auction are usually less than pristine. The nice ones are usually purchased by the dealer where it was turned in at a price determined by Lexus Financial. If they don't want it, other Lexus dealers can claim it at that price. If unclaimed, it Lexus Financial has them picked up and they go to auction.
11-27-09, 05:35 PM
#23
Lead Lap
2) The top bid wins the auction. You could try finding an auto broker, who will go the auction and win the car for you. They normally charge very little money and they never get added to the title of the car (act like a normal dealer). This doesn't artificially bump up the number of owners on the car.
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