This is a little embarrassing. I have a 2011 IS350 with the luxury package. 2 years and 10 months into a 3 year lease I'm deciding what to do about a new car. The major issue is that my driving requirements changed around the time I bought my IS, and it only has 14K miles and is in near perfect condition. It makes no logical sense to give it back and get a new car, yet I have a hard time thinking that spending MORE to keep mine makes sense. Partly because the lease buyout on my 350 is significantly less than the value, and I can lease a new CT or IS250 and actually save (significant) money on a monthly basis. In the end, I like my car, and both the CT and the 250 seem pretty unexciting (slow), even though they both handle somewhat better and have all the new gadgets and electronics. The bottom line is that it's emotion vs common sense.

Here is the question. What do you all recommend about extending the warranty, assuming I decide to keep my IS350? I haven't ever looked into extended warranties, and I'm a little skeptical. I've heard horror stories about 3rd party providers not paying for repairs, and I'm not very convinced about needing to extend it, due to the low miles. I think I would consider a warranty, but only if it was Lexus.

Can anyone help me sort out my options/priorities? Where am I going wrong?

 

Without doing any research whatsoever, I have a hard time believing that a 3 year old car with only 14K miles on it is worth less than the buyout. Did you put nothing down when you leased it?

Find out how much the car is going for on the private market. You might be surprised at what it's worth.

 

I may not have been as clear as I wanted (too many emotions connected to this!).

...Partly because the lease buyout on my 350 is significantly less than the value, and I can lease a new CT or IS250 and actually save (significant) money on a monthly basis.

The buyout is LESS than the value. Meaning, I should be able to pay off the residual, and sell or trade it in for significantly MORE. Using this difference as a down payment, I think, is the reason that a new lease for a CT or IS250 would be so much less ..... contributing to my dilemma.

 

Not sure why "emotions" need to be tied up in this. Only you can determine whats best for your financial situation. If you are happy with car,keep it. If your monthly payment is the worry, give the car back.
When buying a car, never negotiate on what the monthly payment will be! Cost of the vehicle and terms of the loan will determine that.

 

The final decision is on you. Here are my opinions.

Having owned both IS250 and IS350, I can tell you that once you drive the IS350, you never want to go back with a IS250. Forget about the hybrid, you will not be happy period. This is a almost a fact.

Secondly, both the IS250 and IS350 are very reliable cars. Take a look at this thread that includes many statistics and comments from many ClubLexus members https://www.clublexus.com/forums/is-...r-numbers.html

Third, I drive my IS350 hard on a daily basis, drive to the limit and even drift at autocross multiple times. It has more than 90,000 miles on it and it still runs fine like a boss. https://www.clublexus.com/forums/is-...b-for-fun.html so this further emphasize the reliability of this car.

I think if you are happy with the IS350 together with the fact that it is proven a reliable car, you should keep it! The happiness and smile everyday driving it is priceless!

 

If you are bored with 2IS - did you test drive a 3IS?

I would wait for 3IS with turbo....

 

Keep it, unless you truly need a different type of car altogether.

 

I say keep it unless you're saving money to buy a house which is more important.

 

Decision is on you but as far as extended warranty you can get the factory one no need for 3rd party.

 

Thank you for the input, everyone. It seems like the consensus is that it really does make more sense to keep the IS. I'll get a quote from the dealer for extending the factory warranty, before I decide if that makes sense. There have been absolutely no issues with the car, and I know how reliable they are normally. It's just that Lexus likes to charge a LOT for service of almost any type, and anything that does come up will be expensive.

 

So are you saying that your payoff is like lets just say 9k and you can turn around and flip the car for more... and that extra rolls into a whole new lease? For lower monthly payments on a new lease?

If so... why not do the payoff... own that car and have the lowest monthly payment possible That frees up a lot of money to fall in love with the car all over again with some new changes to it.

Jumping into another lease will eventually have you back in this same spot 3 years later... at some point you'll want to buy and end the cycle

 

Personally, I'd not bother with an extended warranty. I've maybe put $1k out-of-pocket into my '06 IS350 since April '11, and those were all "normal" 2IS model issues. The 350s are really a stout beast and reliable!

 

I would advice you to search online for someone who sells Lexus extended warranty. This is NOT a 3rd party warranty. I remember I bought mine from Troy Dietrich and Toyota of Greenfield way way cheaper than my local dealership. Refer to this thread https://www.clublexus.com/forums/ls4...vs-toyota.html

For the service, there are couple ways to save:
1. If you go to the dealer, make sure you do NOT ask for 5k/10k/30k miles package service. They will charge you like crazy. Instead, ask for SPECIFIC service such as OIL CHANGE, BRAKE FLUSH, FILTER CHANGE ... you can save a lot.

2. Go to an independent quality shops. Make sure you keep all the receipts of maintenance and repairs because this is needed when you have extended warranty.