Leasing can sometimes give you more flexibility than if you\u2019d straight-out bought a car. You don\u2019t necessarily have to deal with depreciation, and you could possibly turn a profit when your lease is up.<\/p>
When your car lease is up, the car is no longer yours. But there are several directions you can go in to either upgrade or even keep the vehicle:<\/p>
Most dealerships allow you to extend your lease if you\u2019re not quite ready to give it up. You can often get the same or similar terms if you\u2019ve made on-time payments and kept the car in relatively good condition.<\/p>
Some dealerships might also offer discounts for lease extensions. These might be tempting, but sometimes they can be too good to be true. Make sure you\u2019re actually getting a good deal by checking the value of your car with a site like Canadian Black Book<\/a> or Auto Trader Canada<\/a>.<\/p> Leases often come with the option to buy the car at the end. Typically, you can do this by making an extra balloon payment. How much you pay depends on the remaining payments you had left on the lease \u2014 if any \u2014 and your vehicle\u2019s residual value.<\/p> If you decide to buy the car, you have two options: keep the vehicle or sell it. If you want to keep the vehicle, you can cover that balloon payment with a lease buyout loan. Or you can sell it and use those funds to cover the buyout cost.<\/p>Option 2: Buy the car<\/h3>
Compare car loans for lease buyouts<\/h3>