Thoughts on 2 yr lease then buy ??

[norville]

I have not leased a vehicle in quite a few years and I after that experience promised myself I'd never do it again. However, I really want to get into a Gladiator.

I would be looking at selling off 3 in my fleet in order to purchase a Gladiator. My thinking was to pick up a 2 year lease as there seems to be some deals popping up with 2021s on the order. Then over the next year or so , sell off my current vehicles for the best price. After that I'll have enough to nearly pay off the Gladiator. Obviously this depends on what the residual is after the lease contract. Is anybody doing this? Has anyone done this? what am I missing?

Thanks ,
Bob

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[Apocalypz]

Personally, I would wait until funds were freed up or if a good/great credit score look at financing it. Great rates out there on financing and a lot of dealerships offering additional discounts off of the invoice price, when using their financing partners. You can always pay off the auto loan early as well.

Leasing can work, as I have done it before. You have to really read all the details in the agreement and understand fees and penalties, especially related to early out (even through payoff).

 

[Mrtaylor1982]

I have not leased a vehicle in quite a few years and I after that experience promised myself I'd never do it again. However, I really want to get into a Gladiator.

I would be looking at selling off 3 in my fleet in order to purchase a Gladiator. My thinking was to pick up a 2 year lease as there seems to be some deals popping up with 2021s on the order. Then over the next year or so , sell off my current vehicles for the best price. After that I'll have enough to nearly pay off the Gladiator. Obviously this depends on what the residual is after the lease contract. Is anybody doing this? Has anyone done this? what am I missing?

Thanks ,
Bob

I work for a bank and we are the number 1 company for Chrysler leases in the US. It all depends on what state you live in (some states won’t allow excess wear & tear to be charged) and how often you drive it. Most of ours are 3 year deals however 2 years are EXTREMELY low miles on those around 20K total or you’re going to get hit with every mile over and a lot more down. Lease to buy after are very high on those especially as they will bring a pretty penny on the open market and usually want close to full retail. I’ve always wanted one also but didn’t want to pay for one either, however with all the deals on finance and new cars not moving I got a great deal just have to work them.

 

[Renegade]

I’m doing a 39 month lease through US Bank, and I intend to buy it at the end. It was $0 down.

 

[norville]

Good point, I rarely put on 10 yr. I'm generally in the 8k or less because I have 2 vehicles and work 8 miles from home.

I'm just trying to get in sooner rather than later, I'm just impatient. This would allow me more time to sell off my other vehicles with less pressure to do so..

Locally 3.6 to 3.9 % financing is what I'm seeing. I've seen 0% on a 3yr but cannot swing that...not sure that includes gladiator..

Believe it or not they are not selling well locally. I think its only us jeep nuts that are hot to purchase.. talking to the sales dude he has yet to sell one and they have 10 on the lot.

 

[TheBrudwich]

What trim gladiator? Some trims may have better incentives for purchase rather than lease. If a special order Rubicon, then it really doesn't matter as you negotiate a set percentage off invoice and that's the end of it. Two things you need to focus on, cost of funds and negotiated price of invoice. Don't worry about residuals as long as you can afford payments.

The problem with asking leasing questions on enthusiast forums is that this is really a finance question and a lot of folks are kind of out of their element. If you're leasing and the cost of funds is only 2.25 percent, no real reason to have a two year lease and then purchase outright when the lease could be extended to 3 or four years before purchase. There's a lot of expertise on leasehackr.com that you may find helpful.

 

[norville]

This is what im roughly looking at , from what i gather as long as I keep it under 20k when I turn it in, id owe 28k ish?

 

[Mrtaylor1982]

I’m doing a 39 month lease through US Bank, and I intend to buy it at the end. It was $0 down.

0 down but what are the end of term fees?

 

[ZTMAN]

This is what im roughly looking at , from what i gather as long as I keep it under 20k when I turn it in, id owe 28k ish?

Did you notice to get to that payment you have to pay $9,142 up front

If you are looking at a 2021, start unloading your other vehicles now

 

[TheBrudwich]

This is what im roughly looking at , from what i gather as long as I keep it under 20k when I turn it in, id owe 28k ish?

You're only getting $2k off MSRP and Chrysler capital has a high interest rate. Not a good deal. For the amount you'd be paying with interest, you could special order a Rubicon and lease through another lender. If you're super concerned about buyout price, maybe consider extending term of lease.

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