A Quick Guide to Residual Value in Leasing
To make a fully informed decision about your end-of-lease options, you’ll need to know just a thing or two about your car’s residual value. We’ll try to keep things bite-sized here – we know you’re busy.
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To make a fully informed decision about your end-of-lease options, you’ll need to know just a thing or two about your car’s residual value. We’ll try to keep things bite-sized here – we know you’re busy.
Read time: 8 minutes
Leasing a car comes with its own set of financial considerations, one of which is equity.
In short, car lease equity is the difference between the vehicle's current market value and the remaining lease balance.
Understanding how equity works can help you make informed decisions about your leased vehicle, so we’ll go over, in detail, what exactly equity is and how it’s calculated.
When it comes to leasing a car, the word "equity" might not be the first thing that comes to mind. However, understanding the equity you can build in a leased car can be a game-changer, especially when it comes time to decide whether to buy out your lease.
If you’re currently leasing a car, you may have heard that it’s a really good time to be ending that lease. Maybe someone’s told you that it’s a good option to buy out and keep your leased car – or even sell it. We’ve talked about how to do that on our own site. But why is it a good time to do so?
Read time: 11 minutes
Have you fallen in love with the car you've been leasing? Maybe you want to take advantage of the equity you've put into lease payments and transition into car ownership.
Or maybe, unfortunately, you've been in a car accident and are looking for a pathway out of your lease so you're not charged additional damage fees.
Whatever your reason for considering a lease buyout, you've come to the right place for all of the answers to your questions. We'll walk you through the most important things you need to know before buying out your lease — and empower you to make the best choice for your situation.