I’m in NJ and have been looking at what other options I might have vs waiting for the lease to end in January. The car has about 27K miles, so I’m under, but the buyout is $33,394. My monthly payments are $577, and I’m really trying to reduce that given I’ve been out of work a few months. According to several, I’m upside down and should just wait for the lease to end as I do not want another Volvo. I know both Infinity and Mazda are offering incentives for Volvo owners - thinking either the CX90 or QX60 on a lease. The other option I’ve been thinking about is financing something used but getting it from a Volvo dealer so that perhaps they’ll buy out the remaining payments. I’d welcome thoughts and feedback as I try to be creative right now.
As far as I know, it must be a new Volvo, otherwise I would’ve seen that suggestion earlier. The dealer would have to force a buyout and then roll all that negative equity into the used car and your payments would go up, not down. Volvo leases are one of the hardest to get out of early that isn’t a buyout.
Your only other option is to Turo that out, but that might bite you later if a renter screws it up.
Contact @aronchi Volvo has the pull ahead program that can waive your remaining 4 months.
He can put you into an XC40 with a payment that starts with a “3” just because you can do MSDs and taxes and fees upfront.
Check what the dealer buyout is vs your buyout. It could/should be thousands of dollars difference because dealers don’t pay tax. Also, if you are going the route of the Mazda, either a cx70 phev or cx90 PHEV qualify for the $7500 incentive, and check to see if they qualify for no tax and/or any other state incentives in New Jersey. I would reach out to Anthony at DSR leasing as well for a buyout quote. He is right up front and honest on buy outs.
It’s a Volvo, there is no ‘dealer buyout’ as Volvo prevents that completely (unless buying a new Volvo)
This
Not even a Volvo store can just straight BUY a leased volvo
This is a bad idea IMO between the very high likelihood of overpaying for the car plus the high APR on a used car loan.
If you want to finance something look at 0.9% APR offers on new cars such as the Mazda CX50, Kia Sportage etc etc.
My mistake you are correct.
OP: you could try this below to see where Volvo financial is at. Give them a call and see if you can maybe try explaining a hardship since you lost your job or maybe the fee isn’t as bad as you may be expecting.
Take it with a grain of salt since it’s from a Volvo dealer and not Volvo financial. Good luck though.
https://www.volvocarsarrowhead.com/faq/leasing.htm
You can get out of a lease early by either paying the lease termination fee or checking for an early termination clause that allows you to get out of the lease without paying the termination fee.
Funny enough, I pinged @aronchi a couple of months back. I’m taking the XC60 in for its 30K tuneup tomorrow and they are lending me an XC40. If the wife likes, I will probably go that route. Also, I’m at like 29,200 miles with a 30K cap, so it might make more sense to go with another right now vs getting penalized for mileage.
Fair @Walper and appreciate that. I’m going to need a car regardless, and thankfully, I can afford to drive something decent. I just hate paying penalties and have always been able to roll off one lease to another without issue. This is my first Volvo and I’d not been warned about the EOL buy out issue.
Very likely the mileage penalty is much smaller than the negative equity…unless there is a true pull-ahead from VCFS.
But your first post said you didn’t want another Volvo so do you want another Volvo?
Second, if you want a BEV you can get a lot lower payment and better value than a XC40
Don’t take a bad deal now just to avoid a relatively small mileage penalty at lease end.
@max_g 100% agree that I will not settle for a bad deal. However, I don’t want a BEV - and not sure I want the XC40 - gonna check out the loaner and see. Anyone have an idea on what the mileage penalty might look like on the XC60? I suppose I can ask when I’m at the dealer tomorrow.
They won’t know. It’s in your contract at probably 20-30 cents per mile.
.25 PER MILE plus sales tax for VCFS
it’s 20 cents, dude.
You sure about that? I am looking at one right now and it says .25 per mile
yeah, his question is the pre-purchase mileage penalty, not the post-return.
annnnd there it is. Thanks bud! My bad reading!
Aronchi is 100% right
@aronchi -Mike, what’s the Sept #'s looking like for the CX40 Plus and Ultra, if she decides she likes it, of course.