Hackrs,
I have a 2021 Volvo XC60 T5 with the 36mo/10K lease ending in October 2023. The car has only driven 8600 miles so far, and is in a very good condition (barring a scratch and a small crack in the rear bumper). We had one incident in a parking garage during the lease that had caused damage to the exterior of a rear door. However, all the repairs (& part replacements) were performed at a bodyshop recommended by our Volvo dealer, and it now looks like new.
For what its worth, we had also purchased the Volvo excess wear & use lease-end protection plan at the time of signing the lease - that covers upto $7,500 of excess wear charges if the car is turned back to the dealer.
We also have $6500 MSD with Volvo paid at the time of signing the lease. (Not sure if this affects the decision, but sharing just in case.)
I understand from other posts on the forum that I have two options:
- Buy out the car, and then either use it or sell it to a third party.
- Return the car to the Volvo dealer
For option 1:
We are in a position to write a personal check for the payoff amount, so don’t need financing if we chose this route.
(a) If we buy the car and try to sell it, are we likely to get equity in the current market?
(b) Would the accident affect the selling price in this scenario (even though all repairs have been properly done)?
(c) Would you recommend buying and keeping the car? I read in a few other posts that Volvos are not good for owning long term. Does that apply to the 2021 XC60?
(d) If considering this option, how do I best get a sense of the resale value of the car?
For option 2:
(a) If going this route, would my best bet be getting a new Volvo lease? It seems like Volvo offers incentives for Volvo customers who are nearing lease end? We are keen to have an SUV of at least the size of XC60 (and have been very happy with the XC60).
(b) Is there a way to get equity on the car when returning to the dealer?
(c) What prep work would you recommend to avoid issues at the time of lease end? (e.g., pre-inspection, chosing the next car, negotiating new lease with the dealer) When would be a good time to start these given that our lease ends in mid-October.
Sorry for the long post and rookie questions. And thank you very much for your expert advice!
J