Sunset Cadillac is more than just your representative when it comes to the life of your vehicle, whether you buy or lease. Once you've purchased or leased a car from us, you're family. If you've leased your vehicle and have found that it is necessary to terminate the lease, don't worry! Working with our lease experts, a little planning, and the right conditions we may have the solution for you.
So, what are your options?:
You can return the vehicle to us. Arguably the easiest way to terminate a lease is to return the vehicle before the contract expires. Your financial obligations, however, do not end. You are still obligated to make the outstanding monthly payments, pay any penalties for wear and tear, and any excess mileage charges. You're still on the hook for the car, even if it's sitting back on our lot. Let's explore some other options!
Lease another car! It's possible to end a lease early by getting into another lease with us on a different vehicle. The most significant factor in this option is how much equity there is in the car you are currently leasing. What is owed is based on some financial calculations (residual value, depreciation, etc.) and we can help you figure that out. If you owe more than what the car is worth, the money owed rolls over into the new lease. This means your new monthly payment on your new lease will be high...but hey, you're out of your old lease and into a new one with a newer car.
Cadillac's tend to have good residual value, so the best option might be to buy out the lease. This can work in your favor if you've taken good care of your vehicle and the value holds up. For example, the buyout price might be $12,000, but the vehicle's market value might be closer to $15,000. Although this is a unique situation, it does happen, and you've got some leverage.
The last option here is sometimes one of the best, called a lease swap. This allows your lease to be transferred to another party who then assumes the responsibility of payments that remain on the vehicle. You could walk away from the vehicle without worrying about a negative impact on your credit!
Terminating a lease is never easy, but it isn't all doom and gloom either. Let the experts at Sunset Cadillac of Sarasota walk you through the options that are right for you and your family. We're here to help!
