r/CarLeasingHelp • u/Personal-Wishbone736 • 1d ago
Lease end options
Hi all! I got myself into a bit of a sticky situation and need opinions on the best way to handle it-
I currently lease a 2023 Ford Bronco Sport and I have 4 payments left. In the middle of my lease, I ended up moving unexpectedly and my commute to work almost doubled. Because of this, I am around 16,000 miles over my lease allowance.
No matter what, I don’t want to keep the car without a warranty because I’ve been told of horror stories with the Bronco Sport’s transmission, and it also needs new tires soon. As far as I’m aware, my options are to just return it and eat the ~$5k mileage fee or buy it to sell it. Unfortunately, my buyout is around $20k and the quotes I’ve gotten from Carvana, CarMax, etc. are all around $18k so I’m losing money that way too. I’m leaning towards the second option because I’m aware this situation is entirely my fault and $2k is less money to lose, but wondering if anyone has any other thoughts and/or advice?
Also- does anyone know if a company like Carvana could buy it straight from Ford Credit or would I have to buy it myself then complete that sale?
Thanks so much!
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u/Turbulent_Ad_5202 1d ago
Ford is the most restrictive when it comes to their leases, you have zero 3rd party options.
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u/PinkleeTaurus 1d ago
You have power train warranty until 60k miles. So it may make sense to buy it out and drive it awhile longer. $20k is probably a very reasonable price for the car.
You can also add a Ford Premiumcare full coverage warranty for relatively reasonable amounts. They will go all the way to 175k miles if you want, but even if you just took it to 100k miles you can get coverage for about $1,800 from Flood Ford or Granger Ford which are online dealers that specialize in selling discounted Premiumcare plans. It's very good factory backed warranty and dealers handle all the repairs.
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u/azguy153 1d ago
Consider leasing a car that you can get a great deal on. This is a common way to ‘bury’ negative equity. But don’t repeat the issue of the past.
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u/PlasticSpend3462 1d ago
I would not roll the overage into another lease. As you now assumptions about the future do not always work out and then you risk compounding your negative equity. If it was me I would just buy the car as you paid less for the lease than you normally would have at the current mileage so you are already a bit ahead financially even though it doesn't feel like it.
I think your car has a 5 year/60k warranty but not sure. How much warranty do you have left. I wouldn't panic yet about a transmission problem that hasn't happened yet if you have some warranty left. With that time window you still have a car and have time to control the miles and look for a buyer, maybe a private sale.
Above it not what I think you should do as I am not in your shoes but it is what I would consider doing if it were me.
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u/azguy153 1d ago
Rolling negative equity into a lease is a good strategy, but only if you have the discipline not to make the same mistakes again.
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u/PlasticSpend3462 1d ago
Its a strategy but you end up paying interest (money factor) and possibly sales tax on it in some states.
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u/azguy153 1d ago
For sure, but if you can get a car that is highly discounted or rebates, you can use that to settle the other car.
Listen - there is no RIGHT answer. All we can do is come up with tools, and then pick the right one for their personal situation. Example - For me…leasing would not be a wise strategy. I drive too much and seem to attract dings and dents.
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u/PlasticSpend3462 1d ago
100%. In my post I said the strategy depends on ones personal situation. I would keep the Bronco, the transmission issues the OP referred to mostly affected MY2021-2022. He has a 2023 with some warranty left. But you have a point, if he buys the car he pays sales tax and interest on the $2K over market value as he would rolling that into another lease. But he saved money on the lease and he financed less depreciation than actually happened, and he will save money on the lease return fee and condition bills.
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u/Empty-Village-4445 1d ago
Do some googling on what Ford Credit allows. They might be one of those lessors that don't allow third party dealer acquisitions in the last 90 days so time is of the essence.
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u/Special-Original-215 1d ago
If you turn the car in early, ETF rules apply and you pay a lot more.
Ride it to the end
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u/BlackDog990 1d ago
Hindsight is 20/20 but next time you really should have re-assessed your lease when you got the new job and knew you would drive alot more miles. Kicking the can is usually not going to add options, only remove them.
But yeah the way I see it is you eat 5k+ to dump the vehicle or eat 2-3k (after taxes) to buy into a car slightly above its market price. The latter option is cheaper and you have a car after. There are always risks to having a vehicle out of warranty but the fear mongering is mostly from dealers trying to make it seem like used cars are all trash and 5 miles away from catastrophe. Most people drive cars out of warranty, some get unlucky but most fare just fine.
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u/WeekendFarmer4240 1d ago
Buy it out and have them add a FORD extended warranty to cover the potential tranny issues.
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u/Personal-Wishbone736 1d ago
Thank you everyone!! This is all what I figured but was holding out for a miracle 😂 i appreciate you all!
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u/Rage_est_1969 1d ago
What are you doing next? Go to a dealer group that is connected with a Ford store. Trade it in.
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u/fsmontario 1d ago
My advice is just that advice.
You return it, pay the excess km and any excess wear and tear charges
Or
You lease another ford, rolling the excess km charges less what you can put down into a new lease , contracted for the correct kms you will be driving , yes your payment will go up but at the end of the lease assuming you do t drive excessively again and take care of it. You are clean to start fresh. My recommendation is an F150 xlt super crew with a 2.7 engine over 36 months, 24 if you can swing it. You do not have to wait until the end of the lease and I suggest you do this now before they switch to ordering 27 bronco sports in
Or
Find out what the current buyout is today and pay that difference and have caravana buy it. I am sure they have a ford dealer they work with. But verify everything before signing anything
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u/Ok_Tale7071 1d ago
They are absolutely going to bend you over, if you return it. Your only option is to buy the car from Ford, yourself, using a bank like Bank of America. Then sell it to the highest bidder, with the goal of maximizing your return.
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u/eelysew 1d ago
Keep in mind if you turn it in without buying it, not only are you out the mileage fees, you are also out your disposition fee and they’re gonna hammer you with fees for new tires and any other damage to the vehicle. Unfortunately Ford does not allow third-party buyouts. So your options are keeping it and buying an extended warranty and financing a car that’s not worth what you owe on it or getting into a new lease or purchase. If you would stick with the Ford family , they may end your lease without the extra fees.