Automotive

Lease renewal after first lease trade in

  • Last Updated:
  • Feb 22nd, 2017 8:07 pm
Member
Jan 23, 2012
489 posts
286 upvotes
Innisfil

Lease renewal after first lease trade in

Hi guys. Just have two questions about lease:

1. Let say when you started your first lease, you had to trade in your old vehicle and got let say $3000 off. What happens when you are going to renew the lease for a new vehicle from the same model? Will they keep they same discounted price as you had the $3000 off, or jack it up?

2. Let say you have 5 years lease for 100k allowance. How early before end of the lease the dealer will call to offer you a new car if he will call?

Thank you.
7 replies
Deal Fanatic
Nov 11, 2008
8976 posts
2827 upvotes
My dealer called me in for a renewal after the first year of my lease. he said he'll keep the same payment and everything.

I declined...
Deal Fanatic
Jul 26, 2007
7579 posts
5272 upvotes
Toronto
Your old trade in amount is subtracted from the current leased car. Best to ask them to cut you a check for the trade in amount instead of getting a lowered payment because of few reasons being your #2 early lease return.

I returned mine 5 months early and some people did it early as a 1 year. Only way to find out is to call your sale rep who will be happy to sell you a new car leased or purchased and return your old lease.
Member
Jan 23, 2012
489 posts
286 upvotes
Innisfil
peteryorkuca wrote: Your old trade in amount is subtracted from the current leased car. Best to ask them to cut you a check for the trade in amount instead of getting a lowered payment because of few reasons being your #2 early lease return.

I returned mine 5 months early and some people did it early as a 1 year. Only way to find out is to call your sale rep who will be happy to sell you a new car leased or purchased and return your old lease.
Hi. Did you renew the lease and take a new car? Was it the same model? Did your lease price increase after that?
Deal Fanatic
Jul 26, 2007
7579 posts
5272 upvotes
Toronto
doctor80 wrote: Hi. Did you renew the lease and take a new car? Was it the same model? Did your lease price increase after that?
I didn't renew the lease instead purchased a new car different model from same dealer. Price was much higher then old car but lease rates and factory rebates were better, so in the end, it came out to be $100 per month cheaper if I were to lease it.
Deal Addict
User avatar
Dec 17, 2008
2049 posts
880 upvotes
Ontario
doctor80 wrote: Hi guys. Just have two questions about lease:

1. Let say when you started your first lease, you had to trade in your old vehicle and got let say $3000 off. What happens when you are going to renew the lease for a new vehicle from the same model? Will they keep they same discounted price as you had the $3000 off, or jack it up?

2. Let say you have 5 years lease for 100k allowance. How early before end of the lease the dealer will call to offer you a new car if he will call?

Thank you.
The new lease payment will depend on current promotions/offers, if you want to lower the monthly payment, then you will need to put some money down. The trade in value in your first lease was used to lower the monthly payments.
Deal Fanatic
Jan 15, 2017
5750 posts
6122 upvotes
Ottawa
Just to be clear, you are not renewing your lease in the situation you describe. You are actually ending one lease and starting a brand new lease on the new car. No, they will not apply another $3000 trade in value as you have already traded in that vehicle.

Whether you will be offered to come out of one lease and put into another will depend upon the specific dealer. We have leased vehicles and offers have come toward the end of the leases, but they have never been that good. We were recently offered to upgrade our 3-yr lease after just 17 months. We took it. We traded in the 2016 model for a new 2017 model that was a higher level optioned model than our 2016 and the monthly payment on the 2017 was slightly less.
Deal Addict
Jun 26, 2007
1567 posts
1534 upvotes
1. Your trade in reduced your payments on your current lease. That $3000 is gone.
2. Never too early, you don't need to accept their terms if you don't like them. You can always call back later. Generally what they offer you is based on how easy they think it will be to sell the car.

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