Lease buyout

[New E350W4]

Our lease is up in June 2010 and we're already getting calls about our plans. We're considering buying the car but, we won't if they don't make us a better offer on the price and it depends on the finance rate, too. I see they're offering 1.9% up to 66 mos this month on "07 E350s so I'm wondering if we should start negotiating now? If they were to lower the buy price and give us 1.9% and forego the last 5 mos of lease I think we'd buy it. Any ideas or suggestions? Thanx

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[LeaseCompare]

Originally Posted by New E350W4

Our lease is up in June 2010 and we're already getting calls about our plans. We're considering buying the car but, we won't if they don't make us a better offer on the price and it depends on the finance rate, too.
I see they're offering 1.9% up to 66 mos this month on "07 E350s so I'm wondering if we should start negotiating now?
If they were to lower the buy price and give us 1.9% and forego the last 5 mos of lease I think we'd buy it.
Any ideas or suggestions?

Thanx

The more you show interest in buying it the less they will be apt to negotiate a lower price.

[New E350W4]

Thanks, I appreciate the tip. We have time to wait but, the current 1.9% is attractive.

[mac911]

If they were to offer the 1.9 now, it might be worth it, but keep in mind the selling price would likely be the residual PLUS your remaining payments.

Since it's still 5 months away, you might see if you can get the 1.9 .

If not, tell them you think you'll just turn in it at lease end and buy a competitor.

I haven't done the process yet, but it seems the best deals come within a month of turn in. However, I don't know if people want to wait that close.

[New E350W4]

We have thoroughly enjoyed this car but, we'll make the decision with our wallet.
If an almost identical E350W4 is available as a CPO for $6-10K less than our residual with 2-3% APR financing it would be stupid to keep this car.

If MB Financial doesn't realize this then, they're idiots.

I may just test the new Volvo S80 V8 AWD or the Audi

[vexed]

We are about 60 days from lease end on our 2007 GL450 and no one from MBFS has contacted us to offer a lower purchase price. The dealer told us we would be ill advised to buy it since the residual is higher than fair market value and I agree.

[troymir350]

Our dealer told us they are not reducing residuals any longer. But, you can turn in your car to the dealer and they will buy from MB for less than what you could, make it a CPO and sell it right back to you.

This would all be done on the spot if worked out ahead of time and will save thousands plus get CPO and the (usually) better interest rate. Hope this helps.

[New E350W4]

Originally Posted by troymir350

Our dealer told us they are not reducing residuals any longer. But, you can turn in your car to the dealer and they will buy from MB for less than what you could, make it a CPO and sell it right back to you.

This would all be done on the spot if worked out ahead of time and will save thousands plus get CPO and the (usually) better interest rate. Hope this helps.

Troy,

That's an interesting approach since the manager is a family friend. My understanding is the dealers have no involvement or influence in MBFin offering residual reductions.

[troymir350]

I agree with your comment. The dealer isn't doing anything with the residual. Dealers buy off lease cars from MBF all the time for negotiable prices that have little to do with residual values from the leases.

Ask your dealer about it and see what they say.

[sflgator]

Does anyone have recent Manheim auction prices for a 2008 GL450 with ~ 35k mi. w/ Prem 2, Rear DVD Entertainment, 3-zone a/c, running boards, etc. (fairly loaded)?

Our GL450 lease is ending in June, and we actually want to do the buyout on it. This SUV has been great with no major issues thus far, and we still need a large, 3-row SUV for several more years (not to mention the fact that we just spent plenty of $$ on a full set of new tires and front brakes/rotors).

The MSRP on our GL450 was ~ $70k. I think the residual buyout price is listed at ~ $45k, but I've heard from 2 different MB sales people that MBUSA Fin. is now negotiating the lease buyouts due to the economy and diminishing interest in large, gas guzzling SUVs.

Your help is much appreciated. Thanks.

[Blk04cobra1]

Originally Posted by troymir350

I agree with your comment. The dealer isn't doing anything with the residual. Dealers buy off lease cars from MBF all the time for negotiable prices that have little to do with residual values from the leases.

Ask your dealer about it and see what they say.

That's not entirely true. Dealers are given a "buy" price, but there is no negotiation involved with MBF. That is also how dealers choose which lease turn in they may or may not buy.

It is now an option for the original owner to turn the car in, have the dealer buy it, then CPO and sell it back to you (ie better interest rate on a CPO car). Your dealer should be able to tell you what they could "sell" it back to you for CPO'd, but keep in mind they will need to make some money on the deal to even do it. Often times they will be able to sell you the car CPO'd for about the same price as if you were to buy it straight from MBF. Keep in mind also that the dealer will not know what is needed for CPO until they do inspection, but you can pretty much tell what is needed buy your service records.

Hope this information helps. I would swing by your dealer and ask them to get a "pre-grounding" price and then they can make their adjustments and price quote to you accordingly.

[robert.kass]

I was having the same issues with regards to my end of lease on my SL 500 and after MBF would not give me a better deal I hired Get Your Car Back. The lady there Debbie Steinberg has helped me on multiple levels. I have not returned the car to MBF yet but it is heading in that direction. The dealership has said that they would not buy my car and it will most likely go to auction. Get Your Car Back has a relationship with the people at MBF and no conflict of interest. I think it would be a great idea for you to look at their site which has a great deal of end of car lease information and if you think your car has a lower market value than buyout value like my car, give them a call and I am sure they can help you out. I will let you know exactly what happens with my car. This is the first time I seen a service like this. My end of lease expiration date is 2-23-10. www.getyourcarback.com

[sflgator]

Originally Posted by robert.kass

I was having the same issues with regards to my end of lease on my SL 500 and after MBF would not give me a better deal I hired Get Your Car Back. The lady there Debbie Steinberg has helped me on multiple levels. I have not returned the car to MBF yet but it is heading in that direction. The dealership has said that they would not buy my car and it will most likely go to auction. Get Your Car Back has a relationship with the people at MBF and no conflict of interest. I think it would be a great idea for you to look at their site which has a great deal of end of car lease information and if you think your car has a lower market value than buyout value like my car, give them a call and I am sure they can help you out. I will let you know exactly what happens with my car. This is the first time I seen a service like this. My end of lease expiration date is 2-23-10. www.getyourcarback.com

Will look into this. Thank you!

[robert.kass]

Originally Posted by robert.kass

I was having the same issues with regards to my end of lease on my SL 500 and after MBF would not give me a better deal I hired Get Your Car Back. The lady there Debbie Steinberg has helped me on multiple levels. I have not returned the car to MBF yet but it is heading in that direction. The dealership has said that they would not buy my car and it will most likely go to auction. Get Your Car Back has a relationship with the people at MBF and no conflict of interest. I think it would be a great idea for you to look at their site which has a great deal of end of car lease information and if you think your car has a lower market value than buyout value like my car, give them a call and I am sure they can help you out. I will let you know exactly what happens with my car. This is the first time I seen a service like this. My end of lease expiration date is 2-23-10. www.getyourcarback.com

MBF has officially turned down my buyout option and now I am going to give the car back to them . The people at Get Your Car Back have been extremely helpful. They drafted a couple of letters for me, they contacted the finance company on my behalf, they worked with the dealership and gave me really good advice on how to handle end of lease inspections.

I do not want to turn this car in but it represents a serious out of pocket expense in a bad economy. I am going to hire Get Your Car Back to help me buy my car back at auction.

So far they have been great to me and I trust them. I wish I dealt with more people just like them. I will let you know what happens at auction. I was told that it would be 3 to 4 weeks before my car goes to auction .

[robert.kass]

I just hired Get Your Car Back to represent me in buying my car from auction it cost $1,000 minus the $400 that I already paid them for end of lease representation. My car will be at auction in 2-3 weeks. The way it worked so far is I hired this company to help me lower my buyout price and that did not work.

They then applied some of the monies toward bidding on my car at auction. They are using some type of 105% of Market Value and that is my max bid at Manheim.

Debbie Steinberg said that if the car goes above 105% of MMR, I have to let the car go to the highest bidder. If it does not work out at auction on my car they will help me buy another car for free.

Will let you know what happens. I am excited because my car is selling about 20% below my residual at auction. I maybe able to get this car at a discount.

[tusabes]

you sure sound like a shill for that company/ did you ever get your car back?

[robert.kass]

Not sure what a shill is but I will let you know what happens shortly. Next Wednesday, March 17 when my car goes to auction. Believe me, I am more anxious than you are to see what actually happens. I hope Get Your Car Back helps me and I hope that I can buy the car significantly below residual value.

[LeaseCompare]

We can perform this service for you also.

[robert.kass]

Thank you for your suggestion, I checked your website and I would be happy to discuss my long term financing options through you.

I already paid Get Your Car Back the money to represent me at auction.

By the way how much money would you charge me to do this transaction?

[robert.kass]

Get Your Car Back was successful in buying my 2006 sl 500 with 40,000 mile for 29,146. 30% below residual value before fees. If you add the fees back in I was still positive over 20%. I was asked to write a review and here is the best one that I can give.

There firm is a new firm that is one of a kind. No one else offers the services they offer so things do not happen perfectly. I find that with regards to their lack of a long track record doing these types of transactions they make up for through old fashion hard work and working smart.

I am happiest with the end result and I would highly recommend the transaction. They offer transparency. I watch the actual auction of my car on their platform. There is no question of if they are looking to make more money off me.