brentlev

I am new to this forum so I am sorry if this is a redo.

We have a 2018 s-450 with 25k miles on it in a 3 year lease. It has always been garaged and in perfect condition. My wife used to drive 13-15k miles per year commuting but now is working from home. We have been leasing cars for the last 20 years or so and have enjoyed the zero headaches of leasing other than having constant payments.

The lease ends in September. Apparently the MSRPs of the W223 are going up quite a bit and I cannot imagine getting a friendly deal on one in September 2021. We are not looking forward to a huge payment on a W223 since it will be a car that may get driven very little going forward. We are considering just buying the 2018. The residual is $53,208. The lease assumes 36k miles but we will likely be under 30k at lease end. The car is spotless and has never had any issues.

Questions:

1. Does anyone have a great lead on a source for buying a MBUSA factory extended warranty for a great price? I loath the thought of getting worked over in the dealer finance office for this no matter how many cookies and smiles they offer.
2. Are there known issues with these cars that would make it a bad Idea to keep it for another 4 years or so and run it up to 50-70k miles before selling. I doubt it but thought I would ask, since all our leased cars have been returned at less than 45k miles.
3. Given the apparent shortage of used cars on the market, I would think the lease end residual is a good deal and since we are under miles it would be even better of a value.

Any input or suggestions would be greatly appreciated and if this has all been covered before, please accept my apology as I am new to this forum.
TIA,
Brent

Tom in Austin

I'm new to S-class ownership myself, but people on here say the cars are well-built and long lasting. An '18 with low miles would be a very good buy in today's market at $53K, particularly if it's clean and well cared-for as yours probably is.

One other consideration is whether the equipment, colors, etc are what you'll enjoy over the next four years.

MBNUT1

$53k is KBB trade in for a 2018 S450 with standard equipment and 30k miles. To me it would be a no brainer to buy it.

https://www.kbb.com/mercedes-benz/s-...8109536%7ctrue

DaveW68

Yes....if you can purchase it for the residual value, then by all means do it if you enjoy the car. But I have a feeling that the dealer will do everything they can to not sell it to you at that price since the used car market is so hot right now and they can make a lot more money selling it to someone else. They'll probably try to talk you into buying or leasing a different car so they can make a tidy profit. So contact MB and confirm that you can purchase it at residual value. You may also want to consider purchasing an extended warranty just prior to the factory warranty expiring as that affords you more options on plans, including a MB plan.

places

53K is a good number. I'd buy it. You can probably go through MBFS and maybe avoid the dealer?

MB-CES

There is a thread about whom to contact to purchase extended warranty at a discounted rate. You should be able to easily find it with a search here. It will probably run ~$4k for a 2-3 year extended warranty.

With an extended warranty, you wouldn't need to worry about any major mechanical problem. Only thing I have read is the suspension system after 50k miles.

With the shortage of inventory for new and pre-owned cars on the dealer lot, the dealer will want to make a profit on a lease return and CPO the car for a quick sale. If you can purchase it for the residual, it is certainly a good deal. Otherwise if you look at other 2018 S450s with 30k miles that the dealer is selling as a CPO, they are listed for close to $65k, although it varies by market.

Highline-Autos.com

Hey Brent, I can provide a free Freedom Warranty quote for your Mercedes-Benz that is accepted by all Mercedes-Benz dealers in North America. Exclutionary contract, 5yrs / 100,000 miles and transferable with the sale of the vehicle, for more information you can text me at (602) 909-9216 or send me an email attgibson@highline-autos.com

drose224

Better Business Bureau review of above posted Freedom Warranty

Freedom Warranty, LLC | Better Business Bureau® Profile (bbb.org)

DaveW68

I did inquire with them about a warranty. Their "manufacturers extension", which appears to be the closest they have to an exclusionary contract expires when the odometer hits 100k miles....not 100k miles of coverage beginning on the policy date. It also has a maximum lifetime payout cap of the lesser of NADA book value or $20k. It would seem that this is the type of policy that Katie always harps about. If they all read like this one, she'd probably be correct.

Also, I did read through several of the BBB complaints. In most cases, Freedom had their bases covered because the policies did have the exclusions/out clauses that they mentioned in their responses. This goes back to my tried and true advice about when considering these types of policies that you need to get a sample copy of the full policy with all boxes checked (not the brochure from the dealership) and read that thing from cover to cover so you know exactly what you're getting into. They are definitely big money makers for the dealerships, so IMO it's best to do the research into these types of things prior to signing the dotted line at the dealer. Every time (except for once) that I purchased a warranty on a used car, I did all of the research prior to going to the dealer, including checking costs of policies of cars I was considering prior to going into the dealership to buy the car. Then I'd purchase the policy on my own after the sale and not through the dealer. The one time I did buy from the dealer, I was able to obtain a sample copy of the actual contract, saw what their cost was, and purchased it as part of the deal. Interestingly, that is the only policy that never paid out a dime as that car was trouble free. On the other ones I always came out way ahead.

Mitch Alsup

Seems to me you have 3 choices::

A) buy the current car
B) buy/lease a last W222
C) buy/lease a first W223

I am of the opinion, that if the car seems to be giving good service, I will drive it until it becomes unreliable--generally the 150,000 to 200,000 mile range.

As to B versus C, I hate the new W223 interior..........

places

I went in to see my salesperson today, evidently the used car market is crazy. Based on my conversation with him, I'd keep what you have. The lack of inventory is driving up prices.

DaveW68

Exactly! Every time I check the value of my S550, the FMV goes up.

The home market is even more nuts right now. Inflation is going through the roof.

SW20S

The dealer has no control over what its sold for lol, they just facilitate the deal between MBFS and the buyer. They get paid a very small fee to do that.

He already has the contractual right to purchase the car for the residual.

Highline-Autos.com

It was a pleasure answering your questions and getting you the desired information. You are correct on our coverage terms and it was good you had saw the situational circumstance that goes into any BBB review.

LAWYER2

Used car values are through the roof. I got an offer to sell my car to the likes of CarMax, Carvanna etc for more than what I owe on it, which is only $3k less than what I paid for it over a year ago. I'm debating. Always wanted a G-wagon and thought about pulling the trigger on a used one.

DaveW68

Except the G-Wagen is probably more expensive too. It's all relative.

LAWYER2

Definitely, I guess the upside is I noticed they seem to hold their value pretty well over the years

superpop

I would buy out your car regardless. Used and new car pricing is stupid right now. As to the warranty, that is a suckers bet in my opinion but you know what they say about opinions. I have a 2015 that has 48K trouble free miles on it. These cars are very reliable and well built, if it was me I would skip the warranty but that is your call.