Decided to buy my leased car
Thread Starter
MBWorld Fanatic!
Joined: Mar 2017
Posts: 1,350
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From: Birmingham, AL
2019 S560, 2022 Audi S8
Decided to buy my leased car
I'm now within 3 months of the end of my lease. My car is a 2019 S560. The lease is a 36 month lease. It only allows for 7500 miles per year, which means I'm allowed 22,500 miles during the term of the lease. It has almost 29000 miles on it. Currently, my decision is to buy the car for the residual value of $58K. The penalty for extra miles is .25 per mile over the limit. That means if I were to turn the car in, I would have to pay $1900 plus put the original RF tires on it as I've got Michelin non-RFs on it now. If I decide to buy the car, are all of the stipulations of the lease overlooked??? Or will I have to still pay for the extra miles on top of financing the car (or I might just outright buy it)? Since I'm purchasing the car, why would it matter to MBFS (the bank) about the overage of miles? What do you guys think this car is worth at wholesale or retail prices? It does not have a single blemish on it nor any mechanical or electrical problems. It looks brand new and all records have been kept. Thanks.
MBWorld God!
Joined: Dec 2019
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I can't comment on everything else you asked but if you truly want to get rid of it, you could consider asking for quotes on the lease vehicle from different MB dealership and see who offers you the most, I heard from forum members here that given the market situation that is what they did and all they have to do is hand over the keys and they will give them a cheque way better than just turning it in as you lose all that equity, despite being a leased vehicle.
Thread Starter
MBWorld Fanatic!
Joined: Mar 2017
Posts: 1,350
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From: Birmingham, AL
2019 S560, 2022 Audi S8
So the $58K seems to be a good price if I decide to keep it. It's funny how this car went through the Covid mess and yet the financing minds of MB still got it right. For awhile there (1 to 2 years ago), I thought I might end up making around $20K profit on it but it seems prices on used cars have come back down to earth.
Super Member
Joined: Mar 2019
Posts: 573
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From: Half Moon Bay, CA
2016 S550e, 2005 Nissan Xterra 4x4, 1984 300ZX
You could have a 100k over and they still do not charge you, if you guy the car you don't even have to go to the dealership to close the deal, they can do the deal remotely. This is a good price I would for sure buy it, if you want to do something else you can make some $$ off the car for sure.
Super Member
Joined: Dec 2016
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From: Charlotte, NC
2024 E450 AT Wagon, 2024 EQS450+ / Had: 2021 E350, 2019 E300, 2021 + 20 GLE350, 2019 E450 Wagon(s)
Agree, you do not owe anything for mileage or wear and tear if you buy it, but you will pay sales tax on the sale to you from the leasing company. (Not a big deal as you would pay sales tax on any replacement car you purchase or lease anyway,..)
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Thread Starter
MBWorld Fanatic!
Joined: Mar 2017
Posts: 1,350
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From: Birmingham, AL
2019 S560, 2022 Audi S8
Thanks guys. I feel much better about it now. I'm having to make a very tough decision as to which car to keep.....the Audi S8 or the Benz. The ride, power, suspension, and quietness is best in the Audi and it is trouble free so far. The 50+ years of being a Benz owner and/or fan leans me to a Benz product, the infotainment system and the stereo system is best in the W222 and I'm NOT going to buy a W223. Power of the Benz is nothing to sneeze at and the ride is certainly not bad. One has to go as I'm in the middle of financing a new house. The financial numbers and obligation is less if I keep the Benz......I just like that Audi so much though. I'll keep you posted but thanks for the input
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Senior Member
Joined: Nov 2018
Posts: 267
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From: Hampshire , UK
2015 S500, 2016 GL63 AMG
Some years ago ( early 2011 ) I did a 4 year deal on a new XJL but I always intended to keep it past the end deal by paying the " balloon payment ",
It was very easy, when the final payment was due I just asked for the total balloon payment needed and then did a final transfer for the money, easy !
It was very easy, when the final payment was due I just asked for the total balloon payment needed and then did a final transfer for the money, easy !
MBWorld Fanatic!
Joined: Jun 2015
Posts: 9,051
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From: Maryland
2024 S580
Thanks guys. I feel much better about it now. I'm having to make a very tough decision as to which car to keep.....the Audi S8 or the Benz. The ride, power, suspension, and quietness is best in the Audi and it is trouble free so far. The 50+ years of being a Benz owner and/or fan leans me to a Benz product, the infotainment system and the stereo system is best in the W222 and I'm NOT going to buy a W223. Power of the Benz is nothing to sneeze at and the ride is certainly not bad. One has to go as I'm in the middle of financing a new house. The financial numbers and obligation is less if I keep the Benz......I just like that Audi so much though. I'll keep you posted but thanks for the input
Out Of Control!!
Joined: Sep 2018
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From: unbegrenzt
2017 GLE350 4MATIC
Mileage overage is irrelevant if you buy it. Same with tires. I have purchased a leased vehicle with mileage overage in the past.
Read the lease document with your signature on it. Every word of it. Three times.
Read the lease document with your signature on it. Every word of it. Three times.
MBWorld Fanatic!
Joined: Jun 2015
Posts: 9,051
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From: Maryland
2024 S580
MBFS will no longer allow that. Can only sell it to an MB dealer. BUT, an MB dealer would likely buy it and give you a little more than the residual which would negate the need to pay for the mileage overage or the tires just to get it in inventory.
MBWorld Fanatic!
Joined: Jun 2015
Posts: 9,051
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From: Maryland
2024 S580
About sales tax, that depends on the state. In MD we pay sales tax on the whole purchase price of the vehicle, even with a lease. So if you buy a leased vehicle out you don't pay sales tax again.
MBWorld God!
Joined: Dec 2019
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I wonder if selling it to a BMW dealership for example that is owned by an automotive group that owns a MB dealership also works?
MBWorld Fanatic!
Joined: Jan 2015
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15 S550 4Matic, 86 560SL
But he could buy it outright and then sell it to a 3rd party, correct? MBFS wouldn’t have any say then?
MBWorld Fanatic!
Joined: Jun 2007
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From: Huntington NY
S560
Thread Starter
MBWorld Fanatic!
Joined: Mar 2017
Posts: 1,350
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From: Birmingham, AL
2019 S560, 2022 Audi S8
Yes, I can do the house deal with the Audi payment, in fact, I could keep both cars with the house deal but it's crazy to have two high-end luxury cars for just a single person. I will replace one of them with a truck most likely but new trucks are approaching $90K +. !!!! I would rather buy a used truck under $40K as I definitely need dependable transportation. I only drove the Benz on big trips.
Thread Starter
MBWorld Fanatic!
Joined: Mar 2017
Posts: 1,350
Likes: 493
From: Birmingham, AL
2019 S560, 2022 Audi S8
Good advice. I certainly won't just take it to a Benz dealership where I would get raped. An individual buying it would make the most sense. I would like to get $64,900 for it if I decide to keep the Audi. It is immaculate. My house sell closes in 2 weeks. After that I'll know more of what I can, and want, to do.
Thread Starter
MBWorld Fanatic!
Joined: Mar 2017
Posts: 1,350
Likes: 493
From: Birmingham, AL
2019 S560, 2022 Audi S8
This discussion has led me to think about leasing again since the overage of miles is not really all that bad to pay for and kind of makes me not worry too much about going over the mileage allowance.
I could have driven 30,000 additional miles on it and only have to pay $7500 penalty. Most car deals will absorb that with a small discount and a small down payment. I might as well do that since I don't keep a car for over 3 years. My Benz is the second time I've kept a car at 3 years. My 2007 S600 I had for 3 years.
The main concern is staying within the warranty mileage allowance.
Member
Joined: Oct 2013
Posts: 184
Likes: 118
From: Shenandoah Valley
E400 Wagon; 2010 ML350; 08 CLK350 Cabriolet; 69 SL280
Through the years we have had 5 Audi's and 4 Mercedes - we found positives for both Brands - seem where 1 fails the other exceeds and vice versa.
If I were still in a major metro market, I'd play the MB to the Audi dealer and the Audi to the MB dealer and see who cuts the best deal. if both are no deals then sell the 1 you like the least.
If I were still in a major metro market, I'd play the MB to the Audi dealer and the Audi to the MB dealer and see who cuts the best deal. if both are no deals then sell the 1 you like the least.
