XC Lease End: Buy it or Turn in?

[tenmiler]

I probably sound a lot more scatterbrained than I am, but I found out on Friday that my 04 XC70 lease ended 12/1, and I have to make a decision.

It's with Wells Fargo, and I am able to do one of three things:


I can extend my lease for a fee of $100 (then pay the monthly again). I had thought about doing this until the V50 I want comes in, but that's February and I won't certainly be getting any price breaks on a car that is a unicorn in the US.
I can buy the vehicle: I asked if they'd give me a better price and without hesitation, dropped the buyout from $23K to $19K plus tax, which LOOKS to be below market.
I can drop it off this week.


My mileage on the car is 32500 and I paid for 45000. The car is in fantastic shape with a crack in the rear plastic bumper that will have to be fixed, but the car has been great. I have an extra set of tires, the volvo bike racks, cargo and rubber floor mats, premium audio and xenon/leather/cold weather pkg. So I'm curious if I could sell it above my buyout and retain some $. (no, this isn't an ad!)

I do not like the '08's, and have tried hard to find an AWD V50 with no luck, so I will probably leave Volvo for my next car (sadly). I will come back, though.

Just thought I'd pose the question out there if anyone has any good viewpoint on what the best option is, and what the XC70's (04) go for these days aside from a cursory look on cars.com, etc.

thanks!

[tgrumaj]

Sounds like you have a good car in good condition that you like. The price is right (19000 seems fair given the miles - low - and condition and history) That's pretty close to what I would think is wholesale (trade in) on the car. Check Edmunds.com as they have a pretty good appraisal calculator for used cars. If it were me and I liked the car I'l keep it. Good luck.

[jmeljr]

If you like the car I would buy it as the good condition trade in value is around $18,000 with no options, retail is $24,000. In the past banks and manufactures would not negotiate with customers that wanted to buyout their leases. I have been in the retail car business in the past and that seemed really foolish to me as they have to mess with off loading the car at market value anyway.

Seems like a great price for a vehicle you owned from the get go and so you are not taking on someone else's problems. You are also wiping out 4-5k worth of depreciation as they are lowering the buyout considerably.

The V-50's are nice but they are not anything like the XC-70's, too small for me and not as comfortable. You will also be paying more for the V-50 and taking a huge hit as soon as you drive it off the lot.

My 2cents.

[JRL]

I hate to burst your bubble but 04's with only 32-36K are SELLING at the (wholesale) auctions for only about $17,500 (plus or minus)
I can happily provide you with real world auction sale numbers.

Offer them 17,500K, tell them you've done your homework and that is fair and THAT would be a good wholesale deal, (for you).
They're not going to get any more than that when they try to sell it plus they have expenses to get it to the auctions

Edit
Here, take a gander, copy this and show them
11/29/07 MANHEIM Lease $18,750 35,971 Above ASHGOLD 5G T Yes
11/29/07 MANHEIM Lease $18,750 34,593 Above ICEWHT 5G T Yes
11/29/07 MANHEIM Regular $17,800 34,350 Avg BURGANDY 5G A Yes
11/29/07 MANHEIM Lease $17,750 32,582 Avg BLACK 5G T Yes
11/29/07 MANHEIM Lease $17,250 45,970 Avg ICEWHT 5G T Yes
11/29/07 MANHEIM Lease $17,000 36,707 Avg BLACK 5G T Yes
11/29/07 MANHEIM Lease $16,750 33,649 Avg NAUTBLU 5G T Yes
11/29/07 MANHEIM Lease $16,500 45,569 Avg NAUTBLU 5G T Yes
11/29/07 MANHEIM Lease $16,000 48,368 Avg NAUTBLU 5G T Yes

[jmeljr]

I agree with JRL, if they negotiated down already, use his numbers and get them down to $17k. I just did a KBB search quickly and it seems like for a car you are familiar with and know any known issues if there are any, you probably already have a good price. Knowing a vehicle like that I would pay a small premium for, and from what it sounds compared to auction you would be paying a 5-10% premium, in my book that would be ok. $17,000 sounds better though.

Wells Fargo is not in the car business and if you can show them they are going to get $17,000 for that at an auction they will probably give it to you for that. If you can get documentation from JRL or someone else in the business it will increase your chances.

[JRL]

Wells Fargo is not in the car business .
Actually they are. The are one of the larger banks that lease along with Chase financial