That dreadful moment has arrived. Your car lease is about to end. You’re feeling frustrated and confused, and a little scared of how much you’re going to have to pay.
But don’t worry, we’ve got you. Today, we’ll talk you through all of the steps and help you make an informed decision about what to do next.
However, if you’re running low on time and want someone to handle the whole process for you, check out LeaseEndDepartment.com. They give you a lease buyout quote (a price estimate for how much it would cost to buy your car), offer financing and payment options specifically for you, and handle all of the paperwork.
Check Your Contract
Your end date is usually written in your contract. As soon as you’re within 90 days of the end, it’s time to start planning.
Why? Because this gives you enough time to:
- Schedule an inspection
- Explore your options
- Avoid surprise fees
If you wait until the last minute, you might miss out on better deals or get stuck with unexpected costs (and we don’t want that).
Know Your Mileage
Car leases almost always limit the miles you can drive without penalty. Go over the limit, and you’ll have to pay a fee (usually around $0.15 to $0.25 per mile). That can add up fast.
Let’s say your limit was 36,000 miles, and you’re at 39,000. That could cost you $750–$1,000 extra.
So check your odometer now. If you have already passed more miles than you’re supposed to, or if you’re getting close to the limit in your contract, you can try driving less until the lease ends.
Decide What’s Your Next Move
When your lease ends, you usually have three main options:
You Can Return the Car and Walk Away
If you’re ready for something new, you can just return the car. Just make sure you:
- Complete an inspection
- Return the car on time
- Pay any final charges
Most leasing companies offer a free pre-return inspection. This is basically a chance to find out if your car has any damage (that would be charged) and what they might charge you for.
Then you can fix the car yourself for less than what the leasing company would charge.
Lease a New Vehicle
Many people choose to lease again, especially if they like to change it up and drive a different car every few years. Dealers often offer loyalty incentives or lease specials if you stay with the same brand.
If you want to lease another car, take your time and check for deals before making your choice. And if you’re interested in switching to an electric vehicle, this might be a good time. EV lease offers have become more common lately.
Buy the Car (Lease Buyout)
You can also buy the car you’ve been leasing. This is called a “lease buyout.” You’ll pay the residual value (set in your contract) plus any fees or taxes.
This might be a smart option if:
- You really like the car
- It’s in great shape
- The market value is higher than the buyout price
In the first half of 2025, a lot fewer leased cars are expected to be returned compared to early 2024 (about 41% fewer overall). The premium market is expected to drop 46% in car lease returns.
Why is this changing? Used car prices went up, making some lease buyouts a great deal. If you want to buy a used car, just make sure you get a VIN report.
Review the Fees
Even if you take great care of your car, some fees are common when your lease is ending. These might include:
- Disposition fee (usually $300–$500): Charged for returning the car if you don’t lease again.
- Excess wear and tear: Based on the inspection.
- Excess mileage: If you went over your limit.
But the good news is that you can always negotiate or avoid fees, especially if you’re leasing again through the same company. Just ask.
A Few Extra Tips
Here are a few more things to keep in mind:
- Shop early: If you plan to lease again or buy a different car, start shopping before your lease ends. Inventory moves quickly.
- Double-check your paperwork: Just forgetting to sign one document can prolong the whole process. Double-check everything.
- Take photos: Just in case something’s disputed later. It’s always good to keep your own record of the car’s condition.
Wrapping It Up
The end of a car lease doesn’t have to be so stressful. With a little planning and research, you can make the perfect choice for you.
And hey, if you can save money (or avoid a surprise charge) in the process? Even better. We wish you the best of luck.
