QuestionI will be turning in my Dodge Durango in March 2008. I am considering getting a jeep 4dr/4wd.2008 model. I am not sure how getting the new vehicle is worked out. Since i will be leasing the jeep, will i owe that last big payment for the Durango, or is that figured into the new lease for the jeep. Also , the Durango has only 1/3 of the miles it should have on it , well below the alotted mileage. It is also in excellent condition, no dents, scratches, etc. my note is $483.00 per month now, based on the purchase price of $36,000. Will my note be lower for a jeep , and can I switch before March 2008. Thanks so much for any info you can send. As you can see this is all new to me!! Thnx!!
Answer1) As I haven't seen an open-end lease in over 15 years, I have to assume you have a "closed-end" lease, where you're only responsible for mileage and excess wear & tear at the end of the lease period. You would only pay that last big payment if you were purchasing and keeping the Durango. That payment will not get carried over to the Jeep; you'll be starting out fresh, which to me is one of the advantages of leasing.
2) Chances are, you'll get nothing back from the leasing company for the miles you haven't used, unless you bought extra miles up front and it specifically states in the lease agreement that they're refundable. The only way to know for sure is to read the contract word for word. If you didn't buy extra miles, then the Durango could be worth more than the stated value in your contract. Your contract may allow to sell the vehicle on your own for more than the lease-end purchase price and retain any profit, BUT- thanks to $3.00/ gallon gas, the demand for used Durangos is almost nil. I doubt it would be worth your time, as the value of these SUVs (they have just about the lowest fuel mileage of any SUV on the market) has dropped dramatically.
3) It's always expensive to get out of a lease early- just hang onto the Durango till March. As to what your payments will be on the Jeep, I have no idea. It all depends on the model, how much you put down, mileage allowed, term, etc... Just check out the ads for Jeeps in your local papers; they're always offering lease deals, and the ones in the paper are their best offers. It doesn't make sense for a dealer to advertise at a price that a competitor could easily beat.
