Asking About a Lease Buyout

[BulldogX]

Greetings! I have always leased my cars - 9 leases so far. My current lease, a 2021 Honda Accord Touring Hybrid, is almost over and I have a problem: I can't find a vehicle I like better than the one I'm driving now. I like what I'm driving now even more than the 2025 version of the same vehicle. So I'm thinking about buying out the lease. The current market value of the car is thousands of dollars above my Honda Financial Services buyout amount, so it sounds like a sound proposition, I think. But there's more.

I don't really want to own this car. I really want to lease a new car. It's just that my back's against the wall of my lease-end date. (I've already extended the lease for 6 months, and that's the limit.) If I buyout the lease, I'll only keep the vehicle until I find something that I'd like to lease. When that happens, I'll sell my buyout vehicle and pocket whatever profit I make.

My question: Is my plan reasonable, or is it a bad idea?

[pizzadude]

Without seeing any of the numbers it's totally subjective, but I will say that depending on the buyout for your current car you may not be able to sell it to someone else in 6 months without losing money.  

[FicoMike0]

Ditto @pizzadude 

To me, buying out a lease and reselling at a a profit sounds like wishful thinking, but if you can, go for it.

[cashorcharge]

If you think you'll find something in 2025, that plan might work.  With used car values shifting, it may look on paper that you're ahead...but when you go to sell the car...that may not necessarily be the case.  The market is really fluid right now.

If you've looked at 2025 models and nothing is interesting, suffice to say you won't begin to see 2026 models until AUG or SEPT of 2025 so that's a ways off.  

One option depending on your budget...some manufacturers have offered "lease/rental" options where you can get a car from them and drive it obligation free for about 6 months.  Large Auto Retailers like AutoNation offer this service too.  Perhaps an option to explore if your flip won't be happening in 90-120 days

[KatzNDawgs]

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@BulldogX wrote:

I have a problem: I can't find a vehicle I like better than the one I'm driving now. I like what I'm driving now even more than the 2025 version of the same vehicle. So I'm thinking about buying out the lease.

I don't really want to own this car. I really want to lease a new car.

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These statements seem contradictory. If you love the car, sure buyout. If you want to lease a new car, don't buyout and get a new lease.

[BulldogX]

Thanks for everyone's advice. It gave me a lot to think about.

At the moment, my lease buyout is at least $3,888 less than the lowest value I've seen for my car. That offer was from CarMax, who offered me $3,888 above the buyout. Other published sources are offering more. What I did not take into account was that resale values are fluid, so months from now the market value of my car (as trade-in or in a private sale) could be much less.

Another good point was that if I'm not seeing anything I like better now - although I haven't looked at every other car model - it is likely that I will have to wait for the 2026 models.

What's coming out is that I should either buy my car and keep it for a few years, or make up my mind quickly and lease something new. If I'm going to lease something new, now seems to be the time to do it, when I will get the maximum trade-in for my current vehicle.

[pizzadude]

If you can pocket ~$ 3K ish on your car then why not flip it asap and use some of the money to short term rent a car until you find a new vehicle to lease ?