If youre looking for a new vehicle but are comfortable buying pre-owned, there are plenty of off-lease vehicles that will be making their way to dealerships nationwide, which means you could be in for some big savings.
Have you ever wondered what happens to leased vehicles when theyre turned in? Many of them end up on dealer lots and are great alternatives to buying new. Turned-in leases are a way for you to get yourself into a new vehicle every few years.
A recent article in Forbes says that Altogether, the top 10 most-leased vehicles represent 28 percent of all cars and crossovers coming off two- and three-year leases that are headed back to market. That could mean major savings to you.
Forbes added that many popular 2013 and 2014 modelslike the Toyota Camry, Corolla and RAV4; Honda Accord, Civic and CR-V; and Ford Escape and Fusionare coming off leases in heavy numbers, and that means used versions should be even more affordable.
U.S. News has its own advice. With new 2017 models in showrooms, U.S. News ranked the best eight cars coming off leases, with a few luxury vehicles making the cut. Among them were the 2014 Cadillac ATS (a former Best Upscale Midsize Car for Families winner), Cadillac CTS (the No. 1 ranked 2014 luxury large car and used luxury large car $30,000 and up) and the 2014 Lexus ES (one of the most well-rounded luxury sedans on the market). The 2014 Subaru Outback, Chevrolet Malibu and Toyota Avalon all earned a spot as well.
In an Automotive News article that discusses the impact of the bounty of off-lease vehicles on the industry, Tom Kontos, chief economist of auction operator ADESA, predicts that overall used-vehicle prices will fall 3 to 5 percent per year this year and again in 2017, as the increased supply more than catches up to retail demand.
So if youre looking for a vehicle, it may be in your best interest to wait a few months for when the heavy influx of off-lease vehicles makes its way to your local dealerships. And best of all, it will give you the time to get the proper financing so your great deal will be on your terms, ensuring you that you have the right loan too.