LR3 End of Lease Residual Negotiation

[JJF030]

My 06 LR3 HSE lease matures in 4 months with Land Rover Capital and I am considering purchasing the vehicle, but my residual is almost $39K and the current market value is considerably less than that. I only have 16K miles on the truck and it has had very few problems.

Does anyone know if LR Capital will negotiate residual values? I have heard some leasing companies will negotiate residuals. Is this something the dealer would have control over?

Thanks for any info!

 

[toddjb122]

I don't know, but it certainly make sense. I'd just bring with you some recent selling prices of current LR3s in the same shape and see what you can do. If they give it to you, they'll still get more than they can unload it to someone else for. And, even if you pay a little more than the current market value, you still get a known entity.

Let us know how it works out for you!

 

[jptruck]

I tried that on a Pathfinder a while back, and got rejected. I think the buy back price was $17,000 and I offered them $14,000 and they said they couldn't do it. You have to deal with the note holder, and they generally aren't the most talkative lot.

 

[roverman]

LR Capitol absolutely would not negotiate with me. Instead they opted to sell it to my dealer for what I'm sure was thousands less than I would have given them. Brilliant.
So I ended up getting a different one, same miles, more options for $6800 less. I also wanted to keep mine, knowing how it was driven and cared for, but that's a lot of bread...

 

[JJF030]

Thanks for the replies.

Yep, I called LR Capital and they told me they will not negotiate the residual, it is against Ford's policy. I guess Ford has all the say since they own LR.

Anyway, too bad, this is a good truck, buy I will not buy it for $6K-$7K more than it is worth. Guess I will be the market for another LR3.

 

[bgsntth]

I'll be in the same boat as you. To compound it, I have a lot of dealer accessories that are not residualized (Bushgaurd, steps, DVD, chrome wheels-hate them); hence, I will be stripping the truck before I turn it in.

Just turn it in, let it sit until the end of the month at the inflated asking price, and then make a legitimate-market value offer. Make sure it is now pre-certified with the extended warranty and detailed.