Generally speaking, lease companies provide their customers with this option. Leasing customers may buy their cars either upon the end of the lease, or even prior to this. To put it into the simplest terms, lease buyout or payoff means purchasing one’s vehicle from the company directly with cash or with a loan.

Talking about restrictions, people must be aware of the fact that not all of the companies offer the option of early-buyouts, although if they do, it is worth considering it. There may be lease companies that allow the purchase option only within a limited period of time. For instance, it may be allowed to make buyouts except the first and the last few months. However, if one is aware of these restrictions, he/she can still make a good deal. But for this it is unavoidable to be very well informed, and to understand the contract.

The next important issue is the reason of making a lease buyout. It is very probable that after a period of time one got used to driving a leased car, and thus wants to use that car even after the lease ends. This is a typical example when considering a buyout is not a bad idea. It is much better and safer to buy a used but known car than buying a new one and having uncertainties about it. Dealers offering a new car can easily deceive buyers, so buying a car with a known history and conditions is a good thing for one to do.

>Another possibility when considering a lease buyout is either when one have exceeded one’s mileage limits, or have out-of-bounds damages. In these cases it may be a better idea to make a buyout than paying the penalties due to not having paid attention to the contract’s terms.

In addition to these, one should know the basics of the Lease Buyout typology. There are two types of car lease buyouts: the lease-end buyout (made at the end of the lease) and the early buyout (made before the end of the contract).

The first one, the car lease-end buyout refers to buying the leased car at the end of the lease. Whether it is a good option depends on one’s personal circumstances. Thus, it is very useful to compare this option with other possibilities in order to determine if it's one’s best option. The price of the car charged at this buyout-type is usually the residual value present in the contract. Nevertheless, one should try to make negotiations in this sense, and accept only a fair price!

Deciding upon the fairness of a purchase price might be based upon the following factors. First of all, while paying for leasing, one pays for the leased asset’s depreciation. Therefore the purchase price of the lease-end must be the car’s original price minus those amounts that one has already paid. However, one must not forget to check whether the car’s market price is more advantageous. Buying a similar used car from a dealer may happen to be a better option if the car’s market value is lower than the price charged by the company.

Finally, a car lease early-buyout refers to purchasing one’s vehicle before the lease ends. This option is more complex than the lease-end buyout as it is very complicated to calculate the price of the car. People should never forget that it is almost always better to make a buyout at the end of the lease than making an early-buyout.