End-of-Lease Options: What to Do When Your Lease Expires
A complete guide to your options at lease end — return, buy, extend, or trade — and how to make the best choice.
As your lease term approaches its end, you typically have four options. Each has distinct advantages depending on market conditions and your personal situation.
Option 1: Return the Vehicle
The simplest option. Return the car to the dealer, pay any end-of-lease fees, and walk away.
**Best when**: You want a different vehicle or want to stop leasing.
Option 2: Lease a New Vehicle
Return your current vehicle and start a new lease. Many dealers offer loyalty incentives.
**Best when**: You enjoy driving new cars and want to continue leasing.
Option 3: Buy the Vehicle
Purchase the car at the residual value stated in your lease agreement. This can be a great deal if the car's market value exceeds the residual.
**Best when**: You love the car and its market value is higher than the residual value.
Option 4: Extend the Lease
Some manufacturers allow month-to-month extensions while you decide.
**Best when**: You need more time to find your next vehicle.
Preparing for Lease End
The Bottom Line
Start planning for lease end at least 3 months early. Knowing your options — and your car's current market value — puts you in the best position to make a smart decision.