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2017 GLE 350 4matic - options at lease expiy

rehr22rehr22 Posts: 19
edited July 2020 in Mercedes-Benz
I have two payments remaining on my lease and I am interesting in buying the car. I am curious everyone's thoughts on whether it makes more sense to 1) finance the balance with an extended warranty, or 2) have Mercedes CPO the vehicle with extended warranty and then finance.

Comments

  • MichaellMichaell ColoradoPosts: 174,695
    rehr22 said:

    I have two payments remaining on my lease and I am interesting in buying the car. I am curious everyone's thoughts on whether it makes more sense to 1) finance the balance with an extended warranty, or 2) have Mercedes CPO the vehicle with extended warranty and then finance.

    Do you know the cost of those two options?

    Is the extended warranty through MB, or through a third party? If a third party, I'd go the CPO route.

    Did you get a good deal? Be sure to come back and let us know! Post a pic of your new purchase or lease!


    MODERATOR

    2015 Subaru Outback 3.6R / 2014 MINI Countryman S ALL4

  • rehr22rehr22 Posts: 19
    All options would be through MB.

    I only have the numbers for the CPO, as I figured this made the most sense. The thought was to max the extended warranty which gets me to September of 2024. BTW... these are numbers are rough as the car hasn't been through their CPO inspection, but we went on the high side.
  • MichaellMichaell ColoradoPosts: 174,695
    rehr22 said:

    All options would be through MB.

    I only have the numbers for the CPO, as I figured this made the most sense. The thought was to max the extended warranty which gets me to September of 2024. BTW... these are numbers are rough as the car hasn't been through their CPO inspection, but we went on the high side.

    Care to post those numbers here?

    Did you get a good deal? Be sure to come back and let us know! Post a pic of your new purchase or lease!


    MODERATOR

    2015 Subaru Outback 3.6R / 2014 MINI Countryman S ALL4

  • rehr22rehr22 Posts: 19
    Here are the two CPO options we discussed...

    To put things in perspective, this is a 36/12 lease and my current mileage is at 36K with 2 months remaining. The car is in excellent shape and residual at lease expiry is $36,900.

    1) 72-month finance = standard CPO - warranty expires on 09-2020 - payment is $690

    2) 72-month finance = CPO + 2-years additional - warranty expires on 09-2024 - payment is $750


  • oldfarmer50oldfarmer50 Posts: 17,233
    Check the coverage of each option compared to the relative cost.

    2019 Kia Soul+, 2015 Mustang GT, 2004 Chevy Van, 2000 Chrysler Sebring convertible

  • kyfdxkyfdx Posts: 179,871
    rehr22 said:

    Here are the two CPO options we discussed...

    To put things in perspective, this is a 36/12 lease and my current mileage is at 36K with 2 months remaining. The car is in excellent shape and residual at lease expiry is $36,900.

    1) 72-month finance = standard CPO - warranty expires on 09-2020 - payment is $690

    2) 72-month finance = CPO + 2-years additional - warranty expires on 09-2024 - payment is $750


    Is #1 warranty expiration supposed to be 09-2022? Otherwise, it makes no sense.

    $4300 for two years of CPO warranty. Is that a good value for you?

    6 years of payments, but only 4 years of warranty. I'd look hard at another lease.

    Did you get a good deal? Be sure to come back and share!

    Edmunds Moderator

  • rehr22rehr22 Posts: 19
    kyfdx said:

    rehr22 said:

    Here are the two CPO options we discussed...

    To put things in perspective, this is a 36/12 lease and my current mileage is at 36K with 2 months remaining. The car is in excellent shape and residual at lease expiry is $36,900.

    1) 72-month finance = standard CPO - warranty expires on 09-2020 - payment is $690

    2) 72-month finance = CPO + 2-years additional - warranty expires on 09-2024 - payment is $750


    Is #1 warranty expiration supposed to be 09-2022? Otherwise, it makes no sense.

    $4300 for two years of CPO warranty. Is that a good value for you?

    6 years of payments, but only 4 years of warranty. I'd look hard at another lease.
    Good catch - yes its supposed to read 09-2022 (two years).

    I was under the impression MB only offered up to 7-years of warranty extension - which means 2024 would be the max they could offer on their CPO.

    I have no idea how to value a warranty extension. I just know we love the vehicle and wouldn't mind a lower payment with warranty. Perhaps the best deal is just the standard CPO (2-years) and then I reevaluate in a few year if I should extend again, or just roll the dice (depending on how the vehicle is holding up).
  • fintailfintail Posts: 52,619
    I was paged here - I see others have chimed in. I'd roll the dice and seek the lower priced option. I don't think these vehicles are known to be especially troublesome - if your car has held up well so far, it is probably worth the risk. Maybe have it inspected right before (original) warranty end to check for any issues.

    When my E-class lease ended last year, I was also offered to purchase the car for around 20% under (inflated) residual, but that was back in the olden days when things weren't as crazy, I don't know what the market might be for that situation now.
  • rehr22rehr22 Posts: 19
    fintail said:

    I was paged here - I see others have chimed in. I'd roll the dice and seek the lower priced option. I don't think these vehicles are known to be especially troublesome - if your car has held up well so far, it is probably worth the risk. Maybe have it inspected right before (original) warranty end to check for any issues.

    When my E-class lease ended last year, I was also offered to purchase the car for around 20% under (inflated) residual, but that was back in the olden days when things weren't as crazy, I don't know what the market might be for that situation now.

    In other words, stick with the standard CPO which gets me an extended warranty up until September of 2022 ?

    I'm also going to have them run the numbers for 48 and 60 month term options. I think anything above 60 months might just be a little much in terms of rates, and also, paying for a car that has no warranty for an extended period of time.

    I believe prior to September 2022 I can always extend the additional 2 years, so best cross that bridge when we get to it and see what my situation and the vehicle look like.
  • kyfdxkyfdx Posts: 179,871
    rehr22 said:

    fintail said:

    I was paged here - I see others have chimed in. I'd roll the dice and seek the lower priced option. I don't think these vehicles are known to be especially troublesome - if your car has held up well so far, it is probably worth the risk. Maybe have it inspected right before (original) warranty end to check for any issues.

    When my E-class lease ended last year, I was also offered to purchase the car for around 20% under (inflated) residual, but that was back in the olden days when things weren't as crazy, I don't know what the market might be for that situation now.

    In other words, stick with the standard CPO which gets me an extended warranty up until September of 2022 ?

    I'm also going to have them run the numbers for 48 and 60 month term options. I think anything above 60 months might just be a little much in terms of rates, and also, paying for a car that has no warranty for an extended period of time.

    I believe prior to September 2022 I can always extend the additional 2 years, so best cross that bridge when we get to it and see what my situation and the vehicle look like.
    Yeah, a six year loan on a three year old car might be pushing it.

    Did you get a good deal? Be sure to come back and share!

    Edmunds Moderator

  • rehr22rehr22 Posts: 19
    appreciate everyone's input.

    I've told my sales rep I am ready to move forward - hopefully we can get the car certified next week and then tighten up the quote (as the $690 per month was his estimate on the high side).
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