SANTA MONICA, Calif. -

With franchised dealers eager to be the landing spot for off-lease units, Edmunds.com assembled a trio of reasons why it might be prudent to end a lease early.

Senior consumer advice editor Phil Reed explained how recent changes have created equity in vehicle leases in his study called, “3 Ways to Turn Your Lease into Cash.”

If a leased vehicle does have equity, Edmunds.com highlights three ways that it can be turned into cash:

1. Sell the leased vehicle and get a check. The site acknowledged leasees can sell a leased unit to any dealer — not just the one where the lease was arranged — and the dealer will pay the leasing company what is owed and cut you a check for the equity.

2. Sell the leased vehicle to a neighbor, friend or family member. Edmunds.com conceded this method requires an element of trust, but because it’s a private-party sale, that might net even more money than the dealer trade-in value. Have the buyer mail a check for the buyout amount to the leasing company; and then when the title arrives, turn it over to that buyer. This is called a “lease buyout transfer,” and more details can be found through any state DMV.

3. Make a down payment on your next vehicle. The equity in a current leased car simply becomes the cash down payment for the new one.

“Two factors — low new-car inventories and tight credit — have aligned to raise used-car prices, and that’s put consumers in charge when it comes to leasing,” Reed emphasized.

“Because of these marketplace fluctuations, some leased cars might be worth more than their residual value,” he continued. “And since consumers have the right to buy the car at the end of the lease term, they can profit from the lease company’s inaccurate lower estimate.”

Edmunds.com stressed not all leased vehicles have equity, but anomalies in the marketplace can occur at any time. And the site said consumers don’t need to be near the end of the lease term to take advantage of this opportunity — a simple call to the leasing company to inquire about the buyout price can help establish the equity in the vehicle.

LeaseTrader.com consumer advisor specialist John Levine, pointed out, “Car shoppers who take over an existing lease through a lease-trading service are able to bring the vehicle lease equity with them.

“When a person takes over a lease contract on a vehicle in short supply at a car dealer, recent history suggests that the equity position may give them an opportunity to buy out the remaining contract and resell it at a profit,” Levine added.

For more details about how consumers can turn their vehicle leases into cash, visit http://www.edmunds.com/car-leasing/3-ways-to-turn-your-lease-into-cash.html.