For years, service departments saw reconditioning as a cost center — labor, parts, and bay time that chipped away at profitability. On the other side, used-car managers hesitated to invest in reconditioning when front-end gross was already paper-thin. It was a constant push and pull, and neither side really won.

Enter LHPH: The Win-Win Dealers Need

What DCS dealers are discovering is that Lease Here Pay Here (LHPH) breaks the stalemate. When you control both the vehicle and the financing, you're not just selling a car — you're capturing the full transaction value.

That margin buffer changes everything:

• Fixed ops benefits from increased bay utilization and parts sales as more vehicles are cycled through reconditioning and ongoing service.
• Used-car departments get freedom to reinvest in cosmetic and mechanical improvements without tanking front-end profitability.
• Cash flow stays healthy with options like LHPH Capital, which provides lines of credit for reconditioning costs so you can prep inventory without draining reserves.

Better Remarketing, Higher Retention

LHPH isn’t just about the first lease. With shorter terms and in-house remarketing, dealers generate a steady stream of off-lease vehicles ready for reconditioning and re-lease. Instead of shipping cars to auction at a loss, you're creating high-margin, repeatable inventory.

And because you’re in control of the finance piece, you can offer:

• Better trade-in options, even for customers who are underwater.
• Faster paths to reliable transportation, helping customers reset and move forward.

The Bottom Line: Less Waste, More Loyalty

More cars stay in your ecosystem. Fewer go to wholesale. Customers return for service, parts, and warranty work. Fixed ops and used cars stop fighting over budget and start growing together.

LHPH isn’t just a subprime tactic. It’s a strategic lever that aligns departments, protects margins, and drives loyalty across the board.

DCS gives independent dealers the tools to operationalize LHPH the right way — with built-in workflows, compliance support, and reconditioning flexibility.

Ready to rework reconditioning into a profit center?

➔ Book a demo today

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