I’m about to do the same with my 2018 Accord. Lease payoff on Honda financial is 16300 and carvana offering me 20800.
What do you guys mean it’s not the correct payoff amount?
I believe dealer payoff vs owner payoff are different amounts which is what they are talking about.
The payoff on the Honda Financial site appears to include taxes but I can’t figure out where the number is coming from. Do you know @GOAT ?
$20,842.93 shown vs. $20,034.14 actual.
Difference = $808.79
6% tax on $20,034.14 = $1202.04
36mos of lease tax = $432
$1202.04-$432 = $770.04?? That’s close…
I found it, rv + base payment = payoff. Your base payment is right at 160/mo and 28/mo is your rent charge. rv + (base pmt x 33) = 19649 plus 15 title fee I think. so your payoff shown on that website includes 350 purchase fee plus 6% tax on that which is 371 so that website shows a payoff of 20035 which is correct. your personal payoff is payoff plus 6% tax and 15 title fee which equals 20842.94
to elaborate -
rent charge = ((selling price + capitalized amount (acq fee+dmv+doc)) + RV) * MF) = 34486*0.00083 = 28
base payment = total payment - rent charge = 188 - 28 = 160
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They haven’t been making money at all. But their per car gross is like $3k if my memory serves me right, which is astonishing consider they’ve been buying used car at or over new car pricing.
Yesss this is it, thank you!!
I have a really hard timing believing that. Their earnings reports seem a little off to me but I’m no accountant. With this example and so many others…they seem to regularly be buying cars at X price and listing them at X-Y.
Just for S&G I browsed their used cars…the pricing is insane…I guess that’s the market right now. But for example I saw a 2014 Accord Sport with 8k miles listed for $19,990. Who would possibly pay $20k for a 7 year old Accord Sport that was originally $24k when you could buy a brand new 2021 for 25% more than that easily? That’s a $10k car IMO. Anybody buying a used car right now is going to be holding a big bag of negative equity in a few months.
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Let us know about your experience selling to Carvana, I’ve been stuck in document review for weeks with them. Hold times for customer service are crazy too, 3 hours to get hung up on before talking to anyone.
Now that’s a hack!
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As long as the offer stands, they can delay it in perpetuity and we will continue to drive the car 
I’m very skeptical as well but it would be a serious felony faking numbers on published financial report of a public traded company. Chances are they are doing a lot of subprime lending at like 10+%, which could be another ingredient for a disaster
Anyways, gotta ride it when you can. Maybe in a few months this forum will go back discussing how to get pass the return inspection cuz no one is paying buyouts lol.
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They’re definitely making some of it on financing.
Out of morbid curiosity I went through their prequalification process, which adds payment/loan term info in addition to the vehicle price. They softed my credit, so these are legitimate finance offers.
This APR is about double what I could get from Bank of America, and probably a lot of other places at the moment.
https://i.imgur.com/2uzxP9B.png
I only sampled Panameras. As expected, older model years had even higher APRs - some were right at 5%.
Uploaded my documents to carvana yesterday to sell my car and just received a text saying they need a few additional documents to move forward with the sale: last 4 of social. Not sure what document they want me to upload but I’m a little hesitant
Anytime a dealer is advertising the financing as much as the car, you know their business model is jacked.
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Look man the subprime stuff PAYS.
Their selling my palisade for about $2k more than they bought it from me for.
This appeals to payment shoppers who will spend more for convenience.
It’s tragic how many people are too ignorant and/or too lazy to put in some effort.
Just a warning- their offer is good for only 7 days even if you upload everything and do everything that you humanly possibly can. Until they “accept” and actual schedule pickup, the price isn’t locked in. I uploaded all the docs I had to sell a leased Buick to them, tried calling and spent 6-8 hours on hold across 4-5 days and got nowhere. Texted, chatted and nothing. Original offer expired, had to reappraise. Offer dropped about 1k and when I finally got a person to text me back they said tough cookies. Offer went up a few hundred and received a text to upload a 3rd party authorization form and they would take care of the rest. That was last Friday and crickets. Check Carmax and see what they are offering. I’ve read Carmax is crazy for Honda’s right now, you can do an online appraisal right on Carmax.com now. Just my two cents.
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That was not my experience with Carvana.
As long as it’s not something pending on your side, offer did not expire.
Thanks for the info guys!
@trism are people really so lazy and ignorant that they are buying Civic Sports over MSRP? This appears to be an actual thing. I am so confused.
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What’s going on with your sell