CA 2019 Benz C43 lease return

Ask the Hackrs
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1

My lease will end in Nov 2021. I drove 23k for the15k/36 lease and prepaid maintenance for 4yr/ 45k which I used only 2 times.
My payoff is $39k and Carmax offer $46k / mycarauction$47k. I am planning to extend the lease for another 2-3 month. Here are the questions
1- can I sell the car to third party without buyout the car after extension? Thank you
2- how much would I get back if I cancel the prepaid maintenance plan before selling it to third party?
Thank you

Update: ordered Tesla Y Performance and Autovin will come to inspect my Benz this week.

2

Don’t think MB allow third party buyout. You need to buy first then sell it. Think CA has some law if you resell within 14 days then you don’t need to pay local Tax.

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3

You can not sell to a third party at all, unless you purchase it first.

Check here for minimizing your CA tax liability

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4

Check your plan contract for cancellation details. Depends on who’s the provider and at least being in CA gives you the option to cancel. Most likely prorated and with an admin/processing fee tacked on. But some only refund the unused value/portion. Check your paperwork to confirm

5

If the plan is to sell it, why wait? It’s a sellers market but won’t be forever.

6

I am planned to order Tesla Y performance but the estimate delivery date is November.

7

I also looking for BMW M3 com but i don’t see any car with the spec that I want around CA.

8

sell it to My Car Auction. they’ll pay off the car on your behalf

9

Will do. I appreciate your input. :grinning:

10

Year 2019
Model C43
Payoff 32k (after MSD deduction)
Third party offer 47.7k
Lease end 11/2021
Tax rate 8.75%

Are Benz’s dealership allows to buy my lease vehicle without paying tax? (Not return)
If yes, I am thinking that my car worth ~$52-54k market price. I need to pay tax for almost $4k if I purchased the car myself then resell to the third party. I rather sell the car to the Benz’s dealership for $45.7k instead. Will this work?

I might able to pocket 2k more by doing this.

Any suggestion?

11

Did you ask your local MB dealer for a quote?

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12

I will check with them next week. They ask me to do the lease return inspection first. I schedule Autovin tomorrow.
There are 3 x Benz dealership around me but all of them are from the same owner.(Sacramento , Rocklin and El Dorado Hill). I might check with Stockton and Walnut Creek too.

13

They’re not going to pay to buy out your car if they can take it in on a lease return. You need to get pricing info sooner than later.

Also, note that in CA, there is a path to you buying out your car and reselling without having to pay tax.

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14

However it might takes more than 10 days for MBFS to send me the title.
The reason I offer the dealership to share the profit because they can’t make profit from selling my car if they don’t buy the car from me. I will buy the car and sell it to carmax, mycarauction…etc.
it’s the situation of sharing profit with me or $0 for them.

15

There are multiple reports from people that have talked to the CDFTA (I think that’s the correct acronym), that the clock starts when you receive the title rather than when they send it.

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16

Good to know. I will follow your instruction then. Mycarauction is offering $47000 today.
I appreciate your help.:v:

17

The whole thing about lease inspection is that it sounds like they want your car for ‘free’ without giving you any money.

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18

You should also ask mycarauction if they’ll accept the signed off title from the bank or if you’ll need to have the title in your name first.

19

oic. I might just cancel the inspection. Thx

20

Will do. :+1: