Hi, I have 2015 leased honda odyssey. Lease is going to expire in June,2018. All the payments are made on time not a single payment is missed.
The mileage given by hand was 30000 miles and till todays date I have drove 31200 miles
Till June 2018 the balance I have to pay is $3150 but if I keep this car till June 2018 I will drove another 9000 miles which means they can bill me for 9000x 0.20= $1800 .
I would like to lease another new car please advice what are my options.
Thanks.
Try to do a free appraisal at carmax, you may save more $$ by selling it to them. They do accept leased vehicles and work directly with your financial institution. Also there has to be a honda pull ahead program if you are interested in another honda.
what @Alucard said, however, I doubt there’s any equity in this vehicle and you will be upside down. How much upside down is the question. If you owe $3150 + $1800 which is about $5k and you’re upside down at camax for $3500 then you’re ahead but still owe $3500 to meet the payoff. I don’t see a way you can walk away from this clean without owning something unless you’re monthly payment was very high (which it doesn’t appear from your original post).
Given how much you drive, leasing a new car is probably not a good choice.
The OP appears to drive 15k miles/yr so leasing is quite feasible.
Well, right now he only owes the $3150, till turn in + the 1500 mileage overage, which would be 300 (1500*.20). If he rides out the lease, he would have paid the $3150 in payments, but would owe $1800 in anticipated mileage fees. I’m not sure if Honda cuts a break at lease term if you lease/finance another Honda or not. If Carmax doesn’t work, he might be better off riding it a bit, and hoping for a Memorial day sale with decent rebates to help eat away at the mileage penalty. If he doesn’t lease another Honda, the dealer could cut him a check for the mileage overage at least.
They will forgive a big chunk of those miles if you lease another Honda from them.
@max_g you’re right, he can do a 15k mi/yr lease.
Thanks everyone. Definitely will do another honda car. Right now it show $25889.04 as a payoff amount. My monthly payment is $349 p/mo.
If I keep till June 2018 and keep paying monthly 349 then at the end $22748.04 will payoff amount. Should I contact another honda dealers and checkk if they have pull ahead prog.
There’s not going to be any sort of 1-yr pull ahead program. What Honda can and will do if you lease another car is pay it off at the current price and any negative equity can be rolled into the new lease (or you can write them a check). It’s usually a costly option but you can get them to price it out and then you can make a better decision if it’s worth keeping to lease maturity. According to @max_g, Honda might forgive a big chunk of miles. I’d reach out to a dealer and find out best and worst case scenario when it comes to excess miles charges.
Carmax will give you wholesale pricing. Don’t do that.
See what people are selling a similarly equipped /miles Odyssey for on Craigslist, privately. Then take that amount, subtract (or add) your buyout. And that’s where you are sitting financially.
You should have no problem selling a 2 year old Odyssey privately. I sold a Sienna not too long ago and the phone was ringing off the hook. And this was for a 6 year old version with almost 100K miles. Siennas and Odysseys are the two vans every mom wants.
The last two Hondas we have leased have turned to positive equity within the first 18-24 months of the lease.
First one was a 09 Odyssey. We bought it out at lease end because it was over mileage, we liked it and it was $3-4k cheaper than what they were selling for used.
Next was a 13 Odyssey - same story - we were way over on miles (more than 15k a year on a 12k lease). When I called our dealer about pull ahead deals, he had no idea. Said the only way that would work is if trade in was more than current pay off but he doubted it. He called back the next day all excited - we were $3k positive on equity. Ended up swapping the Odyssey for a new 16 Pilot.
Did the Pilot the same way - only leased at a 12k rate. Currently way over miles 24 months in. Just checked payoff vs KBB trade in - $1800 positive. The Mrs. is looking for her next ride already.
That’s the right advice - OP should check KBB trade in value for car and see where he stands relative to approx 26k payoff … We can then go from there …
And best part of this being a KBB-valued trade in, you should be able to do the deal with any brand dealer at the same time as your new ride. You’re not forced to lease another Honda and beg for forgiveness of the overage.
1 Like
Honda will likely pay more on trade-in for an Odyssey than anyone else.
They can wring more profit out of it by slapping on a CPO sticker, thus they are likely to pay more for it as well.
Hi everyone KBB show
trade in range
24,343- 26236
Trade in value 25,295 on 30000 miles. I am going to honda dealer toady and lets see what they say.
Thanks
Autotrader uses KBB and then provides the list of dealers willing to buy your car, even if you don’t by from them.
https://www.autotrader.com/sell-my-car/