Lease buyout then resell to a third party. Anyone done it?


#21

Hi all,

Last week I did lease buy-out from dealership with the plan to sell. I have buyer lined up.

Dealership said it will take 12+ weeks before I receive title… is there a way to sell before I receive title or is there a way I can pay DMV to receive title immediately?

Thanks!


#22

Call NMAC to confirm they got the payoff and if you have a choice of where the lien release goes (CA, right?). Did the dealer charge you tax? If so, you need to call the State Board of Equalization to find out how to get a refund of the tax you paid. This sounds like a big mess.


#23

Thanks!

I called DMV who said I can sell the vechicle without title providing I get a letter confirming release of lien.

I called NMAC who said they can’t provide lien release letter but have provided confirmation the lease is fully paid. Do you know if this is sufficient to sell vechicle?

I really don’t want to want 12 weeks before receiving title and being able to sell.

Yes the dealership (Putnam Auto in Burlingame CA) also charged me sales tax so I will have to contact BOE to try and get that refunded.


#24

I think you’ll need to have your buyer lined up within 10 days of paying off the lease if you want BOE to refund your tax. It’s really a matter of trust from your buyer. If you can satisfy him that the lien release is coming, and if necessary that you’ll send it to him (I’d go FedEx or something documented and requiring a signature) if it has to come to you. Hopefully you can get NMAC to agree to send it straight to your buyer and you can have the buyer confirm that on the phone (you should be able to give NMAC your permission to discuss with your buyer, otherwise you can have him present when you talk to them).

Big mess.


#25

What if you were never told that it was lease and the seller acted as if they were just paying off a loan and I did not get the Title until 6 weeks or so after the sale. Can I go back and sue for my sales taxes because I purchased the vehicle as a private party not a lease buyout none of those topics were disclosed and then the seller sent me papers acting like they paid the taxes with the payments and In California the sales taxes are not paid until the seller registers the car and they never did that just sent the title with the lease company’s name on it.


#26

Were you the third party buying the car at the end of a lease? If so, they you would be paying for the tax like you would if you purchased a new or used vehicle. What state are you in as well? Only the family member loophole exists and in CA none the less. doubt other states have that…


#27

Yes Im the 3rd party. Im In Nevada and my DMV stated that the seller should have never sent the title like that I am going to have to pay the taxes but I feel like I should be able to sue because these are the sellers taxes. And the seller is lying saying that they paid them but cannot provide the sales tax proof. The reason I went private party is because In NV we dont pay taxes on private party sells.


#28

Seller does not pay any sales tax.


#29

It’s more a sale from the company.
Not from another private party who owns the car.