I guess I finally made it to the point I can make a thread. Sweet.
Anyway, I’ve had this Lexus since November 2016 (only started paying in January).
Before it I was financing an IS 250 which I was trying to get rid of because of the prior accidents. I was totally upside with the car but I did it anyway and they added the negative equity into my purchase.
Car payments went from $426 a month to $599 a month. MSRP was $39,309.45. Total price was $45,293.54.
I’m trying to get something in the sub-40k range. Like a CRV or a WRX. Is this possible at this point?
Of course it’s possible. You probably have about $10-$15k in negative equity now. Let’s assume it’s $12500 and assuming the monthly on a WRX is $350/month, your new monthly with the negative equity would be ~$700.
So can I not trade the car back into the dealership?
I did receive a letter a few months ago from Lexus (but it was too early)
“Your NX 200t F-Sport is one of the select vehicles we are seeking, falling within Lexus guidelines for us to Certify as a Lexus L-Cert vehicle. What this means for you is an above average trade value, whether you just want to sell your NX, or upgrade to a newer Lexus.”
Take your Lexus to CarMax tomorrow. Get it appraised.
That will give you a realistic number to work with.
There are some Honda leases (not CRV tho) that came up today. 119$ for the Accord. That should balance out the negative equity. But like Jon said, its still ~$200-300 a month
Unless you have the money to waste, how about stop rolling negative equity into deals? Only way you will come out of that is, A keep it for 3+ years or B roll it into a $200 month lease and have a $400+ payment on something worth $200. Auto isn’t a powerwheels that you just return to store with a receipt. They are Commitments
The IS was going to be a huge money pit if I would have kept it for the 60 months it was financed for, so I got out of it with a lease.
I love the NX I’m just wondering if theres another way to get rid of it without the negative equity aspect, as I suspect even swapping a lease will be a pain in the ass.
No one will take on your lease in a swap. It is a bad deal due to your negative equity rolled in (you borrowed 5k over msrp). You are paying $600 a month for a car that others here are now picking up in the mid $300 range. You should just ride it out, learn the lesson and get a new car when the lease is up. There is no magic bullet that will get you out without ruining your credit.
I just got off the phone with somebody from Swapalease and they said that I would basically have to offer cash incentives for someone to consider taking over the lease.
I also now am totally confused about my lease term. I thought I was signing a 48-month lease when I got the car, but the maturity date on LFS says 2023, which is definitely not 48 months.
I’m almost wondering if I can roll the car back over to Lexus after my vacation, try to see if they really did truly screw me over and have them take the car back without me having to pay off the equity. LONGSHOT I know, but one thing I’ve learned over the years is that almost anything can happen if you try hard enough.
The thing I’m MOST trying to accomplish is lower payments. If I have to roll over negative equity on a car that will be between $300-$400 a month that’s also fine. It’s not that I can’t pay the $599 a month anymore, but I would LOVE to take that extra money and put it toward saving up for a house.
Are you even sure this is a lease and not a purchase? How can you not know this when you signed the paperwork? There is NO WAY any dealership will just take it back.
Even if you want to get a cheap Chevy (~$100/month), with the negative equity, your monthly would be $350-$400/month and I don’t think the financial company would approve such an upside down loan.
They’re not going to take the car back. Imagine you sold things for a living, and you sell someone something, then 7 months later, after 7 months of them using that product, they just want to give it back to you, would you take that product back knowing you would lose about 10,000 dollars by taking it back?
I know I wouldn’t, and to add to the lunacy of that idea, you’d have a signed contract saying that person has no legal recourse at all to ask for you to take the product back and lose 10,000 dollars… I mean you can ask them to take it back, but I know I wouldn’t chose to lose 10,000 dollars in my business just because someone asked me to.
I’m quite sure this is a lease, yes. I still have a picture of one of the quotes they gave me.
And it seems like you keep using the lowest possible value for the car. The KBB ranges from $33k to $36k, which is not as big a difference from the $42k. If I were to get the top end of the trade, I could still get something like a sub-25k Subaru.
