Selling 2020 Nissan Leaf to Carvana to get out of it, in my case is worth the trouble?

Ask the Hackrs
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Hey everybody, love this forum so far and I would like to share my situation…

I have a Leased Nissan Leaf SV 2020 with 2800 miles and I want to get out of it, the car is ok, I just don’t see why pay 727.66 a month for this car ( i had an upside-down balance on the previous car). Carvana offered 24k for it, I owe 28,259.17 ( dealer assisted payoff quote) so 4.3k negative… I found the DCAP Downpayment grand and seems like I qualify for the 5k grant (income limit + max 20k loan, I just need to pay the difference of 28 - 5k grant = 20k loan 3k cash), this 5k would take care of the negative. Here is the issue, Carvana cant buy the car directly from Nissan, so I need to buy the car first so I can sell it to Carvana, but the grant only works for cash or loan, I don’t have the cash to buy the car and I think if I loan the car I need to transfer it to my name and pay tax ( registration 408.00 + 2650.00 tax = 3.058.00), so the deal starts to fall apart, I saw here on the forum that I can buy the car and I have 10 days to sell it and I don’t need to pay the sales tax ( CDTFA Section 6277 ), but I don’t know how it would work for a car loan… maybe I can take a personal loan, but I’m worried about the fees and stuff…

The main reason why I want to get out of it is that I don’t need a car right now for at least 5 months (4k in payments) or maybe longer, I’m working from home and I have a motorcycle in case i need to go somewhere.

But yeah, or I can just stay with the car for 15 months and return it… (15*727.66= 10,914.90)

Monthly Rent: $666.05 Monthly Tax Amount:$61.61 Total Monthly Payment: $727.66 Tax Rate:9.25%

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Your carvana quote won’t do you any good as cvap is a 12 week processing time. I will be shocked if used values haven’t came down a good bit during that time.

You’re looking at a good 4 months minimum before you’d be able to resell, assuming cvap would even work here.

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Is this correct? You’re paying $727/month to lease a Nissan Leaf?

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I have no idea about the first part but I would try contacting Nissan dealers around you. My friend just sold his Leaf lease for $5k profit a month before it was due.

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Yes because I had 10k upside down on my previous vehicle and I just wanted to get out of it, because every month it was getting worst and worst. Yes, I was dumb and made bad decisions, but I’m working on correcting it now :sweat_smile:

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They told me that it will work because I’m buying the car, but yeah… I’m just trying to figure out if keeping the car until the end is really the best option in this situation

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Even if it works, I suspect you’ll find that the hole is much deeper in 4 months when you can actually use this. The current carvana pricing is very unlikely to hold.

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:point_up_2::point_up_2: see who will get close to Carvana and go from there

Even a personal loan should be paid off in 6 months at that payment. If you end up turning -10k into even -6k, you still accomplished your original goal

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But for example if I sell the car for 22300 ( carmax) I will have about 6k difference, 6k equals to about 8 months of payment of the car, and I will have a car that I can rent to turo or something for almost a year, because the car still have 17k miles ( 20k 24 months lease). I just feel like if I can’t do this deal, is just better to keep it and rent or do doordash or something and use all the 20k miles and return it to the dealer in the end of my lease

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The fact that carmax is offering 22300 right now for this is completely irrelevant if you can’t sell the car for 4 months.

Also, most lease contracts don’t allow you to turo the car.

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  • Turo - Major chance of getting the car wrecked and I believe this violates your lease agreement.
  • Doordash - If you really like delivering other people’s food to use it miles, go for it.

Selling it would be better than either of those options.

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As someone who once buried $8k in negative in a 24 month lease, I sympathize, but there is no easy-out here. Find out how large the hole is before you start trying to dig it.

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Are you sure if you take a $5k DP grant and immediately sell the car that you won’t owe back a penny of that $5k? Unless I read what you wrote incorrectly.

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Also: if your insurance doesn’t allow it, you could potentially be looking at a total loss that gets $0 from your insurer.

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That’s true, I didnt think about the Turo interfering with my contract. I know the offer right now is irrelevant, but at least it gives me a estimate

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YMMV with Turo, especially with leased vehicles. Everything’s fine and dandy until something goes wrong

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Used car pricing right now is an anomaly. I would not count on it to be an even remotely reasonable estimate of reality.

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yeah, i was thinking about it right now, not in 12 weeks, but yeah, if i could sell the car for 24k and i owe 28k, the 5k will pay the 4k difference. sorry if i made it more confusion that it should be… but like others pointed out, is not very realistic because in 3 months i can get a totally different offer, but at the same time i would’ve have paid 2200 and it wouldn’t be 28k anymore, it would be 26k… but yeah, even if i have to pay, 1, 2, 3k, is better than what they are offering me right now (nissan dealer 20k, so i have 8k upside down)

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Have you confirmed with cvap themself that you can even use the down-payment in this manner without penalty?

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As mentioned elsewhere: Manheim auctions in July have all hit the ceiling and bounced.

Now:

  • will the third parties buy more at auction as captives shut them down? Their balance sheets are already oinking :pig:
  • will Hertz and others buy more at auction due to chip shortages?

:man_shrugging:t2:

The smart money would cash-out sooner than later.