Selling my lease to carvana

Ask the Hackrs
,
1

I am trying to sell my ending lease to carvana but they informe me that us bank does not allow 3rd party to buy their leases. Can I buy the car and then sell it to carvana, has anyone done that before

2

If you’re going to spend tax and title to buy the car, wouldn’t you get more thru private party sale?

The same reason Carvana offers have gone up (inventory shortages) is present in the private market too.

3

Can you? Absolutely. Is it cost advantageous to do so? Well, that depends largely on what state you’re in and how they handle taxes/registration. Some states allow a small period of time from when you buy out the lease to when you can sell it without having to pay sales tax (CA for example gives 10 days). If you end up having to buy it and pay sales tax, you’ll watch your money light itself on fire.

4

Got it I am in Florida have to find out about that

5

I was thinking the risk is lower with an offer already in hand from Carvana

6

Keep us updated on your research. They told meno 10 + years ago.
Thanks

Don

7

what car and bank?

8

So I’m in CA so can I buy out my car and flip it to Carvana within 10 days without the title in hand?

9

You buy out the car from the lease company which gets the title sent to you. You have to hope that it gets to you and then carvana can schedule a pick up within the 10 day period though, or you’ll be out thousands of dollars in taxes

10

Put up an ad right now. Like right this minute

You’re gonna be waiting for the title anyway. Try to find a buyer in the meantime

11

Not sure why you want to. If you buy the lease out have you checked with the lessor? Last I did in a similar situation they had about a thousand dollar fee plus sales tax.

12

If done properly, there is no sales tax charged here.

Also, there shouldn’t be a $1000 purchase fee. A few hundred, perhaps, but that would be included in the buy out that’s already known.

13

While I considered buying out my lease, there was a sales fee (US Babk) like $973 from memory and there is no way around sales tax
(Unless you live in a state with out it.this is what I found in NY. Do the research for your self. Let me know if I’m wrong.

14

There are some states (like California) that have a grace period for purchasing and selling it where sales tax isn’t due. In CA, you get 10 days.