How much you’ve paid into it over the course of the lease is completely unrelated to how much equity you may have.
You need to get offers from all the usual sources to get a ballpark. Compare the offers to your payoff to gauge potential equity.
In CA you can buy the car yourself then sell it within 10 days to avoid paying tax. Otherwise you can sell it directly to an Audi/VW dealer to avoid that hassle. You can technically sell it to any dealer but 3rd party dealers may have a much higher payoff.
Hi! I’m 99% sure I should be buying my lease, but some guidance is appreciated as this would be my first time doing so.
2020 Honda Accord Hybrid base
Location: NJ
Residual: 15.5k
Payoff: 18k
Disposition date: December 2023
Third party offers:
Carvana - 22k + 2k if traded-in with them
CarMax - 24k
Haven’t yet gotten an appraisal from a Honda/Acura dealer.
The car itself is fine, but I’m probably looking to finance a different model. Least hassle is probably just going back to Honda, but I want to keep my options open. Taking the difference sounds like a good move, but I’m unsure what I’ll be netting after taxes if any. I would also not be against another lease.
Thank you! Option 2 has been an increasingly enticing choice, and the only thing holding me back is losing some money on the equity. Some quick math points to me still coming out ahead. And I guess option 3 will get me less in return unless I’m a master negotiator?
I just sold my 2021 q5e that i was driving for 24 out of my 36 mo lease at $400/mo tax included for $41k to autonation, Highest buy out offer was 42.6k by carvana but audi doesnt allow 3rd party buyouts without markups right now. Local autonation dealer was next best at 41k, now listed at 47k. I did not want to deal with buyout +tax, etc. Just over 6k equity check cashed out - Audi charges deposition fee + nominal buy out fees for 3rd party transfers, ended up being about $700-800 over my private buyout cost.
I’ve only tried CarMax and Carvana, but I’ll take a look at those.
As for the losing money on equity, I just wasn’t sure how that works. Basically, I pay nothing on the equity check given to me from these places? Is that right? I figured I’d have to pay a tax on that.
They would give you a check for the equity in the car and you can cash that for the whole amount.
I am not sure about the tax part. I guess most people get away without paying taxes. Legally, I would assume we are supposed to mention it while filing taxes as capital gains.
No no, except in some extreme cases you of course do not have to pay taxes on the equity check. This is not a capital gain but rather a “rebate” on your total cost of the lease.
what do you think folks, will 3-year-old used car prices really start to grow or not? I have a '21 qx50 and on the middle of my lease. $33k payout (have to pay $300 IFS on top close to the market in my area (31-33k). should I try to sell now and hop on one of the upcoming deals (ex. qx60 qx80 armada etc)
I’m in similar situation. 2021 QX50, 15k miles. Buyout is $28k. (Plus whatever I have to pay to Infiniti to get rid of it)
Vehicle worth ~$31k. Payment is $325/mth. We came from a QX60 but don’t need the 3rd row as all my kids drive now, so never go somewhere all in the same vehicle.
I got a great deal on my fully loaded Jaguar E-Pace SE as a “dealer demo” with less than 100 miles on it. I extended my current lease by 6 months due to how hard it is to find a good deal on a new car in SoCal. My lease will be up at the end of May.
My car only has 8,300 miles on it…and is pristine. I also know from prior Audi leases that this car does not have issues (my last Audi was a LEMON with major electrical issues) so I was thinking of maybe just keeping it…but need some advice on how to proceed as I always traded in my prior leases and used the equity to lower the price of my next car and then negotiated the lease.
My current buyout on the car is $24,500 and I got offers from Shift and Carmax for almost $32,000. In SoCal there does not seem to be many deals on new cars …
The good thing is Jaguar comes with a 5 year 60,000 mile warranty, so I was thinking of purchasing the car to keep for another year as finding another high end car for about $450 a month with $0 down (my current lease payment) seems highly unlikely.
Can anyone let me know if
1- It makes the most sense to just pay for the car in full OR is it better to finance in regards to the sales tax. I do plan on selling it in about a year before the warranty expires.
2- Can I easily just sell the Jaguar or do I have to go through one the lease hackers buyout dealers…I know from when I had my audi I could only sell it back to an Audi dealer within 90 days of the lease end…my lease is through Chase Bank and it says with approval I can have the car bought out.
3 - Any recommendations on buying out a lease verses selling on the open market?
Thank you for any advice! Just trying to figure it out before I have to make a final decision on keeping it or getting a new car.
chase allows buyouts you can sell to whatever dealer is paying the most
i would sell it to a dealer if you are not keeping it
no reason to pay the tax even tho you could get your sales tax back if you sell it within 10 days of receiving the title
I did some quick research and still not satisfied. Is this applicable to a specific state? I’ll be buying out my lease then reselling to a third party, in the state of NJ. Thanks
close to the market in my area (31-33k). should I try to sell now and hop on one of the upcoming deals (ex. qx60 qx80 armada etc)