There is no way the OP could buyout the lease and transfer the car to his wife and then make a straight face/legal argument that this provision makes both transfers tax free.
This is not even close to being a grey area. It is against the law.
Many folks made bogus claims for unemployment benefits during Covid, and received funds they were not entitled to. The fact that they received the funds does not make it a grey area. It is against the law.
CA Law states Auto transfers to the Wife are non taxable. That is the law.
CA Law also states that when the Original Lessee registers it in their name, they pay Sales Tax, that is also the law.
What the person in question did was handed the released title to his wife and DMV took it. So it was never registered in his name…that’s why it’s grey. It’s probably wrong, but he took advantage of a loophole (it was never registered in his name).
I wouldn’t call it a loophole.
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Can we try and stay on topic?
As you have seen, asking price is not the same as selling price.
@NYL12 - Have you yet made a decision?
Agree asking is not selling price. But seeing what CarMax is listing similar cars it’s a wide margin with cars same year but 15-20k more miles. Even looking at market place on here for deals the all in closet is much higher than current lease or financing cost.
Still shopping Credit Unions, but leaning towards buying. Wife likes the car, overall and monthly cost in our wheel house and the low mileage should help keep other cost to a minimum.
Appreciate everyone’s input.
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Leasing has become more expensive for a few reasons:
- The MSRP of certain models has gone up
- Some dealers are not offering much in discounts
- Some manufacturers are not offering much in incentives this time around
- The money factor is higher in most cases due to higher interest rates
- Residual values on certain models has dropped
Hence, you should not expect the same lease deal today on a 430i (or any car) compared to 2-3 years ago.
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Thanks
X1 is a mini cooper though lol maybe 2 or 3 series?
I think a lot of us are in this situation (3 weeks my X1 lease is up). For me, an inexpensive BMW lease checked all the boxes, but I really don’t want to own one, the maintenance seems excessive and I’m always worried about scratches and dings. Current lease deals are significantly higher than 3 years ago. I think it’s time to get out and buy a different car. It’s a difficult decision.
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What is best deals/most affordable BMW to lease now, other than SUVs (Not X1 or X2)?
Which cars are you considering?
I realize you know that never happened now
I have a BMW M3 2018 with a sticker of 89,000 2018 was before the nightmare happened and I am good friends with the general manager. Of all 55 dealerships owned by a company i leased from
I paid $821 a month with just first months payment the rest truly zero out of pocket
Before the worst of 2021 happened & I buy a 911 4 base 72 months $940 a month.
I then waited 4 months sold my M3 for $73k it only had 6k miles I bought it out at the end of the lease for 51k.
I was so lucky!
$89,000 anything for $640 a month with $0 down is not a real deal unless you hit the luck lottery
Keep it for the next year you will have a better price on a new car. Some banks have good rates 3% but you have to look.
If you are thinking about leasing it will cost more than it should for 12-14 months
You can buy BMW warranty and maintenance extensions
Just be very careful that dealer is not ripping you off. They are not making money when you buy out your car and they want to make money somewhere else do the finance numbers via your bank to show them what they have to beat if not you have your bank.
Look at the price to buy vs lease if they are close to the same do not lease. You can buy a 60k car new for $730 a month.
My dad just traded his 2020 540ix for a 2023 540ix the dealership gave him $7,000 cash to keep his car and his monthly payment went from $765 to $890.
Not a great deal but not the worst deal.
His MSRP on the 2020 was $74k
The MSRP on the 2023 is $79k (the new car has one less option than the old one which had a lower MSRP)
They are always going to tell you that they will give you less money if you want them to buy it vs lease trade in.
I was told that exact same thing when I was buying my 2018 M3 with 6k miles on it. “You will owe us money if you want us to buy it.”
I have bought 12 cars I went to Porsche across the street they offered me 24k more than the buyout price. I had them tell me & recorded it on my iPhone. The BMW sales guy said okay I will do 15k over buyout.
I keep the car because I work in investment banking and get updates on CPI projections when used autos hit 65% inflation I sold to Porsche
By the way the smaller & most expensive dealers will always pay more in my experience.
Talk with GM or sales manager don’t waste time with sales people they will not like it but tell them i understand you have to make money but if you can’t do it for X I will bring it to Y dealership across the street or just buy it out but not from the local dealer BMW let’s you bypass that online the BMW they will get mad when you tell them that you got a quote from BMW online for less money if they try to rip you off.
You have options but remember our dealerships are getting more inventory The supply chain issues are not the same as they were in the middle of 2023 the inflation on new & used cars will be lower than now.
I would ask for 5k & see if the GM or sales manager will give you $650 a month for a very similar car.
Also, look on their website if they are selling a 2020/2019 for just a small amount lower than a new car you know what they should pay you.
Tell them you’re happy to let them make money just not twice on your deal.
The FED raising APRs are the new problem semi conductors and inflation are slowly being replaced with greedy dealers and high interest rates.
Good luck and remember there is more than one dealership you can buy from.
RAV 4 hybrid or a Venza, CRV, Forrester. They all hold their value well.
What do those start at (ballpark)?
What is the tax credit on a 2023 BMW 330xe?
Plug-In Hybrid
You found the new body CRV with no ADM and no mandatory accessories?