Honestly, I’m so embarassed by how bad this is and how stupid I was that I hesitate to post this, but I can beat myself up anytime and am just looking for the best way forward. I wish I found out about this forum beforehand.
Take a step back.
What is your MF? Was it buyrate? Did you purchase any dealer add ons (tint, tire protection, excess wear/tear?). Was there a delivery charge? If you were planning to buy it out right away, why put $7k down? (or was that Due At Signing?) What do you mean by I paid a lot more “agreed upon value”? Do you mean ADM?
You have to pay taxes on the $4500 rebate and pay Toyota acquisition fee + 1st month + tax + TTL + dealer fees. IL has some different rules around leasing and taxes so someone who has better familiarity may be better suited to chime in- especially if you live in Chicago.
By buying it out early, you save on the remaining rent charge.
Is the issue, you paid ADM due to tariff-induced panic signing?
Are you going to pay cash to buy the car from the lender or are you going to finance the buy out? It also would probably be helpful if you’d post your lease agreement with your personal info redacted. That way we can see how the lease is structured.
Yes, the 7k was due at signing. I just calculated the MF and am realizing how bad it is.. 0.0031.
The original intention was to use the lease cash rebate to cover some cost and buyout while retaining the rebate and eating the fees/taxes. The issue is that both options of early buyout and end lease buyout look awful compared to sticker but I guess it’s too late and I need to just eat the cost. I was mainly curious if there were any other options, or if it makes sense in any scenario to run out the lease and assess the situation then. If not, given that MF, it seems early buyout is a better choice of two bad ones.
1 Like
If you buy out early- will you be financing or paying cash? If cash, you save on the remaining rent charge so the MF really doesn’t matter.
And if you do purchase in the 1st 1-2 months, the finance manager won’t get “credit” if that’s a marked up MF. (Is that buyrate MF?)
I need to finance the buyout as I can’t fully pay it off right now. I’m looking to see where I can get a reasonable APR for the financing. I don’t have the agreement with me at the moment, just those numbers.
I do plan on financing it through TFS/credit. It seems like an early buyout will hurt the least, but I don’t want to rush into a decision again.
As I understand it, it is the marked up MF.
what APR is TFS offering on used vehicles?
I don’t know the Prius Plug in Hybrid market that well, but other plug-in hybrids have tanked in value. It may be in your best interest to wait until lease end to decide whether or not to buy this thing.
Not sure, I’m seeing a wide variance of numbers.
Post the first couple pages of your lease contract with personal info redacted and people will be able to help better/explain the initial deal.
2 Likes
Whatever you do, try not to use the same dealership to buyout your lease. Lkke others have said, post the lease contract pages 1-3 with your information redacted. Also what was the MSRP of the vehicle.
1 Like
Do that. That’s the lowest cost of ownership on a new car.
And finance the buyout while the car is still new enough to qualify for new car loan APRs
Not a Floridian like you but IIRC TFS requires buyout through a dealer but SETF does not (?)
Don’t use TFS for the buyout, see if your bank or credit union offers new car financing rates on “almost new” cars - usually there is an age/mileage limit that this surely falls into.
Even if the rates listed are out of date much of the advice in this thread isn’t
1 Like