Sold Ally lease to Dealer (YMMV)


Ended up selling our 2019 Jeep GC Limited to a local Jeep dealer. It was a pain to do Carvana or Vroom in NY due to our title wait times.

Dealer had me bring it in along with the Ally lease buyout of $23k + $1000 fee (all cash) for facilitating the title swap with Ally. We filled out paperwork purchasing the vehicle from Ally as “dealer purchase to lessee”. Ally approved it in less than 30 minutes, we then sold the vehicle to the dealer for $34k, which was the check we walked out with, so $10k profit with the fee factored in. Our lease was up in 4 months as well and we don’t really need 2 vehicles right now.

Dealer said they will be stuck with it for a bit waiting on the title but they expect to make 4-6k on it as well, overall we’re happy.


Was that with your buyout or dealer buyout.

I had an issue where the dealer buyout was almost 10k more than my payout on their site.

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It was using my personal buyout. Dealer buyout was 42k lol

The way it worked was we paid cash for the personal payoff, they sent the signed bill of sale to Ally saying we took ownership and not the dealer, Ally said ok approved, we then sold it to the dealer and they cut us a check for the total value so we made an additional 10k on it.

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Do you have to pay state taxes on your purchase first, since it’s bank to private entity sale not directly to a dealer ?

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Just curious how the dealer bought the car from you if you didn’t have the title or any paperwork from the DMV? I am in the same boat with an Ally lease for a Rav4 that I have about 10k equity in if I can do something similar to this. What state are you in?

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Ditto. How is this possible without the title?

Ya same question I was wondering. If would have to pay taxes on the first purchase from ally before then selling to the dealer

Paying the taxes is one thing which it sounds like the dealer to lesser payoff included those fees, but not sure how the original poster sold something without technically owning it since the title wasn’t transferred from the DMV. I have never heard of a “title swap” but maybe it is a way around the Ally system, or the dealer is gambling knowing they have all the cards, and chips, since they have the car on their lot and somewhere along the lines the original poster will have to come back to complete some sort of paperwork at the dealer, but then again I couldn’t see the dealer giving an equity check for something the dealer doesn’t outright own either. Interesting to see what the whole process is here and maybe learn something new.

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Let’s just say the dealership I’ve done this with for my last 4 leases is shady as hell from Ally’s viewpoint and I’m sure it’s eventually going to bite them. I’m not sure how they do the title stuff exactly but I do know I signed a few things stating I “bought” the vehicle and then signed a few more right after Ally approved, selling them (the dealer) the vehicle.

They did say they won’t be able to sell the vehicle for a few weeks until they get the title but I’ve done this for the last 10 years with them, every single time I make almost my entire lease cost back because of my equity (Wrangler, GC, Wrangler, GC again).

I have one more Jeep to “sell them” in a week. Once that deal clears, I’ll be happy to share the entire process so we can all take advantage.


Please do. The more specific, without outing the Dealer, the better.

We’re all trying to figure this out and clearly you have figured out a possible process or template for others to follow. At least I hope so.

Thanks for sharing.

Figured I’d come back and provide some additional info. Ended up selling the same dealer my Cherokee Limited and they gave me $4500 for it. This time they didn’t require any cash or financing up front, they just had me sign a document stating they were buying the vehicle at personal buyout and I walked out with a check. I asked the Senior Sales Manager how they have been doing this and all he said was it’s an agreement they have in place with Ally. They told me not to go to any other dealer in our area because what they do is have you bring them your car and tell you the payoff is higher and only offer you a small trade allowance, just to turn around and flip the car for a ton more profit. The Grand Cherokee is on their lot for $4000 above trade in and my Cherokee is $3000 above. Either way we’re very happy with the fact that we have 2 checks totaling $14,500 and they can also make money too.

Also decided to order a Ram 1500 through them and we’ll see what the programs are at the time of arrival.


This still sounds fishy but perhaps the dealer you sold your Ally lease to is a certified Ally dealer where they can purchase your leased vehicle at $500 above YOUR payoff which would make sense here. The problem is finding a dealer who is honest and will tell you that and not say their buyout is 20k and yours is 15k and keep the extra 4500 in equity when in fact they bought the car at the special certified Ally dealership pricing.

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I’m from long Island and was planning to go westbury jeep. I have 2020 jeep wrangler willy ed n lease is thru ally. Can you share dealership info?

Yes they are Ally certified and told me they have the ability to buy the vehicles at lessee purchase price and you also don’t have to pay tax at that point.

Wanna know some really insane stuff though? We just sold them 2 Honda leases today that are through HFS…. They called Honda while we were at the dealership and HFS said no problem and gave them the dealer payoff which was the same as personal payoff so we walked away with another $10,100 in equity (CRV and Civic) that my in laws just rolled into new Compass leases.

I truly believe this whole “you must return your vehicle to the original manufacturer” is just a ploy.

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When I called US Bank to ask what the payoff for my lease (Tundra) was, she told me I had 3 options.
She told me what the dealer payoff is, so I don’t know how your dealer could “lie” to you?
You should call and ask what all three payoff rates are before you turn your lease in.

  1. Personal purchase - $43k
  2. Dealer payoff - trade-in on a new lease NOT using US Bank financing - $53k
  3. Dealer payoff - trade-in on a new lease using US Bank financing - $43k (she called this a loyalty discount)

That’s new, and is ‘feasible’. Loyalty discount…hehe

So I have a 2020 Tacoma with Ally and really need out of the lease. Im primary caretaker to 85 y.o. elderly parent that can no longer get into the truck safely. Our other vehicle is a company car which cannot be for personal use. Actually just leased a new car that will be shared with our soon to be 17 y.o. The dealer even tried to take the lease but got the same run around with Ally with their buyout numbers. I am 19 mos into this lease with 30K. Truck is in great condition. Really seeking advice in how to get out of this lease…

Does Ally allow lease transfers?

Lease transfer in state is still allowed last time I checked.

Did you go to your originating dealer that put you
in the Ally lease? Based on others comments here, if
the dealer is Ally certified (does business with Ally), they should be able to purchase your vehicle at your standard payoff (not the inflated adjusted market value) plus a buyout fee.
Your other option is to do a lease transfer which I believe Ally currently allows. Contact Ally directly for details. You can post the vehicle on this forum or other sites such as swapalease and lease trader that will advertise your vehicle and connect you with someone looking to assume your lease.