Trade current vehicle for a lower monthly payment lease?

Ask the Hackrs
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1

Hello All! Happy hump day!

Currently in a 2016 Jeep Cherokee sport. paying $529 month for a remainder for 25 months. Carmax offered $9700 on trade in, i owe 13k. i had about 7k negative equity on my previous vehicle when i rolled it into my jeep.
My goal is to get a lower payment hopefully around $300 a month without a crazy down payment (hopefully), get a car with better technology and a car in warranty.
I know that this is pretty demanding and im not going to get into a luxury brand. But was hoping for a good options hyundai or similar.
I live in Las Vegas, top tier credit, willing to travel a bit.

thanks in advance.
Mods, please move if not in the right place ( should this be in the marketplace?)

2

Did you try vroom carvana or whatever is available in your market?

3

Always take the cash. Do not poor down payment on lease.

4

i did mot think carvana or vroom did a lease. looking to lease so i can start fresh in 3 years.

5

They can buy your car, you would basically sell it to them and make up and difference. They might be significantly higher, worth checking

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6

He means did you check what they’d offer to buy your car? It may be more than what you got from Carmax. Check the Vroom and Carvana threads here.

7

Ah sorry about that. They offered $9100. CarMax offered $9100 as well if I didn’t get a car. $9700 if I did purchase a car.

8

Well you have eaten away at some of that negative equity, down to 4k now. Problem is, if you roll that into a 24/mo lease its 167/mo for just the negative equity (111/mo for 36/mo) so you’d need to lease a vehicle in the 150/mo range with nothing down. This is not impossible but more improbable at most times. So the choice is going to be, can you eat that 4k now and start fresh or roll it in and be at a higher payment but new car?

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9

So you still have negative $3,300 ($13000 - $9700) equity, if you’re trying to roll that alone is $92/month without any MF on it. So you’re looking for a lease deal of $205 or about.

I think your best bet will be some kind of a truck. Probably a taco

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10

He actually has more negative than that, the 9700 was if he purchased a vehicle from them, they only offered 9100 if he didn’t.

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11

Ohh I read that the other way… Oops.

Yeah @Smgfan1224 you’re better off eating away at the negative equity and starting fresh. Either save up the almost 4k of negative equity so you can get out this car deal once for all and then start fresh.

You will also have many more options at that point. MF on leases will cost more if you try to get roll it in to a lease.

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12

Are you leasing or financing your current vehicle? It’s not clear.

And what would you pay today if you bought it out?

Hard to give any advice without understanding the numbers.

13

Honestly, you’re going to need to stop this cycle of rolling in negative equity.

I know “this one is the last. I’ll pay it off in three years and start fresh.”

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14

I was hoping a dealership would honor the $9700 trade in at least or better it.

That’s why I was looking at a Hyundai or Kia 2019 since they came out with new designs in 2020.

15

I mean you can get a super cheap Ioniq lease but even then your gonna be paying 300/mo for a car others are paying 100/mo for.

16

I 110% agree. That’s why im asking for the best advice from you guys.

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I am financing it. Pay off is $12860. I just made a payment a couple days ago. Interest rate on loan is 1.99

18

I’d look into the ioniq plug in hybrid, they should be able to be had for sub 150/mo all in with 0 down. So with your negative you’ll be around 300/mo. My mom has the all electric version and for a cheap car it has some nice features.

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19

Is your car giving you issues like repairs or anything? It’s only a 4 year car so unless you’re looking at a very large repair bill just work towards saving up to tackle the current negative equity…

2nd option is work with your credit union for a personal low interest loan or something for the negative equity balance and tackle that outside of a lease roll in.

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20

Is the Ioniq really $150 with 0 DAS?