Our lease is currently ending, and I just found out that the buy-out price is around $37.5k. Carmax offers $41k (without being inspected yet, so probably a little lower), so we should have some equity. We’re looking to lease again and are considering trying to roll equity into the lease, but Ally is very picky about who can buy out (equityhackr doesn’t work with Ally). If we don’t go with another Toyota, is there any way to use our equity without having to get a car loan, buy it ourselves, then sell it to Carmax / trade it in / whatever, then pay off the car loan from the proceeds?
Sales tax on the buyout would reduce your equity by a lot.
What are you looking at for your next car?
I had an Alfa from Ally, they didn’t even let Alfa dealer buy it at my buyout price, they gave them a different quote. I was told only I can buy at that price.
So even if you go with another Toyota, I suggest don’t assume they can buy, double check.
I did what you described, purchased and sold to Carmax but I had much more equity than you in the car. In your case:
37.5 with 6% tax would be $39.75k You would pay interest on first months payment, spend all your time to get like $1k (with inspection may be not even that).
3rd party buyout will be higher. For me it was about $1,300 more for dealer to buy out my lease.
We’re not set on anything in particular. We want an 8 seater that we can afford with a good chunk of the safety tech and preferably some cargo room. Unfortunately that’s a tall order at the moment. Our current lease is $485 / month all in and we may be staring down the barrel of nearly $700 / month for lesser trims.
Are you currently leasing a CDJR product? If you are within 6 months of lease end the only option may be for you to buy it. I know even the Jeep dealer could not buy out my lease within 2 months and I was leasing another Jeep.
It’s a Toyota leased through Ally. Specifically a 21 Highlander Hybrid Platinum 4WD
Wow a Toyota in Florida that isn’t SETF. I thought they forced all dealers to take em.
We got the lease from a dealer in PA so that might have an impact.
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What did Anthony Lopez say? he does take ally last time I checked.
So many people in the Southeast grabbed a Toyota from a TFS state including a good number of Jim’s clients.
Have you looked into extending the lease? Ally let me extend my Tacoma lease last May for 3 months. All these experts expect an Auto CRASH around memorial day or so. Ive been waiting 7 months today to lease another vehicle. My local Toyota dealer was able to buy out my lease for $3800 less than I could, and they paid the disposition fee of $395
Haven’t these “experts” been predicting a crash any day now for 3 years?
Yeah we can extend up to 6 months. We just extended it 1 for now, but we’re going to have an 8 person household soon, so having a 7 seat car is going to get awkward at times.
Not that I’m aware of. Stelantis is in trouble, Ford is next, then GM, and Nissan most recently. They need to move large numbers of vehicles quickly. I watch a few different people on YouTube daily. They all say that late May through August/September we should see great incentives and leasing. Hopefully the Feds lower interest rates too!!