I have been gone from the forum for a while now due to new job I recently started. But I am back now and thought to myself to clear out the garage. But it seems like the things have changed comepletely out here this year. I have Honda Financial Services lease, a Ally bank lease and a US Bank lease. Tried to sell my HFS lease to Carvana but they are saying they do not buy HFS lease now, even though I sold one to them last year. Vroom doesn’t buy leased cars anymore. I am curious to know whats going on, who else are not buying lease now and how long is this going to go on for?
If you also search up the vroom/Carvana/etc threads, you’ll find plenty of of similar stories. there were probably also title/paperwork/payment issues during the selling frenzy and third party buyers didn’t want to deal with leased cars anymore.
Your options are limited now. Only way to sell them is to buy them then sell them to third party.
Before you do that find the payout and what third party is offering. Just to let you know used cars values are going higher due to inventory shortage. You be surprised to see what they offer you.
Well this really sucks then. Manufacturers are trying to play dirty so that we as a consumer cannot profit on the cars. If it’s permanent then this makes it hard to flip it for a different car before lease end. Makes it hard to shop for a car. Thank for all the details tho everyone
Personally it’s a fair trade off for not having to assume the personal risk of diminished value in the unlikely event of total, theft or lemon just like it would be in normal times.
If anything, companies artificially pumping up their residuals and taking the loss on the back end in exchange for market uptake are what made leasing attractive in the first place beyond the benefit I already discussed.
Not the manufacturers, but rather the banks. The banks own the car and they’re not in the business of having anyone profit off of their property so easily. It does help the manufacturer in that you’ll be forced to sell to their own dealer, so the dealer has the ability to fill up their lots with pre-owned in the absence of new cars. That being said, if the demand is there, there’s no reason why you can’t shop it to the highest bidder whether that’s a third party or not.
New norm for Auto industry is build on order and this trend will last for next 3-5 years till Covid 19 is completely eradicated. Chip shortage is a small equation in this bigger scheme of supply and demand . AUTO industry figure out why flood the market with cars like they do in the past if they are not sure they will be sold due to Covid uncertainty. Other industries uses Chips also phone has far more complicated chips then the Cars but they are available easily and at discounted prices. Same for TV prices are dropping like a brick on OLED TV they not feeling the chip squeeze even ships are standing off long Beach loaded with TV. Plane industry not feeling the pinch I am sure they used chips too. Airlines build there planes on orders and they producing them.
So bottom line get used to new Auto trend if you want a car then order it and then wait 4 to 6 month for delivery. Other fallout of this is used cars prices will hit sky high. We looking in a strange time now.