I leased an 05 AM/AT back in august, This is my first new car, and due to the fact that I screwed up my credit when I got my first credit card at 18, I had to get a co-signer to get the approval from Honda Finance. The reason for leasing was to keep the payments low for 3 years and then pay the buyout. I know I end up paying more, but this was the car I've wanted for years, and after finally graduating college, I felt like after all that hard work, I deserved to treat myself for once.

My Question is, what do you guys think about me buying out the lease after a year? So instead of waiting out the term and then financing the buyout, I just finance the remainder now and save myself an additional 2 1/2 years of payments? Would the fact that I made 12 timely payments enable me to get a good rate on a loan on my own without a co-signer? Any info would be greatly appreciated.

Thanks and happy holidays!

 

deff good idea, im considering doing that my self in a few months.

 

i think the year may help you out. i'm pretty sure your credit report is affected for 7 years following a delinquency etc. if you had this incident at 18 or so, it should be history soon, assuming you're keeping everything else in check (other cc's, bills, etc.) hopefully in a year's time honda will work with you.

i had to do the same thing back when i leased my first car as well. good luck.

 

"My Question is, what do you guys think about me buying out the lease after a year?"

My understanding from another forum about leasing is that if you bought out the lease for your TL under 2 years it would cost you more than just purchasing another brand new TL. Can someone shed more light on this?

 

That is correct. Most likely you will have paid more money that if you would have just bought from the start. Depending on the state, you may have to pay sales taxes twice too.

IMO leasing just to get more car than you can afford to buy is a really dumb idea. I did it once when I was younger and will never do it again. My last two cars I've paid cash for, and that's how I plan to do it going forward.

 

Call Honda Finance and get your questions answered from the horses mouth.