Has anyone done this before?

I'm considering selling my leased 04 TL to get an 07 TLS. I looked on several sites on values for a 04TL 6 speed and they exceed my payoff amount by $2000-$2500.

How do you do this? Do I tell AHF I'm selling it? I imagine once it's sold, I pay AHF their payoff amount and I keep the difference.

Trading it in with the purchase of the TLS is out of the question since I want to be in complete control when buying a car .

 

The problem you will have is that you will not have the title to hand the buyer for him to hand you the $$$ unless you pay it off prior to selling it.

 

selling a leased vehicle is just like selling a purchased vehicle. call honda for your payoff sell it for what you can. keep the difference. just like you thought. good luck!

 

You will be in complete control - try it out and see how it works..........What's the worst that can happen - you say no deal...?

 

you can just trade it in.... a dealer will give you a trade in value and apply any extra to the purchase/lease of the 2007 tl type s. also you can still sell it privately - you just have to arrange for the person to pay it off and obtain the title. if you trade it in you get the benefit of not having to pay full tax on the purchase of the new car (only pay the tax on the difference between the selling price and trade in value).

 

this only work if you are purchasing the the tls. tax savings do not apply when leasing. if you do lease the type s be sure to ask the dealer for the .001 money factor savings for being a repeat honda/acura leasee.

 

Exactly. Or you can opt to wait for the 4G TL and save yourself some trouble. Your choice. I love the 07 TL-S, just waiting to see that the 4G's are gonna look like.

 

what tax benefits are there for leasing a vehicle rather than purchasing / finacing one?

 

None to an individual. The only real tax benefit that one can derive from a vehicle is if he/she uses it for business and writes-off the depreciation or considers the lease cost as part of their business' operating expenses.

 

[QUOTE=you do lease the type s be sure to ask the dealer for the .001 money factor savings for being a repeat honda/acura leasee.[/QUOTE]


Are you sure about that .001 MF? Has this been going on for a while?

 

My take is it further complicates the deal. Instead of concentrating mainly on negotiating the selling price on the new car, you have to also focus on how much you can get for your trade in. That's just me; I'm a control freak.

 

I'm only aware of benefits if you are a business owner and you can write off a portion. I don't know what percentage of leaser's on this forum also self-employed, I'd guess very few.

My wife is self employed, but the only problem is she drive 30k+ miles per year, so it doesn't make sense to lease a car with that kind of usage (not that I would anyways). I opt to buy our cars cash, and not pay anybody to rent or finance charges.

I'm gonna get flamed for this, but I believe the majority of people lease cars because they can't afford to purchase them. I'm not saying this is wrong, because I did the same thing when I was younger. I wanted such and such car, and I couldn't afford the payments, so I instead opted to lease it. I will never do it again, but I was there too. I'm still amazed by some of the people on the boards that take out 60 and 72 months loans. To me, that's crazy! Buying more car than you can afford imo.

BTW: I'm not an accountant, but I stayed at a Holiday Inn Express last night.

 

Yea, I was thinking of getting it appraised by CARMAX and selling it to them. So they call AHF to get the title, right?


What? So I have to pay tax on the 'profit'?

 

why in the world would I buy when I can get the same car for 1/2 the monthly payment if I lease, it's always under warranty, and I get a new car in 3 years? I always wonder why people slam leases. Works for me and a whole lotta people.

 

Not quite true. Alot of states only make you pay sales tax on the depreciated portion of the car. So you'll save some taxes there.

 

That is probably true, and on the flip side I think some states actually hit you for taxes twice. I think, but I'm far from being a leasing expert.

Yes... I would have to agree with JPA3 that leasing is a great option for some people. I still think that a lot of people using leasing to get what they can't afford (doesn't go for everybody).

 

I am sure about the money factor. has been that way for the last 4 years.

a tax savings example. your tl you are in has a trade value of 20000

you trade it in on a 35000 vehicle. your sales tax is say 3% . you would save 600 dollars from the tax savings on the 20k car cutting the taxes you pay from 1050 to 450...

carmax is a great way to sell your car. they will send a check to your leinholder that day and take care of all liens and title issues.

as far as people lease who can't afford the car. that is true for some... complete bs for people like me. those who make the money and need the write off get it. those who don't will never get it.

 

Wow. I wish. Its more like 8.75% here. Yes, even on cars.

 

If you do it right you can get both - I brought my leased Accord back to an Acura dealer (owing about 2k for mileage) and told them I wouldn't buy the TL unless I could walk away from the Accord $0.00.

Got an amazing deal on my TL and walked away from the Accord owing nothing.

 

i traided in my 2004 nissan frontier pickup truck after i got out of being a contractor for a few years and financed the remaining 15k on a 36 month payment @ 7% for 469$ per month, i currently owe less then 7k because i make bigger payments than is necessary. this month i paid 1500$ extra, I cant wait not have this stupid payment any longer its a major pain in the dik.

I went to the dealer with 2 KBB printouts the retail valu for my traid and the wholsale pricing of the TL, and basically told them if they wanted the deal that was all i was willing to go for and in my opinion they still made money on me but i saved myself lots of hastle negotiating, i hate car dealers they are the scumb of the earth, i imagine they must hate themselves aswell.

 

You're lease is thru AHF, correct? Take a look on your montly statement, I noticed they have a "payoff amount" on it - this is how much it will cost you to pay your way out of the lease.

 

Only three reasons why you should not lease a car.

1. Drive over 15k miles per year.
2. You plan on going crazy with modding the car.
3. You treat your cars like crap so you fear of being penalized.

Other than that like JPA3 says it works great.

 

Well, I would not consider the lease or buy decision anywhere near as cut and dried as that. There are a large number of factors, both personal and financial that should be factored in.

This site is worth a look

http://www.leaseguide.com/lease01.htm

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