NFT: Early Lease options

under a year left on a lease and usually 6 months or less. You can sell your lease online but I can’t vouch for how good that option is. I’m guessing your best bet is to hold onto it and revisit his time next year. The other issue you will have is returning early would only be waived if you were staying with the same make.

if you buy another car from them.

A competing dealer may pick up 1 or two payments (I actually just did this this weekend).

But I think you will need someone to take over your lease if you are more than a year out like you currently are. I doubt you will have much luck with the dealership for that length of time.

you are always gonna end up paying for getting out early. They will roll the payments into the new payments to "hide" them. Sometimes they will have programs to get you out 3 or less months early if you are going into the same make. The dealerships know how to play the game.

That’s how much it will cost your dealer to buyout your lease for you. Would you do it if you were in their shoes?

having an explorer instead of an accord and deal return the car at the end of your lease. It’s your cheapest option.

Is worth. We just got out of our car 10 months early. They took over the lease and credited us $2,000 towards the price of the new car.

In comment 14009166 Keith said:

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you are always gonna end up paying for getting out early. They will roll the payments into the new payments to "hide" them. Sometimes they will have programs to get you out 3 or less months early if you are going into the same make. The dealerships know how to play the game.

There is no "hiding" or "game" involved. It's just math and how much desire on the part of the lessee to get out of the vehicle early.

Ten payments left at $400 per month equals $4,000 rolled into the new lease or purchase. Market value $20,000 with a payoff of $23,000 leaves $3,000 to be rolled in. Of course you would choose to trade rather than terminate early given that scenario. The bank determines the payoff figure, not the dealership. A dealership can't just make the difference disappear.

One piece of advice: check with the bank prior to terminating early (sending the remaining payments and returning the vehicle to the bank) because some banks can consider this a voluntary repossession if there is enough time left on the lease. If that winds up being the case then you may be forced to trade it in so the dealer takes the vehicle into their inventory - even if that delta is larger than the remaining payments.

For example...about a month ago, I was looking to get out of my lease. The first dealership told me that they can buy me out because there was equity. Then they quote me on a monthly payment for the lease, probably assuming that I'm an idiot who didn't do research first. All they did was roll those payments into the new monthly payments. When I called them on it, they then told me that they had to roll the last 3 payments into the lease.

Car dealerships are the worst. Absolutely no regulation on what they say and do. It's the freaking wild wild west.

Either you have equity or you don't. If you have equity then you would be trading the car in toward the new one and using the equity. If you don't, then the remaining payments would be rolled into cover any buyout with the bank. Two different situations. There is more regulation with car dealerships than you could probably imagine. Regulation Z and Regulation M ro start. It sounds like you found a dishonest dealer. Hopefully you didn't give them your business.

Jim's been given good advice. The key is knowing how much of the loan is out there.

Components are:
* Residual value in the contract
* Actual value of the vehicle
* Payments remaining
* Interest rate

The key is working with the finance company in addition to the dealer. The dealer can only do so much.

Your biggest chip is the value of the vehicle. If a dealer thinks it's valuable and they can sell easily they'll be incentivized to help you buy out your lease so they get the car. To that end, go to a big Ford dealership and try to find the best buyout deal and handle your Honda purchase separately.

I work at the biggest Chevy dealership in the country. For Chevy anyway, as long as you are sticking with the same brand (Honda to Honda), it shouldn’t matter how long you have on your lease. They will want to keep you. You may need to eat a few payments, but Honda should be willing to eat some, and the dealership some. Just don’t go on expecting the same payment or less. It will most likely go up.

In comment 14009515 Steve L said:

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I work at the biggest Chevy dealership in the country. For Chevy anyway, as long as you are sticking with the same brand (Honda to Honda), it shouldn’t matter how long you have on your lease. They will want to keep you. You may need to eat a few payments, but Honda should be willing to eat some, and the dealership some. Just don’t go on expecting the same payment or less. It will most likely go up.

If the payment’s going up (for the same price car), you’re just rolling the unpaid balance from the old lease into the new. You’re not getting out of paying for the old lease. If you want out bad enough and can’t pay the lump sum, that may be good for some people. But you still have to pay off the old car, and now you’re paying interest on the interest.

Anyway, he wants to go from a Ford to Honda.

In comment 14009522 Jim in Fairfax said:

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In comment 14009515 Steve L said: Quote: I work at the biggest Chevy dealership in the country. For Chevy anyway, as long as you are sticking with the same brand (Honda to Honda), it shouldn’t matter how long you have on your lease. They will want to keep you. You may need to eat a few payments, but Honda should be willing to eat some, and the dealership some. Just don’t go on expecting the same payment or less. It will most likely go up. If the payment’s going up (for the same price car), you’re just rolling the unpaid balance from the old lease into the new. You’re not getting out of paying for the old lease. If you want out bad enough and can’t pay the lump sum, that may be good for some people. But you still have to pay off the old car, and now you’re paying interest on the interest. Anyway, he wants to go from a Ford to Honda.

Well like I said, you will have to roll some payments in, but not all. As for Ford to Honda, you have a competitive lease, so that’s helpful. Honda should still offer to pay off some of the lease if they want your business bad enough. Make sure they cover your disposition fee as well.

I've reached out to Honda to see what they have to say and I'll go for there!