Car Buying Advice - Question regarding early buyout on a lease...

jb247

I have an Audi Q5 (36 months) lease coming to an end on June 1st. I have 15k/year miles but will be under that number (currently around 39k). I also have found a buyer for the vehicle at around $2k over the Residual Value on the lease. Residual is $28800 and market value is around $32-$34k.

My first question is, when purchasing at the end of lease do I register the vehicle in the buyers name (he is in a different state) or does he do that when he takes the car out of state?

I have read that I have 10 days to do the registration, taxes, title, etc... when purchasing. Is this correct?

Will the dealer let me just pay the residual value and not collect any additional sales tax/registration fees?

Obviously, I don't want to pay any taxes or registration fees if he is buying the vehicle.

My lease states there is also no "purchase option fee". I also understand I would not have to pay the "Disposition fee" if I'm buying the vehicle, and there would not be any inspection for condition if I'm buying. Are there any other fees I'm missing?

My next question is can I (and more importantly, should I) purchase the vehicle 30-60 days early?

If so, am I going to get killed on fees or is it best just to wait the extra two months and do the purchase when the lease ends?

How would I calculate the "Adjusted Lease Balance"? Is this simply based on the Residual Value ($28,800), a prorated Rent Charge ($3706/36mos= $102.94/per month), and remaining monthly payments ($788/per month) or do they also take into account the current Market Value of the vehicle?

I'm pretty sure my buyer will wait the extra month or two but if the cost isn't much more I would prefer to do it early.

Thanks in advance for any input.

kyfdx

jb247 said:

I have an Audi Q5 (36 months) lease coming to an end on June 1st. I have 15k/year miles but will be under that number (currently around 39k). I also have found a buyer for the vehicle at around $2k over the Residual Value on the lease. Residual is $28800 and market value is around $32-$34k.

My first question is, when purchasing at the end of lease do I register the vehicle in the buyers name (he is in a different state) or does he do that when he takes the car out of state?

I have read that I have 10 days to do the registration, taxes, title, etc... when purchasing. Is this correct?

Will the dealer let me just pay the residual value and not collect any additional sales tax/registration fees?

Obviously, I don't want to pay any taxes or registration fees if he is buying the vehicle.

My lease states there is also no "purchase option fee". I also understand I would not have to pay the "Disposition fee" if I'm buying the vehicle, and there would not be any inspection for condition if I'm buying. Are there any other fees I'm missing?

My next question is can I (and more importantly, should I) purchase the vehicle 30-60 days early?

If so, am I going to get killed on fees or is it best just to wait the extra two months and do the purchase when the lease ends?

How would I calculate the "Adjusted Lease Balance"? Is this simply based on the Residual Value ($28,800), a prorated Rent Charge ($3706/36mos= $102.94/per month), and remaining monthly payments ($788/per month) or do they also take into account the current Market Value of the vehicle?

I'm pretty sure my buyer will wait the extra month or two but if the cost isn't much more I would prefer to do it early.

Thanks in advance for any input.

Generally, you can't flip a leased car to another buyer, without first titling it and paying sales tax on it, yourself.
That pretty much kills any profit. If there was a $5K spread, you might pull it off, but for $2000? Not worth it.