2018 Honda CR-V EX-L and end of 2015 Honda Civic EX-L lease

notsofast7

So this is my first time asking on forums but I guess always a first time....

I currently have a 2015 Honda civic EX-L that I leased in 2015 and it ends on April 2018. The car has 53,000 miles on it, interior could not be in better conditions, and the outside is almost perfect except for a big scratch and medium dent on passenger side that occurred in a parking lot (quoted $1,200 to fix by the body shop the dealer uses). I have had 3 civics and I am ready for a change to a CR-V. Not willing to compromise on the EX-L trim and have been getting frustrated on getting a good deal on one. Currently my credit is at 721. My lease payment is $358 and when I finished the lease, I will still owe $14,000 if I decide to buy it.

I do not have money to put down, except for $500, the problem is that after the dealer's "discount", they keep quoting the CR-V at $33,400 because of the negative equity on my lease. I know I exceeded the miles from 36k to 53k and the cosmetic damage to the door, but is not massive damage, surprised to how cheap it would cost to fix. But I understand I have negative equity, but I simply have no intention to got from a $358/mo payment to a $480/mo payment. Yes I am ok with an increase of up to say $400-420. But the dealer will not bulge, I have walked out twice (after they begged me to come in again) and they keep calling me back but keep giving me the same numbers lol.

So... My actual question.... Are my expectations to high and unreasonable or could the dealer really go lower? Should I just buy my lease and finance it myself and sell it privately and buy the car later, or will the dealer eventually cave and offer more money off the MSRP?

Thanks guys.

kyfdx

notsofast7 said:

So this is my first time asking on forums but I guess always a first time....

I currently have a 2015 Honda civic EX-L that I leased in 2015 and it ends on April 2018. The car has 53,000 miles on it, interior could not be in better conditions, and the outside is almost perfect except for a big scratch and medium dent on passenger side that occurred in a parking lot (quoted $1,200 to fix by the body shop the dealer uses). I have had 3 civics and I am ready for a change to a CR-V. Not willing to compromise on the EX-L trim and have been getting frustrated on getting a good deal on one. Currently my credit is at 721. My lease payment is $358 and when I finished the lease, I will still owe $14,000 if I decide to buy it.

I do not have money to put down, except for $500, the problem is that after the dealer's "discount", they keep quoting the CR-V at $33,400 because of the negative equity on my lease. I know I exceeded the miles from 36k to 53k and the cosmetic damage to the door, but is not massive damage, surprised to how cheap it would cost to fix. But I understand I have negative equity, but I simply have no intention to got from a $358/mo payment to a $480/mo payment. Yes I am ok with an increase of up to say $400-420. But the dealer will not bulge, I have walked out twice (after they begged me to come in again) and they keep calling me back but keep giving me the same numbers lol.

So... My actual question.... Are my expectations to high and unreasonable or could the dealer really go lower? Should I just buy my lease and finance it myself and sell it privately and buy the car later, or will the dealer eventually cave and offer more money off the MSRP?

Thanks guys.

So, you have two payments left, $1500 or more in excess mileage and $1200 of damage?
Plus, the CR-V lease program is not that great.

Yes, your expectations are unreasonable.

notsofast7

Well, I was not looking to lease a CR-V. I am looking to buy it.

kyfdx

notsofast7 said:

Well, I was not looking to lease a CR-V. I am looking to buy it.

Well, then...

What are the loan terms?
What APR?
How many months?
How much negative equity are they adding from your current vehicle?
What is the MSRP?
Amount Financed?

notsofast7

Well, I was looking at 72 to 79 months. They didn't share what APR they were offering but when I checked with some banks I got like 2.9%. They're adding $3,400 of negative equity. MSRP is 30,000 and I would be financing it all. Except for maybe $500 to $1000 down payment.

kyfdx

notsofast7 said:

Well, I was looking at 72 to 79 months. They didn't share what APR they were offering but when I checked with some banks I got like 2.9%. They're adding $3,400 of negative equity. MSRP is 30,000 and I would be financing it all. Except for maybe $500 to $1000 down payment.

I don't have Honda Finance standard rates, but on the CR-V, it's likely 4.9% APR (or higher) for 72 months.

$33,400 at 4.9% APR for 72 months is $536/mo.

You might get a discount from MSRP, but of course, then you'll have sales tax, title/registration fees, etc...
I have to agree with the $3400 of negative equity, given your description of your current vehicle/lease.

If they are offering you $500/mo. or less on a 72 month loan, then that's probably a decent deal.