Tap on the unexpected equity in your leased car | Personal finance

Brian Evans, a tenant from the Indianapolis area, worked with Swapalease.com, a marketplace for car leasing transfers, to auction his car to his dealer partners. Originally looking for someone to take over the last 12 months of his lease, Evans ended up selling the car and receiving a $ 6,000 check. Evans says, “This was a car I put on Swapalease.com just to get rid of it. I had no idea I could make money on this lease. I got out of my lease, I got $ 6,000, and I left. and put it down on my wife’s new, used car. ”

Buy your car to sell or keep

Some lessees work around the limitations of fixed lenders by buying their leased car themselves and then selling it to a third party dealer, private party or really any buyer they choose. It is an approach that requires more effort.

For example, if you do not have cash on hand, you need short-term financing, such as a bank or credit union loan, to pay for the car. And then you have to register and give the title of the car before you can sell it, which can mean you pay VAT. Some states have a grace period that allows time to register and sell a car before VAT is payable. The requirements vary from state to state, so you should talk to your local motor vehicle department before going this route.

Finally, if a lack of car furniture prevents you from buying or leasing another car, or you just like your leased car, you may decide to keep it. In that case, a leasing purchase loan can help with the financing.

.

Leave a Comment

Advertise