twitch54

My lease on my 2005, silverstone met, Rd/blk interior is up end of July. Right now I'm in a bit of a quandry as what to do....turn it in, buy it and keep it, or buy it and sell it ???

given the fact that it only has 5000 miles , garage kept, NEVER been in rain or snow, salt, etc. my feelings are why give it back to the dealer and let him make a huge profit.

Advise from those that did buy and turn around and sell ??

__redruM

Why buy a car you don't drive? 1600 miles a year isn't worth the price of a 2005 S2000 with 5k miles on it. You should be ashamed

EDIT: Just curious, what are the numbers? How much to buy? Could you resell to someone who would drive the poor thing for more money?

svmtbman

It depends on your residual from your lease, I'm sure it's well under what the car is worth and if that is the case just buy out the lease and turn around and sell the car. This way you can put cash in your pocket!

My 2007 has a residual of $14200 on a 48 mo lease and I'm sure by the time the lease is up I'll be in the green on equity and if so I'll just buy the car. If for any reason the care is under that value just turn it in and walk away. Honda's hold their value so well it's rare the car will be worth less than the residual at the end of the lease unless you're way over on the miles.

twitch54

Oh how well I know ! my intentions were to drive it more but....bottom line....it just didn't happen !

if I do sell it, given the numbers that three year old cars with 20-30,000 miles are selling for, it is reasonable to expect $23-25,000

FWIW, I also have SSR wheels and Bridgestone RE-01R tires, they only have a thousand miles on them !

F22CAP2

Do you need to pay the sales tax if you buy and sell it?

e.g., let's assume the residual is $22000, sales tax is 6%, and you are not making any money for your trouble.

1. The lessee pays residual plus sales tax $23220 to get the title.
The new buyer need to pay sales tax again so his total is $24720.

Or,
2. The lessee pays $22000 and gets the title, and immediately turns it over to the buyer, who pays the tax when he registers the vehicle, for a total of $23220?

JackS

I'm sure the car will be worth a little more than the average '05 with average milage but who know's how much?
A dealer could tell you but it's always hard to get a straight answer from these guys.
You might look around at some of the classifieds for low milage '05s and try to get a feel for what they might go for.
IMO- the wheels and tires won't add anything and in fact the stock wheels may be a plus when selling or maybe make no difference at all..

J'sS2K

This might be a stupid question, but what's the difference between leasing and buying? Why would you lease instead of buy it from the start? Would it be better to buy it and do payments and at the end you own it?

How is your monthly for leasing it?

twitch54

FWIW, I do have the original wheels and tires.

Also per NADA, it's worth $24,775

So at the end of the lease I buy it for 21k (incl tax) and sell it for 24-25k incl the extra wheels and tires, or maybe sell them seperate, it would then probably make sense to do it.

chickdr

Not a stupid question at all. My lease, for example, is 363/mth for 36mths. This is the total amount I will pay. The residual is around 19,500. The advantage to a lease IMO is I can drive to the dealer and hand them the keys after 3 yrs. I don't have to worry about what the car will be worth, or deal with trying to sell it if I bought it and wanted a new car in 3yrs. Buying is great if you know you will keep the car for 5 yrs. I also like having my car under warranty while I drive it. I never lease longer than the warranty period.

As for the OP - your selling price may be optomistic. Somebody recently bought a low mile 06 for 23,500. The car does not seem to be holding its value as well right now. Makes sense when NEW 07's are selling for 26,500.

JackS

IMO, there would be little difference if the dealer discloses the total price of the car on the day you sign the lease. If you were getting a low interest rate doing a lease that was better than the best finance deal you could find, the lease would be the better deal.