Dealer Buyback Offer

bryancos

bryancos

New member
I just received a letter from the leasing "stealership" offering to "buy back" my 4R for $1,000 over NADA loan value if I'd like to exchange my 03 for any 05 Toyota.

I've been debating if I should buy out my lease to lower payments or get out from under it completely by trading it in on something less expensive, in spite of the fact that I love the vehicle... My other option is to see if I can get into an '05 model using the H-plan thru my employer and possibly get into a newer model 4R for less than what I'm paying now using incentives, etc. (we didn't have the H plan yet when I got my 03)

What do you guys think?
 
Register to hide this ad
bryancos

Question. Just wondering what that letter exactly means.

They are willing to:

Roll your existing payments into a new yota

Just wondering if i am reading this right..

Sorry to sound like an idiot
 
The reason i ask, is b/c i have a lease as well that started in September of 04 with 3k down.

Is every dealer offering this deal, or only select ones


D
 
What's that loud ringing sound?

must be the bullshit alarm going off...whenever the dealer is willing to do something like that, make sure they take you out to dinner and kiss you goodnight before you let them prong you in the butt.

Yeah, trade in the '03 for the 05, $1,000 over NADA? yeah, right. You'll get the payments and shortage and costs rolled over into the price of the '05 while he sells the 03 for a nice profit on top of jacking you on the price of the '05.

Got the jar of vaseline handy????? :boink
 
LOLOL.

Obviously, everything a dealer does has a certain level of shade attached to it

I am just a newb when it comes to the "flease" thing.
 
It's definitely a sales gimmick to sell an 05. I got into my lease w/ $1250 down, the dealer matched it, for a total of $2500 down, no security deposit or other out of pocket expense. Payments commenced 45 days later.

The 4Runner thankfully holds it's value well and there's not much negative equity... My payoff is just over $24K (if I wanted to buy out the lease), and NADA trade value shows as $23,725. (NADA Retail is $27,200!) So basically sounds like the dealer would offer to give me $1000 over the NADA "LOAN" value (which isn't the same as retail -- and not sure if it's same as trade value or not) so if I did trade in, I'd likely just break even. (not many cars will break even when you terminate lease early). If I really needed out, I'd would sell it outright myself. I was just considering the ability to get into a new model using the H-plan w/ out the risk of having two car payments until the old one is sold. (I could just drive around w/ a FOR SALE sign, but since it's leased, that complicates transfer of title. In Colorado, I'd have to pay sales tax to buy it from the lessor and resell it...(the buyer would also then pay sales tax) .. then I'd end up having to pay sales tax AGAIN on the new vehicle -- talk about sticking it to the consumer!) That's why trading a leased vehicle is the better option when getting out of a lease. Best option is to just keep it or buy it outright if you can....
 
Last edited:
I'll chime in for whats its worth. I jus traded in my 03 Runner for an 05 Runner and stealer gave me $4300 over KBB to buy it back. Thought it was quite the good deal. Maybe I am wrong but I am happy non the less with my new 05 V8!!
 
I financed it. I still had a little over 3 years left to pay on it. I had to pay for it over 60 months. However, with the new one my payment went DOWN $15/month for an 05 V8, I thought it was quite funny. People can't believe that I got that much over KBB but I did. I guess they really need the old ones to sell. My dealer was basically begging me to trade it in. For the price, I was there.
 
I guess they wouldn't do that for a leased 04 se, would they?

That is if i was willing to buy the 05. Also, what dealership did you go to

One more question. Do all dealerships have that deal, or only certain ones
 
Do the simple math.

'03 New was $30,xxx+
Kelly value $24,000 (high side)

That means you have a $6K equity loss for driving the vehicle.

'05 New $31,xxx+
+ tax, fees, etc.
$34,xxx out the door

That means you have lost $10K by trading the vehicle. If you lease, you know you'll always have payments. If your ok with that, go ahead.

If you buy you will eventually own the vehicle outright and will have $10-13K of pure equity. You lease you have nothing except a new car and empty wallet.

What would you gain? A few more HP and redesigned radio control knobs?
 
chunderboy said:


One more question. Do all dealerships have that deal, or only certain ones
Click to expand...

A car dealership has any deal you want, as long as they come out on top. All car dealers do it, I got a flyer in the mail from Subaru the other day spinning the same speech. Hmmmm, high demand for both a Runner and Forester? Is it coincidence? Just another way to spin and entrap people who don't think this through.
 
Last edited:
scott78945 said:
I financed it. I still had a little over 3 years left to pay on it. I had to pay for it over 60 months. However, with the new one my payment went DOWN $15/month for an 05 V8, I thought it was quite funny. People can't believe that I got that much over KBB but I did. I guess they really need the old ones to sell. My dealer was basically begging me to trade it in. For the price, I was there.
Click to expand...

The dealer makes much more money off of a new car sale. They get kickbacks, holdbacks, etc. The only reason they have you believe they want your car and it is in such high demand is so they can sell you a new one.

I saw my exact vehicle on the lot for sale, it listed for $25,398. Which means the dealer marked it up at least $2K. And they had about 6 other '03-'04 on the lot that were used. They didn't seem to be hurting for any used Runners.

Plus it is summer, no dealer wants to hold a 4x4 in the offseason.
 
SACSTATE

Thanks. That is why i asked all yall. Appreciate the help

And the reason why i would want to do it, is b/c i am currently leasing. I asked the finance co. how much it would be to buy it out, and they gave me the price of 29 and change. EF THAT. And the reason why i want to do the switch is so i can get into a new car and finance it this time.

To be honest i didn't know how much i would love the car so i didn't care to put that much money into. OH HOW THINGS CHANGE
 
chunderboy said:
SACSTATE

Thanks. That is why i asked all yall. Appreciate the help

And the reason why i would want to do it, is b/c i am currently leasing. I asked the finance co. how much it would be to buy it out, and they gave me the price of 29 and change. EF THAT. And the reason why i want to do the switch is so i can get into a new car and finance it this time.

To be honest i didn't know how much i would love the car so i didn't care to put that much money into. OH HOW THINGS CHANGE
Click to expand...

I got into a lease and couldn't get out w/o leasing another from the same manufacturer. At least you have a lease with Toyota, try Ford or GM. Their products depreciate 50% in the first year, blows the residual lease figures out the roof.

Why not just pay the lease until it is up and then approach the dealer about buying it? They do not want to have a used vehicle sitting around and if you offer a price that is below what they are asking, they will probably take your offer to rid themselves of the vehicle.
 
Last edited:
It's looking more like I'll end up keeping the 4R... was looking into a less expensive vehicle (ie; Celica or Solara) but I only have another year on the 4R lease and then I can buy/own it in another 3yrs by just paying TFS the residual buyout vs. starting over with a diff car that I probably won't like and would end up trading... SAC's right about GM vehicles and their value... I had a GMC Envoy and it was in the shop so much I got to know the service guys on a first name basis. Luckily I got the Toyota dealer to agree to pay it off and still ended up with a nice deal on the 4R... (It was only 2yrs old and in pristine condition, so they were able to sell it within a week and still made a decent profit even after the payoff)
 
Last edited:
Sac State said:
I got into a lease and couldn't get out w/o leasing another from the same manufacturer. At least you have a lease with Toyota, try Ford or GM. Their products depreciate 50% in the first year, blows the residual lease figures out the roof.

Why not just pay the lease until it is up and then approach the dealer about buying it? They do not want to have a used vehicle sitting around and if you offer a price that is below what they are asking, they will probably take your offer to rid themselves of the vehicle.
Click to expand...

the last lease my folks had (w/ toyota too) the car never went back to the dealer, but rather the bank had us bring it to a HUGE auction center in NJ.
 
leasing is done through the bank not the dealer

Leasing is a contract entered with the financing company (toyota financial in this case). The dealer really doesn't have much say because they don't own the car. If toyota financial says bring it to the dealer, you might be able to buy it from the dealer at a reduced price. If they insist on bringing it to a clearance center, you may have to wait to bid on it...
 
You must log in or register to reply here.

Members online

Total: 286 (members: 2, guests: 284)

Forum statistics

Threads
278,311
Messages
3,554,082
Members
248,016
Latest member
Advally Service

Share this page

Trending content

Back
Top