taking over a car lease

[StillInCali]

I like my car (purchased in Jan 2006) but my monthly payments are high because I decided to do a 36 month payoff instead of 60 months due to the lower interest rate. Looking back, I probably should have leased it instead because it would have been more affordable.

Has anyone here taken over someone else's car lease through swapalease.com or a similar website? I'm looking into that as an alternative to a traditional lease, since not having to pay for the down payment makes the car more affordable. Also, does anyone have experience selling a car to Carmax?

[redsail]

Also, does anyone have experience selling a car to Carmax?

I sold my previous car to Carmax. It was relatively painless. I got a few hundred above blue book value for the car too. You just take the car in, tell them you want to sell it to them and they have someone come out and check it out then give you a price sheet for it. The offer is valid for a few days or 100 miles.

If you can muster the payments on the car stick with it. It may hurt for a few years but you will be payment free at the end of your 36 months, vs a perpetual lease payment.

[old_school_soul]

Leasing is a waste unless you are doing for tax write-offs. The difference between a 3 year lease and a 3 year car note is that in 3 years with your car loan you OWN the car. And you keep it for as long as you want. With a leased car, you still usually have to provide some sort of downpayment and then pay monthly throughout the whole term of the lease. Not to mention mileage restrictions and penalties for damage and what not when you turn it in. If you want to then buy the car you just leased, you pay the residual, which is generally a lot more than the car's blue book value (the residual is decided when you first buy the car). I would never recommend leasing a car unless you have lots of money to spend and you are brainwashed into the idea that you need a new car every 3 years.

[Syracuse]

Leasing is a waste unless you are doing for tax write-offs. The difference between a 3 year lease and a 3 year car note is that in 3 years with your car loan you OWN the car. And you keep it for as long as you want. With a leased car, you still usually have to provide some sort of downpayment and then pay monthly throughout the whole term of the lease. Not to mention mileage restrictions and penalties for damage and what not when you turn it in. If you want to then buy the car you just leased, you pay the residual, which is generally a lot more than the car's blue book value (the residual is decided when you first buy the car). I would never recommend leasing a car unless you have lots of money to spend and you are brainwashed into the idea that you need a new car every 3 years.
I'd like a new car every year if possible, I mean you only live once, why drive old cars? But I see what you mean, it is a lot more expensive to do that.

[cache]

I'd like a new car every year if possible, I mean you only live once, why drive old cars? But I see what you mean, it is a lot more expensive to do that.

Seriously? From the same person who can't pay his student loans?

[Syracuse]

Seriously? From the same person who can't pay his student loans?
Drop it.

[analogman]

Selling to Carmax is pretty simple. Assuming a lease is less simple. At the end of the lease, you may be responsible for the excessive wear and tear charges (some lease companies change the lease into your name, leaving the original lessor completely off the hook). You also have to financially qualify for the lease (not everyone will). It can be a great way to drive a car really cheaply for a little while though :)

[cheshrcarol]

I leased my first car after college because I wanted a safe, new car. I was worried about car accidents, and the used cars I'd had before had extremely expensive repairs. The way I looked at it was it was like renting an apartment. You don't buy because you can't afford to. I couldn't afford a quality car at the time, so I leased. And it was actually a program through my bank where I held the title, was able to get very high mile allowance (which I didn't end up needing) and even traded the car in when I bought my current one. The lease loan just had to be paid off in full.

[StillInCali]

Thanks for all the input, I'll probably take my car to Carmax sometime in the next couple of months for an estimate.

According to this story, you're not supposed to spend more than 8% of your monthly salary on car payments, and I'm spending much more than that http://http://money.cnn.com/2003/10/21/pf/autos/q_spendtoomuch/index.htm (http://money.cnn.com/2003/10/21/pf/autos/q_spendtoomuch/index.htm)
I've also heard you can spend up to 20%, and my payments are less than that.

The only thing that makes me hesitate about taking over someone's lease is having to pay for their excessive wear and tear on a vehicle (as analogman pointed out). Most of the cars aren't local, so I wouldn't see it until it arrived and I had already taken over the lease. I like the idea of not having to pay for repairs after the warranty expires, as well as being able to drive a car for just a year or two.

[Syracuse]

Thanks for all the input, I'll probably take my car to Carmax sometime in the next couple of months for an estimate.

According to this story, you're not supposed to spend more than 8% of your monthly salary on car payments, and I'm spending much more than that http://http://money.cnn.com/2003/10/21/pf/autos/q_spendtoomuch/index.htm (http://money.cnn.com/2003/10/21/pf/autos/q_spendtoomuch/index.htm)
I've also heard you can spend up to 20%, and my payments are less than that.

The only thing that makes me hesitate about taking over someone's lease is having to pay for their excessive wear and tear on a vehicle (as analogman pointed out). Most of the cars aren't local, so I wouldn't see it until it arrived and I had already taken over the lease. I like the idea of not having to pay for repairs after the warranty expires, as well as being able to drive a car for just a year or two.Jesus how could you spend only 8% on car payments. Car payments at least are 250 bucks a month. Well I guess it is possible.

[BLK95TA]

yeah its possible if you actually have good income.....

yeah 8% of say $2500 a month isnt a lot of money, maybe $275, unless your buying a used car, a throwaway new car (like a kia rio or chevy aveo or something) putting a shitload down, or financing for 72-84 months, you're not gonna get a 250 a month payment

[analogman]

Thanks for all the input, I'll probably take my car to Carmax sometime in the next couple of months for an estimate.

According to this story, you're not supposed to spend more than 8% of your monthly salary on car payments, and I'm spending much more than that http://http://money.cnn.com/2003/10/21/pf/autos/q_spendtoomuch/index.htm (http://money.cnn.com/2003/10/21/pf/autos/q_spendtoomuch/index.htm)
I've also heard you can spend up to 20%, and my payments are less than that.

The only thing that makes me hesitate about taking over someone's lease is having to pay for their excessive wear and tear on a vehicle (as analogman pointed out). Most of the cars aren't local, so I wouldn't see it until it arrived and I had already taken over the lease. I like the idea of not having to pay for repairs after the warranty expires, as well as being able to drive a car for just a year or two.

I think you actually have a reasonable selection of local cars (compared to Northern California). I looked around on swapalease and most of the California cars are in the LA area.

If you assume a lease, I think it would be a very good idea to check it out in person and have it checked out by a mechanic before doing it. You are taking the same type of risk (although to a somewhat smaller scale) as buying a used car.

[StillInCali]

I'm considering leasing a car directly from the dealer instead of chancing paying for someone's wear on a car or some other issue. I was thinking of getting a Jetta, since they're fairly safe and inexpensive. I've never had such a small car before, it could be an interesting change and will save some gas.