Audi Finance Lease/Loan Swap
01-05-2018, 07:41 AM
#21
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That is correct but this is a Cab. Cabs had a different MF tthan Coupes and SBs. I got the quote from the Edmonds forum person. He checked iit twice.
01-05-2018, 09:13 AM
#22
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If you want to buy out your lease you can at anytime. All you need to do is log in to your AFS account and click on Pay Off Quote. You'll receive an instant quote of how much it will cost to buy out the car. Just finance that amount with whoever you want and you now got what you want.
I have leased my last 3 Audis and use that about every 2-3 years so I know how much I need to get as a trade in for my next lease. I never do a lease return. If you know the pay off quote and the market value, you'll know if you are positive or negative equity. If you're equal or positive trade the car in as if you financed it, not leased it. This way you don' get dinged for over mileage, wear and tear and have to pay that ridiculous lease return fee. You can also trade the car in with whatever mods you want. Just know the mods may get you a lower trade in value depending on what the mod is.
I have leased my last 3 Audis and use that about every 2-3 years so I know how much I need to get as a trade in for my next lease. I never do a lease return. If you know the pay off quote and the market value, you'll know if you are positive or negative equity. If you're equal or positive trade the car in as if you financed it, not leased it. This way you don' get dinged for over mileage, wear and tear and have to pay that ridiculous lease return fee. You can also trade the car in with whatever mods you want. Just know the mods may get you a lower trade in value depending on what the mod is.
Is there a break even point that I need to figured in the added cost of what it would take to open up the new loan to buy/finance the car that I've been leasing? There are always added fees when getting a new loan, do you just include the total cost of the new loan and if the equity I have in my leased car still out weighs the cost of the new loan (fees), go forth with this method? Is there a fee at the end of the lease if I opt to buy/finance it? Meaning is it better to wait until my lease end, rather than buy/financing it early (before lease end). I understand that if the equity in my car is significantly more say 3 or 6 months before my lease end that it's feasible to buy out of the lease and go for it.
I suppose there are a lot of real world scenarios that could effect this situation but this is an interesting way to approach my lease end.
01-05-2018, 09:33 AM
#23
Sorry to get slightly off topic, but this is interesting. If, when I'm ready to turn in my leased car and i have equity in my car, are you saying that I should buy it (finance it) and then trade it in?
Is there a break even point that I need to figured in the added cost of what it would take to open up the new loan to buy/finance the car that I've been leasing? There are always added fees when getting a new loan, do you just include the total cost of the new loan and if the equity I have in my leased car still out weighs the cost of the new loan (fees), go forth with this method? Is there a fee at the end of the lease if I opt to buy/finance it? Meaning is it better to wait until my lease end, rather than buy/financing it early (before lease end). I understand that if the equity in my car is significantly more say 3 or 6 months before my lease end that it's feasible to buy out of the lease and go for it.
I suppose there are a lot of real world scenarios that could effect this situation but this is an interesting way to approach my lease end.
Is there a break even point that I need to figured in the added cost of what it would take to open up the new loan to buy/finance the car that I've been leasing? There are always added fees when getting a new loan, do you just include the total cost of the new loan and if the equity I have in my leased car still out weighs the cost of the new loan (fees), go forth with this method? Is there a fee at the end of the lease if I opt to buy/finance it? Meaning is it better to wait until my lease end, rather than buy/financing it early (before lease end). I understand that if the equity in my car is significantly more say 3 or 6 months before my lease end that it's feasible to buy out of the lease and go for it.
I suppose there are a lot of real world scenarios that could effect this situation but this is an interesting way to approach my lease end.
01-05-2018, 09:54 AM
#24
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In my experience, there has never been a fee associated with getting a bank loan for a new or used car. Maybe I've just been lucky. But I would think in most cases you don't even need to do that. If a dealer takes the car as part of a trade they will handle the final payoff in order to secure the title, just like they would do if you were trading in a car that you had financed via a standard loan.
01-05-2018, 11:08 AM
#25
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No, like Hot Ice mentioned... you don't (finance and) buy it, you just trade it in (have them treat it as a trade, if they will do it). Yes it seems weird at first...
01-05-2018, 11:21 AM
#26
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Thanks to all for explaining this, it makes sense. I'll certainly go about trying this route come time to turn in my lease. Thanks again!
01-05-2018, 09:27 PM
#27
Correct, just treat the car as if you had financed it and tell them you want to trade it in. I’ve never had a dealer say no because it’s a leased car. I did have to explain to an internet sales manager how this worked a couple of weeks ago when I was trading in my S3 for an A5. Let’s just say I didn’t give that dealership my business. If the market value is higher than the payoff quote, use that positive equity as a down payment on the car your buying/leasing or ask for a check. Just make sure you haggle to ensure you get the most you can for the trade in, just like you would with any other trade in. They also can’t ding you for going over the allotted mileage from your lease or charge you a lease return fee.I always wonder why!? when I hear stories of people doing lease returns and paying mileage penalties and that stupid lease return fee.
01-07-2018, 03:25 PM
#28
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Having worked for a few dealerships (not Audi) most manufacturers allow the dealer to mark up the MF a certain amount. It is no different if you finance a car at a dealer. They have a buy rate from the bank and the consumer rarely gets that. Instead they pay .50 to 2.0 higher depending on the deal. As usual , it pays to educate yourself on residuals (they can't be touched generally) and current interest rates and money factors. Also know the bank fee on a lease as this is notoriously marked up...
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