Lease then Buyout - Contract Explanation

[AYip31]

I keep reading about how KMF can have delays with sending the title if you buy out too early, while some people have no problem. Has there been any agreed upon consensus with how long you should wait before buying out?

It’s a crap shoot
Only issues I had was KMF clearing the credit union’s check. Didn’t have any negative effects on me. It only delayed me making any car payments, no added interests. So it was a positive.

 

[MerlintheMad]

The consensus is to do the buyout as soon as possible. That won't happen unless you try your luck. At three payments, I got my title in less than a month.

 

[anhanhymous]

Thanks for the responses! I'm also financing the buyout through my bank. With an excellent credit score, does a rate of 3.14% sound reasonable? They don't seem willing to consider this for a new car rate.

 

[Lazarus.Bird]

It's not bad, but there are more competitive rates out there, and most banks do consider a current year or prior year car "new" in terms of what loans you are eligible for.

 

[adam1991]

I think you’re reading way too much into it.

which is better than reading way too little into it.

Lawyers live in this kind of world that they create.

All Kia has to do is say "but we meant lease end, not early buyout." What will you do? Sue Kia?

 

[AYip31]

Thanks for the responses! I'm also financing the buyout through my bank. With an excellent credit score, does a rate of 3.14% sound reasonable? They don't seem willing to consider this for a new car rate.

My credit score is 820+ I got 2.99%

 

[stasek]

which is better than reading way too little into it.

Lawyers live in this kind of world that they create.

All Kia has to do is say "but we meant lease end, not early buyout." What will you do? Sue Kia?

Early buyout ends the lease, so yeah - it’s the lease end.

 

[Shock607]

Can I do the lease buyout if I have I’ve never had car installment loan activity before? I have high scores, 720+ (Auto scores) , not sure if that matters

 

[OhioStateStinger]

Can I do the lease buyout if I have I’ve never had car installment loan activity before? I have high scores, 720+ (Auto scores) , not sure if that matters

Credit score will matter when it comes to getting the max lease cash. Not sure if 720 impacts that or not. It should get you a good a good position, even if not the best. Once you have the lease in hand, your credit will obviously come in to play again with getting financed if you do not pay cash for the buyout.

There are plenty of details before this post, but ultimately 720+ would not prevent me from trying to do the buyout. As long as numbers line up to your expectations, and the Adjusted Cap Cost is in line with your expectations, get that Stinger.

 

[tjv777]

Does anyone know if we are allowed to post the sale of a Stinger on this forum &, if so, what thread we are supposed to use?

 

[AYip31]

Does anyone know if we are allowed to post the sale of a Stinger on this forum &, if so, what thread we are supposed to use?

Post it here.
I’ve posted my sales agreement here before

 

[MerlintheMad]

You could also post on the (1) How to Buy a Kia Stinger | Kia Stinger Forum thread; and perform thread necromancy.

Does anyone know if we are allowed to post the sale of a Stinger on this forum &, if so, what thread we are supposed to use?

 

[tjv777]

Anyone know what the lease rebates will be for 2021?

 

[MerlintheMad]

Anyone know what the lease rebates will be for 2021?

Month by month; usually well into the first week, the rebates for that month are posted.

 

[Shock607]

see my post for the deal I got. It’s doable with some work and perseverance. Start with true car of every dealership within 200 miles. Then use price against other dealers. Citrus Kia had killer deals on their website so you could start with that price. In the end Car Pros Ki Huntington offered me an amazing deal in a car still wrapped in plastic and I bought it. They are awesome I can give you my contact person

Hello, what is your contacts name at the Huntington location? Thank you!

 

[Lazarus.Bird]

Alright, I've been trying to hunt a good deal on a '21 GT2 AWD in Ceramic Silver (not a single '20 of any GT2 in my region left). I've reached out to every dealer within 200 miles. Best deal I got was around $5400 off but it was a Virginia dealer and they won't lease outside of the DC Metro region so that ruled them out. A Columbus dealer was willing to do $3k off so I was leaning that way, but being a PA resident I believe I'll also have to pay to have inspection/emissions in PA, not to mention the gas of driving there and back with another car to pick up the Stinger.

So I've got a local dealer giving me these numbers:
$54,120 MSRP
$2,679 dealer discount
$7300 lease cash (.00093 MF, 55% residual, not that this really matters with lease buyout)

$1,104 in fees
- $650 acquisition fee
- $389 doc fee
- $13 online fee (I guess this is because I initiated via TrueCar? Whatever, it's $13)
- $32 plate fee
- $38 registration fee
This is $18 off the $1,104 fee but sales guy hand texted me fee breakout so he probably just missed a number slightly

So about 5% off MSRP plus the lease cash. Not the best deal in the world, but this is still pretty fair, yes? This is the only dealer close to me that even has inventory of what I want, and the only better dealer discount I got was in Ohio which will involve some extra leg work and other fees, so I consider the $3k vs $2679 a wash. Still getting a new car for basically $10k off. They've made everything pretty easy so far and I've got pretty positive vibes from them compared to a few other dealers I contacted.

I asked for a detailed lease sheet with adjusted cap cost which I should be receiving this morning, just so we're on the same page. Am I missing anything else? I guess just check the actual lease contract to make sure everything matches what is in the OP of this thread in terms of lease buyout verbiage?

 

[AYip31]

Alright, I've been trying to hunt a good deal on a '21 GT2 AWD in Ceramic Silver (not a single '20 of any GT2 in my region left). I've reached out to every dealer within 200 miles. Best deal I got was around $5400 off but it was a Virginia dealer and they won't lease outside of the DC Metro region so that ruled them out. A Columbus dealer was willing to do $3k off so I was leaning that way, but being a PA resident I believe I'll also have to pay to have inspection/emissions in PA, not to mention the gas of driving there and back with another car to pick up the Stinger.

So I've got a local dealer giving me these numbers:
$54,120 MSRP
$2,679 dealer discount
$7300 lease cash (.00093 MF, 55% residual, not that this really matters with lease buyout)

$1,104 in fees
- $650 acquisition fee
- $389 doc fee
- $13 online fee (I guess this is because I initiated via TrueCar? Whatever, it's $13)
- $32 plate fee
- $38 registration fee
This is $18 off the $1,104 fee but sales guy hand texted me fee breakout so he probably just missed a number slightly

So about 5% off MSRP plus the lease cash. Not the best deal in the world, but this is still pretty fair, yes? This is the only dealer close to me that even has inventory of what I want, and the only better dealer discount I got was in Ohio which will involve some extra leg work and other fees, so I consider the $3k vs $2679 a wash. Still getting a new car for basically $10k off. They've made everything pretty easy so far and I've got pretty positive vibes from them compared to a few other dealers I contacted.

I asked for a detailed lease sheet with adjusted cap cost which I should be receiving this morning, just so we're on the same page. Am I missing anything else? I guess just check the actual lease contract to make sure everything matches what is in the OP of this thread in terms of lease buyout verbiage?

Ultimately, if your comfortable with the deal than go for it.

If your able to wait, then wait. Better deals are to be had towards the end of the year. And given the 2022 model SHOULD be the refresh. Dealers should give more of a discount then.

 

[Lazarus.Bird]

Unfortunately I can't really wait. Need a car by mid February. Changed jobs and lost my lease vehicle so I need a daily driver now.

 

[Lazarus.Bird]

One more question. Dealer telling me adjusted cap cost is MSRP - dealer discount - lease cash + $650 acquisition fee (and then of course tax). With my previous example that puts me at $44,791 adjusted cap cost before taxes. Is that correct?

 

[AYip31]

One more question. Dealer telling me adjusted cap cost is MSRP - dealer discount - lease cash + $650 acquisition fee (and then of course tax). With my previous example that puts me at $44,791 adjusted cap cost before taxes. Is that correct?

Adj Cap Cost is the FINAL agreed
apond on the price of the car.