Early lease turn-in question

PeteM6 · 05-25-2014, 05:14 PM

Hello, I recently did the owners choice on a 2014 M6 coupe about 4 months ago. The msrp was 128k and I got the car for 108k. Just found out my wife and I are having a baby. Needless to say I'm gonna need a 4 door car. I have an order with my local dealership on a new M3. My current M6 payoff is 104k. I'm sure the M6 is worth more than 104k and I was wondering if on an early lease turn in if they will apply the positive equity towards the M3. Please help, I don't want to ask the dealership cause I'm sure they will say otherwise. Thanks guys.

cooler2442 · 05-25-2014, 05:19 PM

Quote:

Originally Posted by PeteM6

Hello, I recently did the owners choice on a 2014 M6 coupe about 4 months ago. The msrp was 128k and I got the car for 108k. Just found out my wife and I are having a baby. Needless to say I'm gonna need a 4 door car. I have an order with my local dealership on a new M3. My current M6 payoff is 104k. I'm sure the M6 is worth more than 104k and I was wondering if on an early lease turn in if they will apply the positive equity towards the M3. Please help, I don't want to ask the dealership cause I'm sure they will say otherwise. Thanks guys.

No they won't because I doubt the M6 is worth more than 104k, they are heavily discounting the M5's and M6's right now.

Your best bet will be to try and do a lease swap because the dealer will probably only offer you somewhere in the 90's for it.

accce · 05-25-2014, 05:51 PM

Just roll the remaining payment into the new car.

Bonovox · 05-25-2014, 08:15 PM

Sorry to bd the bearer of bad news, but it is likely that the M4 is worth maybe 10% less than the payoff. If your credit is good you could roll all or a portion of the difference into the M3 lease.

Of course the dealer will offer below what you could get if you were to sell the car yourself, which is an option. It's best to ask the dealer for a quote. Unfortunately, you won't be in a strong negotiating position on the resale price because the M3s are on allocation.

The other option is to try to swap lease - have someone take over the lease. You have to check with the leasing company to see if they will allow a lease transfer. Even if they do it is difficult to swap the lease on a new lease especially if it has more than 3 years to go. Generally you will be forced to offer an incentive, ie buy down the lease payment. You might find it's just cheaper to sell the car and roll any lease deficit into the new M3 lease. Good news is that the M3 lease will probably only be about $1000 mo (depending on options)...less than the M6 I'm sure. Back of the napkin, figure that for every $3600 you're under water, it'll add $100/mo to lease payment.

Good luck!

PeteM6 · 05-25-2014, 08:25 PM

Thanks for the info guys. The M6 is an owners choice which is a bit different than a traditional lease. The msrp of the m3 is 75k. We'll see what the dealership says because I'm not gonna pay the same monthly payment for a 75k m3 than a 128k m6. Thanks again for the info guys.

05-25-2014, 05:14 PM	#1
PeteM6 Second Lieutenant 33 Rep 243 Posts Drives: 2015 M5 CP Join Date: Feb 2008 Location: Texas iTrader: (2)	Early lease turn-in question Hello, I recently did the owners choice on a 2014 M6 coupe about 4 months ago. The msrp was 128k and I got the car for 108k. Just found out my wife and I are having a baby. Needless to say I'm gonna need a 4 door car. I have an order with my local dealership on a new M3. My current M6 payoff is 104k. I'm sure the M6 is worth more than 104k and I was wondering if on an early lease turn in if they will apply the positive equity towards the M3. Please help, I don't want to ask the dealership cause I'm sure they will say otherwise. Thanks guys.
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05-25-2014, 05:51 PM	#3
accce Lieutenant 73 Rep 495 Posts Drives: M4 SBM/BLK EXT CC Brakes Join Date: May 2011 Location: MD iTrader: (0)	Just roll the remaining payment into the new car.
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05-25-2014, 08:15 PM	#4
Bonovox Private First Class 55 Rep 142 Posts Drives: M4 Join Date: Feb 2014 Location: Concord, MA iTrader: (0)	Sorry to bd the bearer of bad news, but it is likely that the M4 is worth maybe 10% less than the payoff. If your credit is good you could roll all or a portion of the difference into the M3 lease. Of course the dealer will offer below what you could get if you were to sell the car yourself, which is an option. It's best to ask the dealer for a quote. Unfortunately, you won't be in a strong negotiating position on the resale price because the M3s are on allocation. The other option is to try to swap lease - have someone take over the lease. You have to check with the leasing company to see if they will allow a lease transfer. Even if they do it is difficult to swap the lease on a new lease especially if it has more than 3 years to go. Generally you will be forced to offer an incentive, ie buy down the lease payment. You might find it's just cheaper to sell the car and roll any lease deficit into the new M3 lease. Good news is that the M3 lease will probably only be about $1000 mo (depending on options)...less than the M6 I'm sure. Back of the napkin, figure that for every $3600 you're under water, it'll add $100/mo to lease payment. Good luck!
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05-25-2014, 08:25 PM	#5
PeteM6 Second Lieutenant 33 Rep 243 Posts Drives: 2015 M5 CP Join Date: Feb 2008 Location: Texas iTrader: (2)	Thanks for the info guys. The M6 is an owners choice which is a bit different than a traditional lease. The msrp of the m3 is 75k. We'll see what the dealership says because I'm not gonna pay the same monthly payment for a 75k m3 than a 128k m6. Thanks again for the info guys.
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