Welcome to the North American Subaru Impreza Owners Club Sunday May 29, 2016
Home Forums WikiNASIOC Products Store Modifications Upgrade Garage
Vancouver Impreza Club
Go Back   NASIOC > NASIOC Chapters > Vancouver Impreza Club Forum -- VIC

Welcome to NASIOC - The world's largest online community for Subaru enthusiasts!
Welcome to the NASIOC.com Subaru forum.

You are currently viewing our forum as a guest, which gives you limited access to view most discussions and access our other features. By joining our community, free of charge, you will have access to post topics, communicate privately with other members (PM), respond to polls, upload content and access many other special features. Registration is free, fast and simple, so please join our community today!

If you have any problems with the registration process or your account login, please contact us.
* Registered users of the site do not see these ads. 
Reply
 
Thread Tools Display Modes
Old 02-11-2009, 04:07 PM   #1
jaydow11
Scooby Specialist
 
Member#: 138952
Join Date: Jan 2007
Chapter/Region: VIC
Location: Kelowna, BC
Vehicle:
2011 STI Hatch
Pearl White

Default Help with Acadia Lease

Hello,

I took over a lease on a 2007 GMC Acadia from a guy in Vancouver. He put down $11,000 on a 2 year lease with payments of $620/month and a buyout of $29,000 at the end.

When I took over the lease, there was 14 payments left. The lease is up in May if my memory is correct.

Anyways, this is my first lease so I have a couple questions with regards to when the lease is up.

I was told by the dealership that I basically have two options. Return the vehicle or pay the buyout price. Period. No negotiation on the buyout price at all.

Ok, so looking at the current economic environment that the auto industry is in and the fact that SUV sales are basically zero, one must assume that GM would NOT want this vehicle back.

If they did, it would most likely go to the auction and get sold for way less.

But, I really do like the vehicle. It has some extra options that the original guy put on like running boards, and window rain guards.

I also installed HID's on it myself.

So I would like to keep this specific one if I can.

However, I think the buyout price of $29,000 plus taxes is a little steep in todays market.

Not many Acadia's are on the market and the comparible ones that are on Auto Trader are all around the $30,000 mark. However, I bet if you walked into a dealership with cash and said I'll give you $25,000 for it, they would take it!

SO my question is, if you want to buy your specific vehicle, but don't agree with the buyout price, what are your options?

Any help is greatly appreciated!

Thanks,

Jay
* Registered users of the site do not see these ads.
jaydow11 is offline   Reply With Quote
Sponsored Links
* Registered users of the site do not see these ads.
Old 02-11-2009, 05:05 PM   #2
6th gear
Scooby Specialist
 
Member#: 126860
Join Date: Sep 2006
Chapter/Region: VIC
Location: North Vancouver
Vehicle:
2004 STi Aspen White
1971 Corolla Racecar

Subaru Stars

The buy out price, extra kilometers or excess damage to the vehicle at the termination of the lease is non-negotiable.

In a perfect world, the leased vehicle would have some equity however a GM truck will most certainly be "upside down" meaning the buy out exceeds the market value.

GMAC no longer leases vehicles for this reason. Their vehicles depreciate too quickly to accurately predict the residual value when the lease matures.

My recommendation is not to buy it out. Let GM take the bath and if you really like their trucks, take advantage of the low finance rates and/or cash incentives and get a shiny new one.
6th gear is offline   Reply With Quote
Old 02-11-2009, 05:10 PM   #3
Drakar
Scooby Specialist
 
Member#: 68402
Join Date: Aug 2004
Chapter/Region: VIC
Location: Coquitlam, BC, Canada
Default

could you let the lease run out return the vehicle and then try to buy back when they put it on the lot?

or would the sales staff turn you away? and ofcourse you run the risk of someone else buying it or them sending it off somewhere.
Drakar is offline   Reply With Quote
Old 02-11-2009, 06:57 PM   #4
uberruby
Scooby Newbie
 
Member#: 202758
Join Date: Feb 2009
Default

I've had 4 leases over the years and in my experience terms like the buyout are definitely not negotiable. That said, the whole auto industry seems to be hurting pretty badly, so if you're prepared to walk away from the vehicle, you could certainly return it, and express to the dealer that you would be willing to buy it at X price. There's no harm in asking and dealers are motivated right now to do business...
uberruby is offline   Reply With Quote
Old 02-11-2009, 07:01 PM   #5
6th gear
Scooby Specialist
 
Member#: 126860
Join Date: Sep 2006
Chapter/Region: VIC
Location: North Vancouver
Vehicle:
2004 STi Aspen White
1971 Corolla Racecar

Subaru Stars

The thing to understand is that the lease company, in this case, GMAC and the dealership are not the same company. If the dealership was going to re-sell the vehicle, they would have to pay the exact same buy-out to GMAC as the lessor

If the buy out is $29,000 and they sell at $30,000 there's no way that the dealership will buy it from GMAC. They'll just call them to come and take it away.
6th gear is offline   Reply With Quote
Old 02-11-2009, 07:03 PM   #6
Drakar
Scooby Specialist
 
Member#: 68402
Join Date: Aug 2004
Chapter/Region: VIC
Location: Coquitlam, BC, Canada
Default

with everything said and the unfortunate price of your buyout, unless you have a real hardon for this ride I would walk away. You got into this car when it had value, that value has since tanked and most likely wont ever come back to what it was, you are lucky you have the chance to walk away vs having to sell it off at a low dollar.
Drakar is offline   Reply With Quote
Old 02-11-2009, 07:11 PM   #7
rockcrete
Scooby Newbie
 
Member#: 196721
Join Date: Dec 2008
Chapter/Region: VIC
Location: Maple Ridge
Vehicle:
1993 GF8 WRX Wagon
Black

Default

Watch the charge backs when you take it back too - I've heard bad things about some of the domestics on this lately........... I personally would never touch a lease - then again, I won't finance a car either..........
rockcrete is offline   Reply With Quote
Old 02-11-2009, 11:28 PM   #8
danorally
Scooby Newbie
 
Member#: 202773
Join Date: Feb 2009
Default

Quote:
Originally Posted by 6th gear View Post
The thing to understand is that the lease company, in this case, GMAC and the dealership are not the same company. If the dealership was going to re-sell the vehicle, they would have to pay the exact same buy-out to GMAC as the lessor

If the buy out is $29,000 and they sell at $30,000 there's no way that the dealership will buy it from GMAC. They'll just call them to come and take it away.
What will happen is the vehicle will go to the GM dealer auction. GM dealers will have a chance to bid on the vehicle and then resell it. A vehicle like this one will sell at the dealer auction for considerably less than what you see on the lot. In today's market, dealers are not buying cars, or buying what they can get cheap. This is one of the issues that GMAC is having today. Vehicles are shown as having a book value of, in this case, $29,000 retail, or approx. $23,000 wholesale. Dealers, if they buy the vehicle, are not looking to pay that. As a result GMAC loses money on every lease they have on the books.

You may be able to tell the dealer you would by the vehicle at a price lower than the buyout cost and the dealer may be able to work out something with GMAC. You chances of that happening are very slim. The dealer will have to be highly motovated to try to make this happen and even in todays market, dealers are still looking for the easy sale, not the sale they have to work at for a slim profit.
danorally is offline   Reply With Quote
Old 02-11-2009, 11:39 PM   #9
steve
Scooby Guru
 
Member#: 4718
Join Date: Mar 2001
Chapter/Region: VIC
Location: Location : Location
Vehicle:
Sold my Subaru, and
now I'm so OT

Default

Quote:
Originally Posted by danorally View Post
dealers are still looking for the easy sale, not the sale they have to work at for a slim profit.
troof.

I tried to buy a new Tundra a few months ago, and was told "Sorry, we're out of those". I asked if he could source me one, and the salesgent said "I will, but I have to know if you're serious first".

Yeah, not anymore champ.

Just thought I'd add that here for effect...
steve is offline   Reply With Quote
Old 02-12-2009, 01:15 AM   #10
Vantage14
Scooby Newbie
 
Member#: 198336
Join Date: Dec 2008
Chapter/Region: VIC
Location: Abbotsford BC
Vehicle:
2002 Toyota Tacoma
White

Default

Quote:
Originally Posted by hypa View Post
troof.

I tried to buy a new Tundra a few months ago, and was told "Sorry, we're out of those". I asked if he could source me one, and the salesgent said "I will, but I have to know if you're serious first".

Yeah, not anymore champ.

Just thought I'd add that here for effect...
The same thing happened with my parents when they were shopping for a new car. They were lookin gat Accords.

The salesperson said they would not give them a price (other than sticker) unless they commited to buying the exact car they were going to get ordered.

Needless to say, they went to another Honda dealership and bought the car they wanted.
Vantage14 is offline   Reply With Quote
Old 02-12-2009, 10:51 AM   #11
jaydow11
Scooby Specialist
 
Member#: 138952
Join Date: Jan 2007
Chapter/Region: VIC
Location: Kelowna, BC
Vehicle:
2011 STI Hatch
Pearl White

Default

Thanks guys! Since the car is really owned by GMAC I'm going to give them a call and talk to someone there. If the dealerships have to pay the same buyout price that I do I don't see why I couldn't just bypass the dealership all together and deal directly with GMAC?

If the vehicle is almost guaranteed to go to the auction anyways, you would think that GMAC would be open the idea of selling it to me directly.

I guess talking to the right person at GMAC is going to be the most important first step in the process!

Thoughts?
jaydow11 is offline   Reply With Quote
Old 02-12-2009, 11:22 AM   #12
steve
Scooby Guru
 
Member#: 4718
Join Date: Mar 2001
Chapter/Region: VIC
Location: Location : Location
Vehicle:
Sold my Subaru, and
now I'm so OT

Default

Quote:
Originally Posted by Vantage14 View Post
The same thing happened with my parents when they were shopping for a new car. They were lookin gat Accords.

The salesperson said they would not give them a price (other than sticker) unless they commited to buying the exact car they were going to get ordered.

Needless to say, they went to another Honda dealership and bought the car they wanted.
ach.
Two Honda dealers did the same thing to me when I was looking at buying a Prelude back in 99'. I almost came to blows with one salesdouche at Kingsway Honda when he lied about the performance of the car, telling me it will pull 12's at Mission.


Salespeople get a bad rep because of clowns like this. When I finally found the right person to deal with in Langley, the sale went well. It was a bugger to find that right person though.

Quote:
Originally Posted by jaydow11 View Post
I guess talking to the right person at GMAC is going to be the most important first step in the process!

Thoughts?
I would do that Jay.
Speak to the GMAC people directly and see if they can work something out. Chances are, if you talk to the right person, you could walk away a winner.

good luck.
steve is offline   Reply With Quote
Old 02-12-2009, 12:42 PM   #13
minifreak
Scooby Specialist
 
Member#: 116914
Join Date: Jun 2006
Chapter/Region: VIC
Location: Beautiful British Columbia
Vehicle:
2006 WRX Wagon
Obsidian Black

Default

Quote:
Originally Posted by jaydow11 View Post
Thanks guys! Since the car is really owned by GMAC I'm going to give them a call and talk to someone there. If the dealerships have to pay the same buyout price that I do I don't see why I couldn't just bypass the dealership all together and deal directly with GMAC?

If the vehicle is almost guaranteed to go to the auction anyways, you would think that GMAC would be open the idea of selling it to me directly.

I guess talking to the right person at GMAC is going to be the most important first step in the process!

Thoughts?
Let me know how that works out for you.
minifreak is offline   Reply With Quote
Old 02-13-2009, 12:52 AM   #14
danorally
Scooby Newbie
 
Member#: 202773
Join Date: Feb 2009
Default

Quote:
Originally Posted by jaydow11 View Post
Thanks guys! Since the car is really owned by GMAC I'm going to give them a call and talk to someone there. If the dealerships have to pay the same buyout price that I do I don't see why I couldn't just bypass the dealership all together and deal directly with GMAC?

If the vehicle is almost guaranteed to go to the auction anyways, you would think that GMAC would be open the idea of selling it to me directly.

I guess talking to the right person at GMAC is going to be the most important first step in the process!

Thoughts?
GMAC will not talk to you about this. On lease returns, the dealer will have to talk to GMAC and propose a reduced buyout. You chances of this working out in your favour are somewhere between slim and none. THE RIGHT PERSON TO TALK TO WILL NOT TALK TO YOU AS A POTENTIAL PURCHASER OF THE VEHICLE. Dealer agreements will not allow GMAC to discuss the buyout with you nor is GMAC allowed to discuss reduced buyouts.

As I mentioned previously, you will have to find a motivated GM dealer to try to work something out. Don't hold your breath that this will happen.
danorally is offline   Reply With Quote
Old 02-13-2009, 10:19 AM   #15
jaydow11
Scooby Specialist
 
Member#: 138952
Join Date: Jan 2007
Chapter/Region: VIC
Location: Kelowna, BC
Vehicle:
2011 STI Hatch
Pearl White

Default

Quote:
Originally Posted by danorally View Post
GMAC will not talk to you about this. On lease returns, the dealer will have to talk to GMAC and propose a reduced buyout. You chances of this working out in your favour are somewhere between slim and none. THE RIGHT PERSON TO TALK TO WILL NOT TALK TO YOU AS A POTENTIAL PURCHASER OF THE VEHICLE. Dealer agreements will not allow GMAC to discuss the buyout with you nor is GMAC allowed to discuss reduced buyouts.

As I mentioned previously, you will have to find a motivated GM dealer to try to work something out. Don't hold your breath that this will happen.
Interesting... You'd think that GMAC would be more open to the idea of selling the vehicle directly to the person. I can see the dealers not wanting this to happen but then again, times have changed somewhat.

It will be interesting to see what I can work out.

Worst case, I have a client who is a auto broker and can go to the auctions and find me another one!
jaydow11 is offline   Reply With Quote
Old 02-16-2009, 11:55 AM   #16
danorally
Scooby Newbie
 
Member#: 202773
Join Date: Feb 2009
Default

The real challenge with the dealer/finance company relationship is agreement limits the finance company in what they can say and do with the person they are financing. The relationship is set up so that only dealers can sell cars to the person off the street. This is to protect the dealers in situations like this. Its silly and hard on the potential purchaser but since when did car dealers really care about the people purchasing cars?
danorally is offline   Reply With Quote
Reply

Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Forum Jump

Similar Threads
Thread Thread Starter Forum Replies Last Post
need help with a/c compressor replacement sen7inel Factory 2.5L Turbo Powertrain (EJ Series Factory 2.5L Turbo) 0 06-04-2010 08:53 AM
I need some help with a lease from some pros! penciltucky Newbies & FAQs 8 04-07-2008 01:57 PM
Need help breaking a lease rage557 Off-Topic 8 08-14-2006 11:16 AM
Anyone moved with a leased car from NY to NJ? RidinLow's Honey Tri-State Area Forum 5 09-11-2002 02:16 PM
Help with idleing?!! Gas Mileage! HELP HELP DarkLite Technical Forum Archive 3 10-10-2000 09:40 PM

All times are GMT -4. The time now is 09:47 AM.


Powered by vBulletin® Version 3.7.0
Copyright ©2000 - 2016, Jelsoft Enterprises Ltd.
Powered by Searchlight © 2016 Axivo Inc.
Copyright ©1999 - 2016, North American Subaru Impreza Owners Club, Inc.