Honda CR-Z Hybrid Car Forums banner
1 - 16 of 16 Posts

·
Registered
Joined
·
7 Posts
Discussion Starter · #1 ·
Hi All,

I'm new to the forum, however I make frequent visits since I am considering a CR-Z.

I'm stuck in a lease at the moment with an 08 Honda Accord. I went to the dealership last night, with the intention to get out of the car lease early if purchased a new CR-Z, however after the appraisal I have car inequity that would be tacked onto my new payments.

Long story short, we tried to work out the numbers, but wasn't pleased with the initial proposal. Do you guys think I should wait for incentives to help alleviate the inequity? Wait for a better APR? The indecision is killing me!

Any advise is welcome.

Thanks!
 

·
Registered
Joined
·
43 Posts
I'm for staying out of as much debt as you can. The nice thing is that the CR-Zs aren't going anywhere. I made the mistake of putting negative equity into a car once and won't ever do it again. If you aren't happy with the payments for breaking the lease, give it some more time. Some things are worth waiting for. More debt/interest isn't one of them.
 

·
Registered
Joined
·
200 Posts
I wouldn't expect to see any incentives anytime soon. My suggestion is to wait until you've paid more on the Accord. I don't know leases all that well and that may mean you have to wait until the end of it. Probably not the answer you want but its what I would do.

I traded in my 2006 Accord that I had no intention of replacing until I saw the CR-Z. Had the deal not have been favorable to me I would have walked away. I probably wouldn't have liked it but in the end I could always get one later. Luckily I had several thousand dollars of positive equity so the deal was able to work out...but don't be afraid to be patient.
 

·
Registered
Joined
·
7 Posts
Discussion Starter · #4 ·
Thanks for the advise guys. I know it's cliche, but patience is a virtue.

I got the Accord straight out of college and didn't think about the ramifications of leasing a car. Over the years I've learned to be rational and practical with my finances. Part of the maturation process I suppose. But growing up doesn't get me out of a binding contract, unfortunately.

I was weighing out the pros and cons, and I keep asking myself do I commit with the CR-Z now, or continue to waste money on a car that I have nothing to show for after I turn it in. In essence, my down payment would pay for the inequity (which is cheaper than what I have left on my car lease) and have OK car payments. Or do I wait until the end, and start with a clean slate? Decisions, decisions...
 

·
Registered
Joined
·
7 Posts
Discussion Starter · #8 ·
I was offered a reasonable APR for the CR-Z. IMO, I don't see Honda offering Accord-like incentives for the CR-Z in the near future. But it makes you wonder that the market for the CR-Z is so small compared to the market for Accords and Civics, that they just might offer something decent. Time is the only solution.
 

·
Registered
Joined
·
177 Posts
Phanatic, If you have weighed the pros and cons, and the pros outweigh the cons, and you "think" that you can do it, then go for it! Cuz you know that that is what you really want to do.

You just have to make sure that you have looked at all the angles and possibilites and that you won't put yourself in a huge bind! Good luck with your decision!!:thumbsup:
 

·
Registered
Joined
·
34 Posts
I also agree with being patient. It sounds like you've went over the details in depth. Sometimes it's hard to wait for an item you really want. It looks like this; Do I spend more than I want to get what I want now or wait and pay down my negative equity and possibly get a lower payment somewhere down the road. This my friend is one of the toughest decisions.
 

·
Registered
Joined
·
7 Posts
Discussion Starter · #11 ·
trebor, you're right. It really comes down to pay more get now, pay less get later. The logical choice would be to wait, which is what I'm going to do, hoping there might be a certified pre-owned available or rewarding incentives in the future. Besides, it's snowing here in the Northeast, I wouldn't want to get a new car during this time of season.
 

·
Registered
Joined
·
1,285 Posts
I'm for staying out of as much debt as you can. The nice thing is that the CR-Zs aren't going anywhere. I made the mistake of putting negative equity into a car once and won't ever do it again. If you aren't happy with the payments for breaking the lease, give it some more time. Some things are worth waiting for. More debt/interest isn't one of them.
I, too put negative equity into a car payment once. ONCE.

Pay your lease down, get a 2012/13 CRZ. It'll have more stuff, too.
 

·
Registered
Joined
·
7 Posts
Discussion Starter · #14 ·
Hi All,

I went to the dealership over the weekend and they called Honda Financial to get a payoff amount for my Accord. They provided an amount that's less than the Payoff Amount listed on my user account. Why is there two different amounts? If a dealership is going to buy a car, the buyer shouldn't have to pay for the difference. Someone please advise. Thanks in advance.
 

·
Capt'n Jack
Joined
·
9,499 Posts
Hi All,

I went to the dealership over the weekend and they called Honda Financial to get a payoff amount for my Accord. They provided an amount that's less than the Payoff Amount listed on my user account. Why is there two different amounts? If a dealership is going to buy a car, the buyer shouldn't have to pay for the difference. Someone please advise. Thanks in advance.
If Honda Finance quoted a payoff - then that is the payoff to clear the title. Usually payoffs are based on the next 7 or so days. It can be different than what you show on your user account - because it (your user account) normally shows what you owe based on the remaining payments, not the 7 day payoff.

What it really comes down to is will the dealer payoff what Honda Finance says is still owed - is your car worth what the payoff is to the dealer. Say your payoff as Honda Finance stated was 10500.00, but the dealer says (based on bluebook) and other factors that it is only worth 9000 and that is all he will give you. They may offer to tack on the 1500.00 difference to the price of your new car and payoff the full 10500. You have to be careful about this. Sometimes it may be worth it, but you have paid 1500 more than what the car is worth to you. If you can work a deal where they sell at invoice or get other concessions, it may work out. But normally the dealer is there to make money. Be careful.
 

·
Registered
Joined
·
669 Posts
Hi All,

I went to the dealership over the weekend and they called Honda Financial to get a payoff amount for my Accord. They provided an amount that's less than the Payoff Amount listed on my user account. Why is there two different amounts? If a dealership is going to buy a car, the buyer shouldn't have to pay for the difference. Someone please advise. Thanks in advance.
The dealer payoff does not include tax on the unpaid balance (residual). The consumer payoff does. The reason for this is that the dealer will charge (and collect) the sales tax when the resell the car as a pre-owned vehicle.
 
1 - 16 of 16 Posts
This is an older thread, you may not receive a response, and could be reviving an old thread. Please consider creating a new thread.
Top