does anyone know anything about breaking leases? what is the likelyhood of being able to break lease? will there be significant penalty? will the dealer buy back my lease? will the cost be significantly greater than my current monthly?

i recently signed a lease with infiniti for an 06 g35 coupe. ive been looking at the rumors and speculations for the 07 coupe and it fixes many of the things that i dont like about the interior of the 06.

i picked up a 3yr lease for 15k/miles per year recently at the end of march. i have a 06 g35 coupe AT nav and premium package @ 499/mon w/ 3k down

 

read through your lease contract, it has rules/regulations regarding your early lease termination.

 

It's been only a few days since you purchased. Dissatisfied already?

 

u have a few days to get out of any contract. in my area, chicago, it's 3 business days to get out of one. not sure how you do it - maybe as simple as going in there and saying u want to terminate. if u find out let us know..

 

i found the paperwork. theres a section called 'early termination' its pretty cryptic, if someone could explain it, that would be nice. ive typed it up. let me know if more sections are needed and what numbers i need to do a ball park calculation. sorry for the typos.

13. scheduled termination
the scheduled term of your lease is the number of months corresponding to the number of monthly payments identified in sections 3 and 5. at the end of the lease terms you will return this vehicle and pay us immediately:
a) a disposition fee equal to the amoutn disclosed in section 3; plus
b) all past-due montly payment and other charges under this lease; plus
c) any amounts owed as a result of excessive wear and use, as disclosed in section 20; plus
d) any ecess mileage charge at lease maturity or an excess mileage charge for theperiod for which this lease was in effect pro-rated monthly as disclosed in section 6; plus
e) any taxes realted ot the termination

14. early termination
a) condition for your early termination. you may terminate this lease before the end of the lease term effective on the due date of a monthly lease payment, if you return the vehicle, you give us at least 30 days prior written notice and you pay us the amount disclosed in section 14c
b) condition for our early termination (i skipped this part)
c) amounts you will owe at early termination. if this lease is terminated before the end of the lease term, under section 14a, then you will pay us:
adjusted lease balance is a charge in today's dollars for base monthly payments not y et due and the residual value of the vehicle. our method of calculating todays dollars is the constant yield method a gernally accepted accounting formula.
realized value is the wholesale value assigned by us in a commercially reasonable manner in accordance with accepted practices in the autombile industry for valuation of used vehicles as allowed by applicable state law, or by a written agreement as to the vehicles'value signed by you and us. if you disagree with teh value we assignn to the vehicle, you may obtain, at your own expense, a professional appraisal of this vehicles wholesale value or comparable value made by an independent third party agreeable to both you and us. after early termination we will notify you of the date on or after which disposition of the vehicle will be made. you must complete the professional appraisal by the date indicated in such notice.

 

Without going thru the details, you will owe a ton of money unless you can make some other deal with the dealer. It's all laid out in the language you listed. Basically it looks like you might owe the entire balance of the lease (35 or 36 x $499).

 

^ I think that is a little excessive.

Basically, you will owe the same amount as if you were returning the lease at the end of 36 months. You pay all the regular fees, such as excessive wear and tear, damages, etc...

Now, this is the part that gets expensive. You will pay any early termination fees. You need to find out what this is exactly. You don't have to pay for the remainder of the months, but I'm pretty sure they have some type one time penalty or "processing" fee you have to pay.

Now, this is the part that gets really expensive. In the lease contract, you have an agreed value for your car. The calculated residual value can not be changed because there is a change in the market and your car isn't worth 1/2 of what was calculated (unlikely, but just an exaggerated example). Now if you return the car now, you will have to pay the calculated amount betweent the calculated value of your purchase price minus payments and the value of the car now (as they calculate it). We all know that the car's value drops the most in the first 2 years. Hell, most of that goes down when you sign the papers and drive it off the lot. With 3K down, you still have a bit into the car, depending on how long you've had it.

Consider driving the car for a year or two at the least if you are considering this as a change merely for convenience rather than out of necessity. Your loss may be lower then. Plus, you may want to wait a year or two after a new G, gives them a chance to work out some of the kinks...

Now your best bet if you can't wait is to be buddies w/ your local infiniti dealer/sales guy. Actually, skip the sales guy and get to the manager (internet/sales/fleet). Don't know what you paid for the price of the car, but with a major discount on the new one, seeing as how you are a repeat customer, you may be able to offset your losses.

 

If your lease is through them you can terminate after 12 consecutive payments w/ no penalties but not before

 

You can sell it or trade it in for a new Infiniti or any other Makes, of course you gonna lose some money, it all depends on how much you owe and how much you can sell/trade it for...call up you leasing company and ask them what is your "payoff" amount and you can better judge how much you going to lose, but as right now I bet its less than if you had "purchased" because it didnt include the sale tax!(assuming the pruchase and lease price are same)

 

yea your def gonna lose a ton of $$$. you can trade the car in and the paypoff is the buyout plus the total of remaining payments.

17,465$ is your total in payments, add your buyout to that and thats your payoff. Your car is probably worth 28-30k on trade in.

PLus your looking at the 2007 coupe??? We dont even know if the 07 coupe will be different. And if it is like the 4 door as far as design, then it wont come out until 6-8 months after the sedan in early 2007

 

not logical, unless you have tons of cash to burn, which I think it's not the case since you are worry about penalties.

 

Not worth it, just enjoy the car man. Save yourself the headache and loss of $$$.