let me look on the schematics for more details but when the lever is in park the metal spring arm on the limit switch supposed to be pushed by the lever.
can you remove the key if you pressing on its arm?

 

OK the limit switch seems to be out of position perhaps rotated on its pin; other pin to hold the switch can be broken

 

The switch closes the shift position signal circuit when shift lever is not on park. Unplug the switch and see if the problem goes away.

 

The metal spring switch appears to be in the correct location since it's held in place by the white plastic housing. I tried pressing the switch in and out of park with no luck. I also tried disconnecting the switch, but that didn't work. I don't have a multimeter to check anything yet. When the system is functioning properly, does the lock get disengaged by a solenoid, as opposed to me pressing the unlock override button as shown in the video?

 

Think it could be a worn ignition cylinder? I'm not sure if there is a switch in the ignition that would cause this if not pressed... I tired using my spare key, so i don't think it's a worn key.

 

In PARK does the letter P on on the gage?
does starter work in Park?? (IIRC your first post says, you cannot crank the engine in park)
If your answer is no, the neutral safety should be checked next
Let's look on the schematics:

 

That's a good point. It does not start in park. I tried looking around hondajazzfit.com manuals and couldn't find much about the neutral safety switch, but is it pressed by the brake to let the car know not to turn on without the brake engaged? think this would also prevent the key from turning? I'll see if I can find some more info after work.

 

I'm guessing it's the brake pedal position switch in the wiring diagram. looks like it could screw up the key lock circuit and prevent the key interlock solenoid from firing. I'm no expert with circuits tho.

 

How about the P indicator on the instrument panel? is it ON with ignition ON & lever in park??
with brake pedal switch problems you will be able to start the car in park and remove the key but will not be able to shift out of the park

 

The P indicator does not light up on the instrument panel when the car is on (all other indications do). Which switch would be affected then?

 

The starter operation and gear indicator is controlled by neutral safety switch.
If shift lever is in park position when this happening i will check the condition of shift cable near transmission AND the neutral safety switch.
the car must be on the ramps or on the lift or over the trench for checking that.

 

Is the neutral safety switch located at the transmission end of the shift cable? do you have a drawing or picture of where both of these are located? I've been looking for one, but can't find one.

 

The neutral safety switch accessible from the left front wheel well after removal of the under engine shield:

in park check alignment of the slot in shifting lever shaft it should look like on the picture
If not try to align it using large flat screwdriver.
Then turn ignition on and see if P indicator is lit on the instrument panel.

 

Thanks! I got a multimeter, so when I get a free moment i'll test the switch with these instructions:

Transmission Range Switch Test (CVT)

and/or adjust as necessary with these instructions:

Transmission Range Switch Replacement (CVT)

(can't view in firefox)

The only issue I have is access, since I don't have any ramps/etc. But the instructions say to "Remove the air cleaner housing and intake air duct." So i'm thinking I can get to in from under the hood. I haven't taken that big black plastic air cleaner unit off, but I tried looking around it to see if it is accessible and couldn't see anything past it. Any idea if It's possible to access from the hood, or should i invest in some ramps?

 

For neutral safety switch you need to remove the engine undercover. I managed to do it without lifting the car (but I had to tun my wheels two times times to allow better access to the cover to body attaching clips in the fender wells).
the root cause for your trouble may not be neutral safety switch out of alignment but damage to transmission end of the gear selecting cable.
The slot in the selector shaft that goes through transmission will not be in alignment with switch rib on the switch body in this case.
And for checking this you may need to get ramps or stands. Stands are considered safer than ramps. (Don't ask me why
[PS I replaced my engine undercover back in 2010 because someone put lighted firework under my car.]
IMPORTANT the links you are referring to are not for US Fit with 5 speed A/T