Real-World Trade-In Values

breld

Thanks for the response Q - no surprise, that's lower than I hoped/expected based on kbb, nada, etc.

With that CPO warranty, it may make for a good private party sale.

Thanks again!

boomchek

steine13 said:

boomchek said:

We as dealers cut the value in half when the vehicle is branded salvage/rebuilt. So a $10k wholesale car to us is worth about $5k if it's a rebuilt. [..]

Add to the fact that it has issues, and most dealers will knock another $1k+ off for potential repairs, that's IF they'd be even interested in taking it on trade and dealing with it.

Personally I wouldn't want this car for our lot at any price as it sounds like a nightmare.

Thanks, that helps set the mood here.
I don't want to touch this thing with a barge pole, but I'm somewhat involved whether I like it or not.

I already acquainted 'auntie' with $3 to $6 and am awaiting the reaction.

Is there not a saying in the industry that there is an [non-permissible content removed] (*) for every seat?

I will report when it's resolved. We may be heading for a new RAV4; it can't hurt to get a trade-in number.

After downloading a user's manual from Honda's website, I at least know that the "wavy" symbol warning light she described yesterday simply said "cold engine." Talk about small favors.

Cheers -Mathias

(*) With the conventional spelling, i got "non-permissible content removed." That's cute.

Yes that saying does exist. There is an a** for every seat, but at the appropriate price as well. There will be an optimist willing to jump on the car with issues if they believe they're saving a ton of money.

A few years ago I bought a rebuilt Civic for myself at a local government surplus auction. The rebuilt job was horrible because the paint didn't match, and it was a 4 door manual car. I bought it for about half of what a non rebuilt costs. Drove it for some time but when i decided to sell it I hard a hard time because it was stick, rebuilt, and not in the best cosmetic shape. I ended up taking a small loss on it but the car was purchased by a local Nigerian (in person, so not a scam), who was going to ship it to Nigeria because the condition wouldn't affect the sale of the car over there.

boomchek

steine13 said:

boomchek said:

We as dealers cut the value in half when the vehicle is branded salvage/rebuilt. So a $10k wholesale car to us is worth about $5k if it's a rebuilt. [..]

Add to the fact that it has issues, and most dealers will knock another $1k+ off for potential repairs, that's IF they'd be even interested in taking it on trade and dealing with it.

Personally I wouldn't want this car for our lot at any price as it sounds like a nightmare.

Thanks, that helps set the mood here.
I don't want to touch this thing with a barge pole, but I'm somewhat involved whether I like it or not.

I already acquainted 'auntie' with $3 to $6 and am awaiting the reaction.

Is there not a saying in the industry that there is an [non-permissible content removed] (*) for every seat?

I will report when it's resolved. We may be heading for a new RAV4; it can't hurt to get a trade-in number.

After downloading a user's manual from Honda's website, I at least know that the "wavy" symbol warning light she described yesterday simply said "cold engine." Talk about small favors.

Cheers -Mathias

(*) With the conventional spelling, i got "non-permissible content removed." That's cute.

Yes that saying does exist. There is an a** for every seat, but at the appropriate price as well. There will be an optimist willing to jump on the car with issues if they believe they're saving a ton of money.

A few years ago I bought a rebuilt Civic for myself at a local government surplus auction. The rebuilt job was horrible because the paint didn't match, and it was a 4 door manual car. I bought it for about half of what a non rebuilt costs. Drove it for some time but when i decided to sell it I hard a hard time because it was stick, rebuilt, and not in the best cosmetic shape. I ended up taking a small loss on it but the car was purchased by a local Nigerian (in person, so not a scam), who was going to ship it to Nigeria because the condition wouldn't affect the sale of the car over there.

nyccarguy

in person, so not a scam

Ha! He didn't promise to wire you 1,000,000 if you sent him your bank account number, Canadian equivalent social security number, and $10,000 along with the title to that Civic did you?

isellhondas

nyccarguy said:

@isellhondas‌

I was thinking of you while reading an article on jalopnik. The guy bought a used Range Rover at Car Max with an extended warranty and has given him NOTHING but head aches. He's documented each fiasco plus the amount it cost and how far ahead he is as per the cost of the warranty:)

I'll bet he paid DEARLY for that extended warranty!

As I've said before the warranty companies our store kept raising the price of warranties on Land Rovers but they still couldn't cover their losses so they simply quit selling them.

There were other cars, mostly European that they would sell warranties on but the costs were higher than the moon. Still, people bought them and most were glad they did.

Our store got to the point where we would wholesale every LR, Audi and most Volvos that were traded in even if they were still under factory warranty.

Just too many unhappy customers.

qbrozen

I'm sure I've shared this one before, but probably not in a long time. Many years ago, the wife wanted a Disco II. She drove one without me, said she liked it, so I went with her and we took one out. I really didn't like it, personally. A decent truck, no doubt, but way too truckish for her purposes, but wifey wants what she wants. Anyway, I of course already knew these weren't the most reliable vehicles, so I inquired about an extended warranty. As isell experienced, the price was crazy high. IIRC, it was somewhere in the neighborhood of $3k for 2 years of coverage. I had to veto that purchase altogether. She still likes them to this day, of course.

henryn

I think something like the Land Rover Discovery, or even the Jeep Wrangler, would be an interesting car to have around. But I would never buy any British made vehicle. Never.

boomchek

Every Disco I've ever come across during my 10 years of selling cars had some sort of an issue, or developed issues just from sitting on the lot. And the last one we took on trade, was in nice looking shape, but had 200k miles for which we paid $300 on trade because that's all they're worth.

robr2

Yet they manage to sell tons of them....

I have a new neighbor who is a sales manager at an LR/Jaguar dealership. I will ask for an an honest answer.

boomchek

I have a few friends who work at local LR/Jag dealers here in Vancouver. I actually just spoke this morning to one of them.

1 year wait list for full size Range Rovers.
6 month wait list for Range Rover Sports.

sam_peyton

I just bought a 2015 Acura RDX on Jan. 23rd and just found out that the 2016 will have the features I could ever want. I don't have much of a commute so I estimate I will have about 2000-3000 miles on it by the time the 2016 models come out-any idea what I may get for trade-in?

Michaell

sam_peyton said:

I just bought a 2015 Acura RDX on Jan. 23rd and just found out that the 2016 will have the features I could ever want. I don't have much of a commute so I estimate I will have about 2000-3000 miles on it by the time the 2016 models come out-any idea what I may get for trade-in?

Color? Location? AWD or FWD? With tech?

sam_peyton

Sorry. AWD with tech, dealer added remote start. Graphite Luster Metallic with ebony interior.

sam_peyton

Olathe, KS

sam_peyton

Michaell said:

sam_peyton said:

I just bought a 2015 Acura RDX on Jan. 23rd and just found out that the 2016 will have the features I could ever want. I don't have much of a commute so I estimate I will have about 2000-3000 miles on it by the time the 2016 models come out-any idea what I may get for trade-in?

Color? Location? AWD or FWD? With tech?

It is AWD with Tech.  Dealer added remote start for me. It is Graphite Metallic Luster (gray). We live in Olathe, Ks.

qbrozen

there is no way I can tell you what it will be worth in the future. But if your commute is not that long, what in the world do you need the extra features for? What features are you referring to?

sam_peyton

qbrozen said:

there is no way I can tell you what it will be worth in the future. But if your commute is not that long, what in the world do you need the extra features for? What features are you referring to?

Because I like cool features and technology-blind spot monitoring, ventilated not just heated seats, second row air conditioner vents (really more for my son), and I really could use the parking sensors. Had them on my Infinti and miss them on my RDX. The dual screens is pretty sweet. Oh and I hoping since it is part of a package that the remote start may be controlled by an app. Since the dealer added it to my RDX I have to carry a second ridiculously bulky fob.

boomchek

If you were to trade your RDX in now, you'd need to knock back about $3-$5k off invoice price of a new same model, less rebates. Newish used low mileage cars need to be cheap enough to be enticing over a same new model, meaning they have to be several thousand cheaper, because usually finance rates are higher and the warranty clock started running.

sam_peyton

boomchek said:

If you were to trade your RDX in now, you'd need to knock back about $3-$5k off invoice price of a new same model, less rebates. Newish used low mileage cars need to be cheap enough to be enticing over a same new model, meaning they have to be several thousand cheaper, because usually finance rates are higher and the warranty clock started running.

I would be okay with the 3K not so much the 5K

boomchek

Keep in mind you're also losing taxes and any fees you paid on the car.

So what I meant to say is to trade yours for a new one wouldn't be just $3k difference. It would be much more, especially if you paid close to MSRP for yours.

The trade in value of yours is about $3-$5k under what the invoice is for new ones. For example, if a car has a $35000 MSRP, and it's invoice is $31500, the trade in value is between $26500-$28500.

If you paid $35000 plus fees/taxes and now you're in it for $38000 (just throwing random numbers here), then you're backwards about $9500-$11500.

If a new 2016 model is priced at $35500, and you get $28500 for yours, you're looking at a $7000 difference plus any fees and taxes applied to the difference (if your state calculates taxes on the difference only).

But in the end it all depends what you paid for yours, what the price is for a new one, and how much you'll get for yours, and what manufacturer programs are on new ones.

Sandman6472

In other words, best to keep it for a few years and then trade in for what you really want...the price to unload it is very steep. I did something similar last year but on a different make and model and it still cost me a pretty penny but again, I switched into a ddifferent vehicle all together!

The Sandman

sam_peyton

sandman_6472 said:

In other words, best to keep it for a few years and then trade in for what you really want...the price to unload it is very steep. I did something similar last year but on a different make and model and it still cost me a pretty penny but again, I switched into a ddifferent vehicle all together! The Sandman

I think I will roll the dice and get the actual quote before I decide. I got an awesome deal on my trade and didn't pay MSRP on the current RDX so it may not be so bad. If they give me a good number on the trade the sales tax won't be much. Will have to pay the dealer doc fee again though...

roadburner

Curing Buyer's Remorse in never cheap...

paradiddle7

I have a 2012 VW Toaureg V6 Sport with Navigation and I still owe payments of 3906 (8 * 558) and it has a residual of 20,860. Can a dealer make any money on this car? I'm looking to get a 2014 Infiniti QX60 because they are giving them away but I doubt there will be any left in 7 months, so I'd like to get out of my lease early.

Michaell

paradiddle7 said:

I have a 2012 VW Toaureg V6 Sport with Navigation and I still owe payments of 3906 (8 * 558) and it has a residual of 20,860. Can a dealer make any money on this car? I'm looking to get a 2014 Infiniti QX60 because they are giving them away but I doubt there will be any left in 7 months, so I'd like to get out of my lease early.

Color - inside and out? Mileage? Where is this located?

All the above will impact the trade value.

paradiddle7

I'm in Getzville, NY 14068 (Buffalo). The car is black with black leather interior and the 18" alloy wheels. The mileage is 26,500

Michaell said:

paradiddle7 said:

I have a 2012 VW Toaureg V6 Sport with Navigation and I still owe payments of 3906 (8 * 558) and it has a residual of 20,860. Can a dealer make any money on this car? I'm looking to get a 2014 Infiniti QX60 because they are giving them away but I doubt there will be any left in 7 months, so I'd like to get out of my lease early.

Color - inside and out? Mileage? Where is this located?

All the above will impact the trade value.

qbrozen

Actually, surprisingly, you should be OK on that. Trade should be $25-25.5k.

paradiddle7

So that is what a dealer could give me, meaning they can pay off the lease and still make a few bucks. Thanks

qbrozen

Yes. So if you payoff now is ~$24,800, then I'd try getting $25,500 for it as a trade so you've got $700 equity to apply to the new vehicle.

johnlopez

Please help I have a 2014 Honda accord sport white with 9k miles its a lease I still have 25pmts left on it which its $7400 the buy out is 23k I wanted to trade the lease in for a Lexus. Lexus said that they will give me 16k for the car. Is this what this car should be going for please help 

Michaell

johnlopez said:

Please help I have a 2014 Honda accord sport white with 9k miles its a lease I still have 25pmts left on it which its $7400 the buy out is 23k I wanted to trade the lease in for a Lexus. Lexus said that they will give me 16k for the car. Is this what this car should be going for please help 

Where is this? Stick or automatic?

If Lexus is offering $16K in trade, then the remaining $7400 of lease payments have to come from somewhere - either they are added into the new Lexus lease or you have to cover that amount out of your own pocket.

Given that sales prices on brand new 2015 Accord Sports are around $21K, the offer from the Lexus dealer sounds about right.

But I'll let the experts weigh in ... they have access to more information than I do.

johnlopez

It's auto the sticker price of the car was 28k the part that has me stuck is that the paper they gave me with the price of the Lexus 37k $0 down $289 & it also had my car payoff amount for 7k on it as well 

johnlopez

I'm also in New Jersey 

qbrozen

Man, I'm confused. Is the $0 down $289/mo including your $7k rolled in?? That's an insanely great deal if so, but I can't imagine that's the case. How many months and miles is that for??

That's a very light offer on the Accord, though. Most go for over $20k at auction, with a couple down around $19k. Even if they take that low number, they should be able to give you at least $18k for it.

johnlopez

27months 10k a yr 

qbrozen

so that $289 is with you paying the negative equity, I presume. Has to be.

johnlopez

Paying negative equity ?

stickguy

If it isn't, that is the deal of a lifetime.

Michaell

johnlopez said:

Paying negative equity ?

Negative equity is the difference between what you owe on your lease and what it's worth as trade. That money is due and can either:

1. be paid by you
2. added into the next lease deal

qbrozen

In other words, it is that $7k you mention. Did they say you are paying that out of pocket and THEN $289/mo, yeah? That $7k on a 27-mo lease would add something like ~$280/mo to the payment all by itself. Heck, maybe that $289/mo number was JUST your negative equity and the payment for the car would be tacked onto that.

boomchek

One important question here johnlopez.

Did you tell the Lexus dealer you owe money on your Accord? Because I have a feeling they quoted you a payment on the Lexus with your Accord as trade in ($16k), but with them not including the money you owe on your Accord to the $289 payment, just to get you to sign before slamming you in the finance office with another $500 tacked on to cover the $23k owing on your car.

Example: Great news Mr. Lopez. The Lexus is $xx,xxx, less the value of your Accord ($16k) = $289/month payments with $0 down. The money you owe on the accord can be rolled into the payment; we'll let our finance office figure that out, but everything will be rolled into one payment and the Accord will be fully paid off.

Mr_Shiftright

Here's an interesting question on loans if any of you would like to help this guy out. I really have no idea how to answer the question. I *think* the answer is NO but I'm really not sure at all: Thanks for anyone who wants to jump in!

http://answers.edmunds.com/AnswerQuestion.aspx?questionId=197974

johnlopez

Hey everyone thank you so much I went in today and they tried to hit me for $850 a month lol I'll just stay with my accord. The sales rep thought I said all I owe on the was 7k after I adv the dude that I was in a lease long story short I'm gonna hold off but thank you everyone

qbrozen

good choice!

boomchek

That explains everything. Miscommunication. And a great example of why we hesitate to quote numbers over the phone before knowing all of the details regarding the purchase or the trade in.

felinos11

guys I know this might not be the right place to post but what is a reliable car with max mileage around 55k and a budget of no more than $13k that you can recommend me?(state: IL) I was thinking for accord or camry but I do not know much about cars. Design wise, I like the 2008 Acura TL type S, but for my budget I do not think I can find one with low miles. Also, do you recommend buying from carmax, dealer certified or used from third party? Thanks!

stickguy

how old you want to go will be a big factor. How many miles per year are you going to put on it?

IMO, Accord and Camry (more so Accord) tend to be dearly priced as used cars. especially used ones. But, you can find them.

and how picky are you about equipment, power, etc. Huge difference between a TL-S (even a regular TL) and a 4 cyl Camry. Plus, the more basic level (LE vs. XLE) the cheaper you can get.

size wise, you seem to be looking midsize.

I would try to stay 2011+. Altimas are plentiful. A jetta could work. You can find Camrys, but probably 1-2 years older for same miles. You can always go domestic, a malibu or Fusion.

here are a few near me (not sure where you are!)

http://www.royaleasing.com/detail-2012-volkswagen-jetta_sedan-4dr_automatic_se_w_slash_convenience_pzev-used-13069499.html

http://www.royaleasing.com/detail-2012-nissan-altima-4dr_sedan_i4_cvt_2_5_s-used-13237503.html

http://www.auditurnersville.com/detail-2012-chevrolet-malibu-4dr_sedan_ls_w_slash_1ls-used-13264996.html

http://www.auditurnersville.com/detail-2013-chrysler-200-4dr_sedan_touring-used-13124747.html

felinos11

stickguy said:

how old you want to go will be a big factor. How many miles per year are you going to put on it?

IMO, Accord and Camry (more so Accord) tend to be dearly priced as used cars. especially used ones. But, you can find them.

and how picky are you about equipment, power, etc. Huge difference between a TL-S (even a regular TL) and a 4 cyl Camry. Plus, the more basic level (LE vs. XLE) the cheaper you can get.

size wise, you seem to be looking midsize.

I would try to stay 2011+. Altimas are plentiful. A jetta could work. You can find Camrys, but probably 1-2 years older for same miles. You can always go domestic, a malibu or Fusion.

here are a few near me (not sure where you are!)

http://www.royaleasing.com/detail-2012-volkswagen-jetta_sedan-4dr_automatic_se_w_slash_convenience_pzev-used-13069499.html

http://www.royaleasing.com/detail-2012-nissan-altima-4dr_sedan_i4_cvt_2_5_s-used-13237503.html

http://www.auditurnersville.com/detail-2012-chevrolet-malibu-4dr_sedan_ls_w_slash_1ls-used-13264996.html

http://www.auditurnersville.com/detail-2013-chrysler-200-4dr_sedan_touring-used-13124747.html

Thanks for the prompt reply. I usually put around 12k miles/year or less. I am trying to stay 2010+ and 55k miles max. I just need a car that will not give me headache like the Mazda I have now, that is why I was thinking either Accord or Camry. I am not sure how does the Altima compare to those two. The Jetta seems nice but is German, and I would prefer to stick with Japanese. I am not picky about tech package and stuff like that this time because I only plan to keep this car for 1 or 2 years max, that's why am not very concerned about extra features.

stickguy

the Altima is comparable. more a matter of personal preference, especially if you are not looking to keep it very long.

so any of the links above would qualify I think. The Altima actually looks like a pretty good deal. They are also pretty well loaded with comfort and convenience items.

felinos11

stickguy said:

the Altima is comparable. more a matter of personal preference, especially if you are not looking to keep it very long.

so any of the links above would qualify I think. The Altima actually looks like a pretty good deal. They are also pretty well loaded with comfort and convenience items.

Do you recommend I buy from dealer or craigslist? I have a friend whose uncle works for CarMax but I am not sure if he can hook me up with a good deal.