Real-World Trade-In Values

qbrozen

Because the manufacturer is insured against residuals, not against rebates.

Michaell

qbrozen said:

Because the manufacturer is insured against residuals, not against rebates.

Exactly. They'll still make up the difference between market value and the residual value; no incentive to sell you the car for below the residual value.

andres3

Anyone have experience on a total loss claim with a leased car?

I have a feeling it is complicated a bit because your insurance will cover the value of the car, and then the "gap" with what your remaining payments and fees add up to, if any, would be covered by the financing/lease company. I suppose it's the same as if you buy "Gap" insurance on a purchase, but I have no experience with that since I don't buy cars that depreciate like donuts, nor obtain them with zero or little down.

stickguy

Never used it, but that is my understanding. Car goes away, insurance figures it out, you are off the hook.

Michaell

andres3 said:

Anyone have experience on a total loss claim with a leased car?

I have a feeling it is complicated a bit because your insurance will cover the value of the car, and then the "gap" with what your remaining payments and fees add up to, if any, would be covered by the financing/lease company. I suppose it's the same as if you buy "Gap" insurance on a purchase, but I have no experience with that since I don't buy cars that depreciate like donuts, nor obtain them with zero or little down.

Why are you asking?

Yeah, pretty much the way you've described it.

Which is why we recommend to folks not to make a cap cost reduction on a lease - that money is gone.

nyccarguy

"Don't buy cars that depreciate like donuts"

Do you still have a VW & an Audi product in your garage?  I know the weather here stinks, but they do say too much of that strong California sun is bad for you;)

The insurance company gives the leasing company what they think it's worth.  Leasing company's GAP insurance covers the rest.  I think you are pretty much "off the hook" for the leased car if it gets totaled.  On a more serious note, I hope all parties involved are OK.

tjc78

Toyota Financial still doesn't include GAP coverage but most others do as far as I know. 

nyccarguy

Boring Q40 Update:

Month 2 (4/27/17 - 5/27/17)
2,054 Miles Driven
7 Fill Ups (averaging $39.38)
19.99 mpg average

@benjaminh - if I still had my Legacy which averaged 26 mpg, I would have been able to go at least 400 miles to a tank (filling up 2 less times) on RUG instead of the PUG that my 328 hp Infiniti requires. To me, 153 horsepower is worth MUCH more than 6 mpg.

qbrozen

Pretty close to what I'm averaging, too. I forget, is yours also AWD?

nyccarguy

qbrozen said:

Pretty close to what I'm averaging, too. I forget, is yours also AWD?

Yup.  AWD.

nyccarguy

qbrozen said:

Pretty close to what I'm averaging, too. I forget, is yours also AWD?

What kind of Oil Change Intervals are you going with @qbrozen?  I read in the owner's manual that it calls for oil changes every 5K miles.  I'm going to use full synthetic, so I feel comfortable going at least every 7,500 miles.

stickguy

5k in normal use is really short these days. Especially as fast as you pile them up!

qbrozen

7500. And, yes, full synthetic. Resetting the computer after it counts down the service interval is a PITA, BTW. At least in mine. For some reason, you have to do it twice because the dashboard and head unit don't talk to each other.

tjc78

Sounds like our Enclave where you have to set the Analog dash clock and also the one in the radio. 

andres3

nyccarguy said:

"Don't buy cars that depreciate like donuts"

Do you still have a VW & an Audi product in your garage?  I know the weather here stinks, but they do say too much of that strong California sun is bad for you;)

The insurance company gives the leasing company what they think it's worth.  Leasing company's GAP insurance covers the rest.  I think you are pretty much "off the hook" for the leased car if it gets totaled.  On a more serious note, I hope all parties involved are OK.

Ha! Well, some Audi's and VW's probably depreciate almost like a donut, but there are many models that do OK I think, and I tend to get those, and also, negotiating a great deal on purchase helps. Still, it is all relative. I'd say a residual under 40% at 3yr/36K miles would be donut-like depreciation.

Don't worry, no people or property have been harmed in my request or question. I was just curious, and I like to know ahead of time how insurance looks at things rather than be surprised later.

I was reminded of the possible issue because I distinctly remember a specific question asked when I added the leased Kia that had to do with it being leased rather than owned or financed traditionally. If it didn't matter, they wouldn't ask.

And no, I'm not thinking of pushing the Kia deep under into a body of water never to be found again

carperso

Got a carmax appraisal of 22k on the A6. Buyout is about 35. (Accidents on carfax)

However I do wanna buy it later on. (Not buyout the lease).

Clean carfax CPO cars are selling for a lot lower.

Is there anyway that I can buy this specific car?

TLDR: What happens to lease return?

andres3

2014 Toyota Prius, Sacramento, CA, Light Blue (Aqua-like) color, I know it's pretty loaded as it supposedly has the sunroof/sun-panel air conditioning system and safety nannies, but I don't know much else and my Parents don't know either. In good/clean condition (well maintained but scuffed bumper), 23,000 miles

VIN #JTDKN3DU6E1845820 help?

qbrozen

Need to know which model. I, II, III, IV, V?

Mr_Shiftright

Q--that Prius has a dirty CARFAX from 2014--no details but "accident reported".

qbrozen

If we ever find out which trim it is, I'll be sure to dock it 20%.

andres3

qbrozen said:

If we ever find out which trim it is, I'll be sure to dock it 20%.

Ahhh! forgot about that! Yes... my father was involved in a minor collision (from his version of events, sounded like 100% the other person's fault), but insurance chose to make it 50/50.

Basically he said he was backing into a parking space (parallel parking), and someone decided they wanted to move forward in his lane and hit the front left side of his car before he could get that part of the car out of the way. Camry vs. Prius; what could possibly go wrong?

I think he would have one the case if he made it clear he hit the brakes and stopped prior to the collision (whether that's true or not). Technically, "Backing up" puts a lot of burden on you to almost always be at fault with the way insurance companies think (sometimes crazy thinking). However, if you stop, your not backing up anymore.

sda

nyccarguy said:

qbrozen said:

Pretty close to what I'm averaging, too. I forget, is yours also AWD?

Yup.  AWD.

And a huge fun and smile factor

andres3

qbrozen said:

Need to know which model. I, II, III, IV, V?

Not getting a very assured answer, but let's go with III, that's in the middle!

qbrozen

Bout $12.5k-$13k

andres3

qbrozen said:

Bout $12.5k-$13k

And if you chop off 10,000 miles? Been told the total is only 12,500 miles on the Prius. They barely drive, or if they do drive, they are driving the Lexus more than they think.

Mr_Shiftright

Miles are probably around 15,500 according to CARFAX (estimated).

qbrozen

andres3 said:

qbrozen said:

Bout $12.5k-$13k

And if you chop off 10,000 miles? Been told the total is only 12,500 miles on the Prius. They barely drive, or if they do drive, they are driving the Lexus more than they think.

Only about $500 more.

speedracer422

Rough idea of value on my car would be really helpful.

2010 Accord EX-L (4 cyl) with approx. 102K miles on it.

Not sure what the car fax says. In addition I have bit of damage on rear passenger door.

VIN: 1HGCP2F8XAA169117

qbrozen

2 or 4 doors? Stick or auto? What kind of damage are we talking about? Color inside and out? What state are you in?

speedracer422

speedracer422 said:

Rough idea of value on my car would be really helpful.

2010 Accord EX-L (4 cyl) with approx. 102K miles on it.

Not sure what the car fax says. In addition I have bit of damage on rear passenger door.

VIN: 1HGCP2F8XAA169117

Wow...I missed a lot of information, didnt I.

I am in NY. Its Black outside and Beige leather inside. Its 4 door Auto.

As far as damage is concerned - its pretty bent in and scratched a bit.

qbrozen

With the damage, maybe $4500-$5k.

stickguy

Wow. On a trade? I wouldn't pay that retail. Gotta love the Honda mystique. Unless you are looking to buy!

speedracer422

qbrozen said:

With the damage, maybe $4500-$5k.

Thanks a lot for sharing that. Is that average price you would expect or is it based on info thats contained in Carfax and is particular to that VIN.

qbrozen

I don't have access to Carfax. If it was a clean example, it would be more like $6k-$6500 trade. This is based on dealer auction values. I'm taking a wild guess that a dealer would send it to auction and some cheaper lot will pick it up and replace the door.

speedracer422

qbrozen said:

I don't have access to Carfax. If it was a clean example, it would be more like $6k-$6500 trade. This is based on dealer auction values. I'm taking a wild guess that a dealer would send it to auction and some cheaper lot will pick it up and replace the door.

Thanks.

Maybe I should try and sell privately to get better value out of it.

qbrozen

At this pricerange, that is probably best. Probably some DIY'er would give $7k for it.

Mr_Shiftright

qbrozen said:

I don't have access to Carfax. If it was a clean example, it would be more like $6k-$6500 trade. This is based on dealer auction values. I'm taking a wild guess that a dealer would send it to auction and some cheaper lot will pick it up and replace the door.

CARFAX is clean and shows one-owner and just over 100,000 miles.

speedracer422

Mr_Shiftright said:

qbrozen said:

I don't have access to Carfax. If it was a clean example, it would be more like $6k-$6500 trade. This is based on dealer auction values. I'm taking a wild guess that a dealer would send it to auction and some cheaper lot will pick it up and replace the door.

CARFAX is clean and shows one-owner and just over 100,000 miles.

Thanks a lot for sharing that. I have been the only owner and have juat about 102k miles on it. Should have tried to sell it couple months ago when it was under 100k to get better value.

andres3

speedracer422 said:

Mr_Shiftright said:

qbrozen said:

I don't have access to Carfax. If it was a clean example, it would be more like $6k-$6500 trade. This is based on dealer auction values. I'm taking a wild guess that a dealer would send it to auction and some cheaper lot will pick it up and replace the door.

CARFAX is clean and shows one-owner and just over 100,000 miles.

Thanks a lot for sharing that. I have been the only owner and have juat about 102k miles on it. Should have tried to sell it couple months ago when it was under 100k to get better value.

I seriously doubt that being a few hundred miles past warranty rather than a few hundred miles before warranty expires makes all that much difference. Same with 99K vs. 101K. It might make a difference, but nothing extraordinary.

jpp75

Hey q, can you give me an updated trade number on my 2016 Touareg Lux V6 w/ the Driver Assist Package? Canyon Gray w/ black interior, 18,8xx miles now in Denver, CO. No damage or issues.

Thanks!

qbrozen

$35k zip code

jpp75

Thanks q. @michaell and I are heading out shortly for some test drives.

tbirdmarco

@jpp5862 cante wate to hear all about the test drives later on tonight in CCBA injoy!

Mr_Shiftright

Q -- 2006 Lexus RX 400h, 105,000 miles, orig. owner, clean, SF Bay Area. Dealer trade in?

qbrozen

Assuming AWD, about $7k-$7500. FWD would be $6k.

Mr_Shiftright

OK thanks! I will relay that info! So it looks like private party sale might approach $10K?

qbrozen

I guess maybe for a Lexus. Personally, I'd be looking to pay $9k from PP and $10k dealer.

Mr_Shiftright

Seems to me that the 400h is a complex vehicle with limited advantages over a "regular" SUV.

pa_ls430

Q - 2004 LS430, 93K, Mercury Silver with ecru interior. Custom Luxury Package (1 below UL) with dynamic cruise and proximity keys. 1 Owner up until I bought it last year with full dealer service history. Good over all condition, no major damage anywhere, just a couple light marks from over the years.

Michaell

pa_ls430 said:

Q - 2004 LS430, 93K, Mercury Silver with ecru interior. Custom Luxury Package (1 below UL) with dynamic cruise and proximity keys. 1 Owner up until I bought it last year with full dealer service history. Good over all condition, no major damage anywhere, just a couple light marks from over the years.

What location?