How much would a dealer give me??
Lexus Fanatic
Joined: Feb 2001
Posts: 5,445
Likes: 1
From: California
V,
i am in LA, and my buddy, a sales manager, always give me KBB trade-in value. try www.kbb.com
but i heard from this board that some dealer actually give you less too.
will
i am in LA, and my buddy, a sales manager, always give me KBB trade-in value. try www.kbb.com
but i heard from this board that some dealer actually give you less too.
will
Originally posted by VNGS400
How much would a dealer give me for trading in my car?
Do they usually give you NADA or KBB trade in values or how do they figure it out??
How much would a dealer give me for trading in my car?
Do they usually give you NADA or KBB trade in values or how do they figure it out??
Price it right, clean it up real good (... turn it sideways...
), and be *very* nice to anyone who calls.Guest
Posts: n/a
Used car values
The trade-in value for a car is a real shell game with car dealerships. If the dealer is giving you a *good* price on the new car, odds are they are going to try to rape you on the trade-in of your existing car. If they give you a great price for your trade-in, odds are they are sticking it to you on the price of the new car. Whenever trades are involved, the money game gets real confusing real fast.
The bottom line is that dealers need to make money and will do it any way they can. To be fair, the dealership does need to make their fair profit. But, you can do things to protect yourself against unfair monkey business. Your best bet is to do one of the following:
1) Buy the new car straight out and sell your car private party - keep your car completely out of the new car deal. That way you will know exactly what your new car is going to cost you (no "hidden" value lost or gained in your trade). You will then need to do your research and figure out how much to advertise your car for (typically somewhere halfway between wholesale and retail price). Most dealerships will argue against this, saying that the tax benefit you gain from a trade-in negates the added benefit you might get by selling the car yourself for a higher value (you can only be taxed on the difference between your new car and the trade-in value for your car). But, if you figure you can sell the car for 10-20% higher than the dealer is willing to give you, then don't listen to their argument. No sales tax rate is high enough!
2) Know in advance what price you want to pay for the new car and the price you want for your existing car. Do your research on the new car. Typically, most car buying experts recommend a target price of 3% over dealer invoice. Then, determine your car's trade-in value from various sources (KBB, Edmunds, NADA) and stick to it. Some dealerships will tell you they don't pay KBB wholesale (I hear lots of dealerships say they pay 5% less). If you get this story...walk away. If you know exactly what you want to pay for your new car and exactly what you want for your trade, you won't get caught up in the shell game.
Good luck. Car buying is one of those nuisances I hate to put up with. That's why I keep my cars for so long.
Thx...Doug
The bottom line is that dealers need to make money and will do it any way they can. To be fair, the dealership does need to make their fair profit. But, you can do things to protect yourself against unfair monkey business. Your best bet is to do one of the following:
1) Buy the new car straight out and sell your car private party - keep your car completely out of the new car deal. That way you will know exactly what your new car is going to cost you (no "hidden" value lost or gained in your trade). You will then need to do your research and figure out how much to advertise your car for (typically somewhere halfway between wholesale and retail price). Most dealerships will argue against this, saying that the tax benefit you gain from a trade-in negates the added benefit you might get by selling the car yourself for a higher value (you can only be taxed on the difference between your new car and the trade-in value for your car). But, if you figure you can sell the car for 10-20% higher than the dealer is willing to give you, then don't listen to their argument. No sales tax rate is high enough!
2) Know in advance what price you want to pay for the new car and the price you want for your existing car. Do your research on the new car. Typically, most car buying experts recommend a target price of 3% over dealer invoice. Then, determine your car's trade-in value from various sources (KBB, Edmunds, NADA) and stick to it. Some dealerships will tell you they don't pay KBB wholesale (I hear lots of dealerships say they pay 5% less). If you get this story...walk away. If you know exactly what you want to pay for your new car and exactly what you want for your trade, you won't get caught up in the shell game.
Good luck. Car buying is one of those nuisances I hate to put up with. That's why I keep my cars for so long.
Thx...Doug
What my dad usually does is he acts as if he is buying the new car without any trade-ins, and makes them go rock bottom on the price and then surprises them with the trade-in, and if they don't give atleast trade value on the trade-in car, then he leaves, simple as that.
Last time when he went to make the deal for my cuz for his 99 TL (loaded, 16k miles), we ended up getting the TL at $1k more than kbb trade value and exactly trade value for his trade-in Maxima, my cuz was happy, and my dad was glad to create a new business contact
Last time when he went to make the deal for my cuz for his 99 TL (loaded, 16k miles), we ended up getting the TL at $1k more than kbb trade value and exactly trade value for his trade-in Maxima, my cuz was happy, and my dad was glad to create a new business contact
Lexus Fanatic
Joined: Feb 2001
Posts: 5,445
Likes: 1
From: California
let me first applaud you guys for all the positive comments.
imo and from the past few years of owning and dealing w/many dealers, i kind of learn to turn the game around by having the dealers fight for my business. this is particularly easy when there are 5-10 dealers in your 50 miles radius. unless the car itself is rare, then that is another story. furthermore, i found it MUCH easier to deal w/lex/toyota dealers then w/any others.
as Doug mentioned, there are so many tools today that buyers can utilize before they actually step into the dealers. i am just glad to say that my last few purchasing experiences are nothing but GREAT . all the negotiations were done over the phone, and the papers were there ready to be signed when i arrived. and we are not talking about a few grands off MSRP. as i mentioned before, timing is everything. one time i actually had the dealer took off $10k from the sticker for a brand new 98 ls400, silver w/nakam stereo. it was the last day of the month and friday afternoon.
it pays to shop around and do your research. and never put yourself in a situation where you need A CAR tomorrow/few days and then decide to go shopping for cars.
william
imo and from the past few years of owning and dealing w/many dealers, i kind of learn to turn the game around by having the dealers fight for my business. this is particularly easy when there are 5-10 dealers in your 50 miles radius. unless the car itself is rare, then that is another story. furthermore, i found it MUCH easier to deal w/lex/toyota dealers then w/any others.
as Doug mentioned, there are so many tools today that buyers can utilize before they actually step into the dealers. i am just glad to say that my last few purchasing experiences are nothing but GREAT
. all the negotiations were done over the phone, and the papers were there ready to be signed when i arrived. and we are not talking about a few grands off MSRP. as i mentioned before, timing is everything. one time i actually had the dealer took off $10k from the sticker for a brand new 98 ls400, silver w/nakam stereo. it was the last day of the month and friday afternoon. it pays to shop around and do your research. and never put yourself in a situation where you need A CAR tomorrow/few days and then decide to go shopping for cars.
william
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