I DO love it.... but... the commute and mileage (ie depreciation)...

THE LATEST: Offering a EX-6 at $1000 UNDER dealer invoice.... I want more on my trade.... but it's getting tempting....

 

Dont do it! Your car will hold its value regardless of Miles. People dont look for a lexus because it has low miles on it or a Honda for that matter. They will last if you take care of them!! With this market and car sales down and all cars taking a hit very soon I think making the move will bite you in the long run. I was at the Acura dealer last night getting stuff done to my car and was inside the new TSX. Its the new TL...Its almost the same size and is the accord now. The inside is larger then the last gen TSX. It had some nice features inside but just under 33k for a TSX when you can get your car for a few thousand more...

Anyway I was talking with them as I am friends of the owners and sales are down. At Acura the TSX is the new TL and the TL is going to take over the RL. Sales are down pretty decent and they are the #4 Acura dealer in the country.

 

With ya man... here's the rub: ALL cars are coming down so what will our IS' be worth?

I can knock my payments down $160/mo and am still negotiating. .. so difference is probably $10K roughly over the life of the loan??? And currently 6.99% interest (pre-owned) vs 4.5% on Accord.

Also, kbb lists an IS250 for $24K trade, the dealer is up to $26K, I know I can get $27K. Retail is $31K (who pays that?) but as quick as they are trying to deal I know they have a buyer for it already.

I'm looking at cashflow vs a depreciating asset (any car) and best ways to handle finances across the board. Would it suck to trade it? Yep... but I keep more $$ in my pockets.... and I only trade when I get a good deal (dealer lost $1300 on my IS purchase, sales guy came to me looking for a job 2 weeks later and told me )...

Or... pay the IS off if I close the whole enchilada with the Chicago client (still have to travel, meet/ride with clients, etc.)... decisions, decisions...

 

All the opinions really help evaluate and bring up good points to aid in my decision!!!

THANKS CL!!!

 

I hear ya...I guess I would look at it a few ways...

1. The banks are going to raise rates on car notes and its getting harder for dealers to get these loans purchased. This all due to the Mortgage mess. I worked for a bank and was out of a job because of the mess it has caused. I know too much info in this area and banks are hurting like there is no tomorrow.

2. the hit you will take on the Honda. If the market continues you will take a bigger hit on that care being NEW vs the hit on the IS since you have started to eat away on it. KBB is always off IMO for what the cars sell for. Its a starting point but never seems to be right on. So to me I are you really saving yourself any money in the long run? I am close to a family that owns Lexus, Acura, Honda, and many other dealers and they are feeling the market catch up to them now. Trust me I thought a few times about getting rid of MY IS with all that has happened in the past year.

3. I think they are just hungry for your business because of this market. They could have a potential buyer for your car or a dealer that is willing to buy it from them. I would call a few Lexus dealers to see how much they would buy the car for.

Both are great cars either way. I would just look at down the road and today with this market to make the best decision you can. It boils down to what makes you happy and makes sense for your budget! Good luck on your decision!

 

Again, good points and feedback!!!! I'm with ya and your insight (inside info) and is the exact thing I'm talking about... the dealers and banks are getting pounded (it's going to get MUCH worse). If/when I drive the new Accord off the lot, do I lose $4k? $5K? $8K? Who knows? But depreciating is accelerating without question (Accord at 3yrs holds 57% value, down from 64% just TWO yrs ago)

One of my auto industry contacts- "Honda is moving NO new Accords as they positioned them wrong after so much supply on the market. They will make huge deals"

Good advice checking around other Lexus dealers too.

 

Passnu2 (Mike) brings up excellent points and this is his background in the financial sector. This economy and market should dictate your move and I personally think you should keep the IS in order to not take a massive hit and also the resale many years down the road regardless of mileage. My gen 1 IS300 got me $13k (including the tax benefit) when I traded it in last year. I had 88k on the odometer. The mileage gain will not offset or wash the loss in depreciation you will take over a year or two. You know you have a reliable and sharp vehicle on top of it. Furthermore, you love your AWD in Wisconsin winters as we have chatted in the past. Feel free to PM me.

 

No s--t... what am I thinking? Thx for all the tips, I will keep my baby!!!
YAHOOOOOOO!!! Man, I feel better!!