Thread: Trade in time.
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Old 08-07-2014, 02:38 AM   #6
ashtray
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Join Date: Apr 2011
Drives: 2003 WRX, 2013 BRZ, 442
Location: SoCal
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You have three major criteria working against you:

Value - new cars depreciate quickly in the first two years then start to slow down. Selling any new car after a year or two will hurt. They sell gap insurance because many people don't put enough money as a down payment on their car and then if it gets wrecked they don't even get enough money to cover their loan.

Timing - this car was hot when it came out, but now everyone that wanted one new got one and there is dealer surplus. It's a niche car, not mainstream.

Location - you're in a locale that is tougher to sell a low rwd sports car. You see how it won't work for your needs any more, and you bought it new. There just isn't a big demand in your area. Not sure about the coming winter - how soon do the roads start to get snowy there?

Throw in the five tiers of used vehicle valuation:
- Certified Preowned
- Dealer
- Private Party
- Trade In
- Auction Value

The dealers rarely offer trade in unless they plan to resell the car on their lot. Sometimes they'll just look up the auction value (that they will get when they take your trade in to auction) and offer you that, or $500 less than that for auction fees/transport/etc. Basically they might offer you $16k trade, but sell it as Certified Pre-owned for $23k.
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