New Car

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Soreali
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New Car

Post by Soreali »

So I finally get to use this forum!

Heres the rundown: I currently have a 2004 Hyundai Tiburon 2DR 4 Cyl 2.0 with remote start, XM radio and a radar detector built in. I have had no accidents the car is in good condition with 45,000 miles on it. I am currently still locked into financing the car that I make payments of $319 a month and have about $7300 left on it. According to KBB, the car is worth about the same.

I'm looking at trading it in and leasing a Subaru Impreza or Legacy (Haven't really decided yet). My main goal is to lower the monthly payments on the lease compared to the payment I make now. I spoke with a guy via email over at subaru and he told me:
KBB is not an accurate way to appraise your trade... You should be using GALVES books as they are closer to what the trade in value is. Your car books out at $4-5000 in good condition.
Now I tend the believe thats a pile of shit. Even googling Galves says that they're aimed directly towards dealerships so they're obviously going to low ball it. And quite frankly, I'm not believing an appraisal book that they make you buy to see how much your car is worth.

Any advice? Suggestions? Need more info?

Thanks in advance!
Timmah.


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Bubba Grizz
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Re: New Car

Post by Bubba Grizz »

I just did a KBB on 99 Saturn SL2 as a Trade In and found that my car, even in excellent condition, is only worth about 2k. Not that I am in the market for a new car yet. It's paid off and I will run it until it dies or my daughter needs one in 10 years. I only have 97k miles on it.

My wife just got, well about 1.5 years ago, a Dodge Caravan and we have to pay that off before I can think about a new car for myself.
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Re: New Car

Post by Boogahz »

I would tend to believe what the dealer says is the trade-in value...at THAT dealership. You will probably be getting different amounts from different dealers, and also be able to negotiate the amount they will give you for it. Keep in mind that they will need to be able to get something out of the car after they get it from you as well.
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Kluden
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Re: New Car

Post by Kluden »

I would not give a witch's tit what a dealership asswipe would ever say. At least this one had the courtesy to let you know before you came in that he has your anus in his sites for insertion.


Basically, don't worry about what you're car is or is not worth. You know its right around that value that you owe, so you should expect the dealership to pay it off, no problem, and no cash forward onto your new purchase.

I would see what the current leasing options are and at what price, let them know you are fine with it as long as they pay off your current loan, and make a deal. If they tell you they can't do that (which they NEVER say "can't" or "no"), just walk out. They will call you the next day with the "ability" to make that deal...and if they really can't, fuck them, go to another dealership. Get everything in writing, cause no matter how nice they are to you, they ALWAYS, and I mean ALWAYS, want to insert into your anus.

This is what I would do:

Subbie Impreza 2.5i premium wagon thingy: The current three year lease deal from their website (local to DC area) is:

SPECIAL LEASE OFFER* ON 08 SUBARU IMPREZA (8JA)
Now through January 5, 2009 - $159 per month for 36 months with $1,499 due at lease signing. $0 security deposit. Tax, title and registration fees extra. Other leases available on other models. Cannot be combined with any other incentives.


You then go into the dealership, tell them to show you the car that this deal applies to. You test drive it, if you like it, you tell them you will take the deal IF they pay off your old car AND pay the money due at signing, along with ALL fees. basically, you are saying, "I want to swap cars with you, and I will start paying $159 a month starting in 30 days."

They will say no, so you leave, and they will call you within 24 hours...meet somewhere in the middle, but not too close to the middle. Keep your edge. And always remember, don't fall in love with the car, and you don't NEED a new car...


edit: I know this sounds all hard ass and douchy...but seriously, these guys are car salesmen...what respect do they deserve from you? They are trying to make money off of you, they are not your friend, and never were nor will be.

Also, for car value, you can print up the prices that your current vehicle is going for with similar features and mileage from somewhere like carsDOTcom and then subtract 2500 or so from that number and use that.
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Re: New Car

Post by Truant »

If you're going to trade in a car at a dealership, you are NEVER going to get what it's worth. That's just how the business works.

If you want the full value for your current car, sell it yourself. Then go lease your new car.
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Re: New Car

Post by Pherr the Dorf »

Trade values are way off everywhere, the market is in a state of flux that leave long term managers shaking their heads. Here is an example.

Feb 08 Honda civic LX, 9k miles - $13,800
May 08, the same car was traded in with another 1500 miles for $16,200
Today $12,200

That is a civic, something that holds value. Right now dealers don't give a fuck what KBB says, they care what the book will be in 90-120 days because in this slowdown that is the turn rate on anything that is not a pure bread and butter car (civic, accord, camry, corolla and not much else). You are always looking 2 books down the road because you have to. Right now a dealer doesn't want a tiburon (specialty niche car) to be honest, nothing will screw up a good car deal like a trade in right now. During the summer we were booking out cars on a Saturday and seeing a $500 book drop by Monday, the carnage out there is staggering, dealers everywhere are buried in large ticket vehicles for $6-12k over wholesale, and they can't even find a buyer at that price. We just bought 15 cars from a rental fleet, each of those cars got packed $500 to offset $7,500 in writedowns on old age units, we will be doing that for the next 6 months, twice a month.

If I booked out your car right now (and I did actually) the real numbers are probably $5k for a stickshift and $5,800 for an automatic in my market

Best advice, hit up the internet department for whatever type of car you are looking at, get 3 bids, take the best bid to the local guy and say, will you do this. If you are getting the best deal on the car you are buying you also need to be realistic on your trade.
Basically, don't worry about what you're car is or is not worth. You know its right around that value that you owe, so you should expect the dealership to pay it off, no problem, and no cash forward onto your new purchase.
Thanks for that, I needed that good of a laugh. What you owe has absolutely nothing to do with it's worth... had he put 5k more down would his car magically be worth 5k less right now? When you pay off your car is it now worthless? If you buy a Dodge Ram 2500, put 0 down and finance it for 6 years will it ever be worth what you owe for the first 5 years of the loan?
The first duty of a patriot is to question the government

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Raistin
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Re: New Car

Post by Raistin »

I have to say something about this. My local Nissan dealership is offering me even trade on my 2007 Eclipse GT. It has 21k miles on it, and a few scratches. Nothing bad. Edmonds.com ( Go there, best place to get info) has my car at fair condition trade in value at like 13.6-14.2k. I took out another loan on my car to build credit when I got back to the states, and it sits at 15.5k for the loan.

Pretty good deal for the trade in. 370z here I come!
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