cy7878

iTrader: (1)

it's always a bad idea to trade in a car that is so new.... The dealer can't (or won't ) give you much for it because if they price the car close to new, no body will buy the used car. I bought my G for 38.4K, MSRP was 41.8K. Even if the dealer had a used one with same options, but with 4000 miles on it for 36K, I still wouldn't buy it because someone drove the car for 4000 miles and decided they didn't want the car.

The dealer will have to make a profit on your trade.

blitzebill

I bought my 09 G sedan x for $35K out the door in October 09.

Last week, the dealer was willing to give me $25K for it as a trade.

I said no. Was that a good trade-in figure? Not good enough for me. My car has 9,600 miles on it. Still smells new inside.

Itchytoe

N.A.D.A. Home Page

cy7878

iTrader: (1)

although I did buy a 2010 Hyundai Sonata for 15k+fees. drove the car for 16 months and put 34000 miles on it. Carmax gave me 12k for it last month.... Cheap cars are cheap to buy and doen't depreciate as much I guess.

UN1263

Carmax is the biggest con going but most car buyers are stupid, which makes Carmax successful.

Put your car on Craiglist with lots of HQ pictures for $39,000 obo. Hold tight. Someone will realize they can get a slightly used '11 at a good discount WITHOUT paying 5-7% sales tax AND without paying those BS added dealer profit $600-700 doc fees. Even if you negotiate to $37,500 you still came out way ahead.

Remember, the used car market is VERY VERY strong right now especially for late model lightly used cars. There are no clean late model cars going through the dealer auctions.

The biggest mistake the vast majority of car buyers/car traders make is making quick irrational decisions. Take your time and walk away from trades/deals. When you walk away, you are in control not the sales weasel or his sales manager.

Whatever you are looking to get after this car is not the only one in existence and this dealer who offered you $34,000 isn't the only dealer in your state. I can think of dozens of car deals I've walked away from over haggling over the last $500. The way you look at that last $500 is how long do you have to work to bring home/net $500? For many people it's a half a week to a week's pays so if you let that dealer have that $500 because you are weak, you get to work next week at work for free.

If you let this dealer give you a $3000 bath on your trade in, how long do you have to work to bring home $3000?

gooddeal

You must be smoking something good...j/k.

1. Only a couple states that you don't have to pay sale tax on the used cars.

2. You just mentioned in another thread they should get at least 6k off on a new 2011 when there's only 1 dealer in town. So, a 45k car is selling now for 39k or less. If you think that 37.5K is a good deal (especially at private party), many people here would love to sell you their one year old. Heck, I might be willing to drive from PA to GA to deliver you the car.

UN1263

The point was the car is only worth what someone is willing to pay for and the used car market is overly priced at the moment. In the other thread $4K off msrp for a new '11 is supposedly deal many would take. So if this '11 car with only 4K miles, which MSRP'd at 45K is a great new deal 4K off at $41K, why would you not list this car for $39,000 slightly used? So what if you take $37,500 for it?

Also, the sales tax issue is if this car were traded to dealer and resold at the dealer as a used vehicle. Most states charge sales tax on used vehicles sold at dealers. So if the dealer has this car for $39,000 or Joe Bob has this car for $39,000 on craiglsist, I'm calling Joe Bob to save ~$2700 in sales tax. Not to mention the sleazy dealer is going to add $600-$700 in BS doc fees to the total. Even if the car is sold for $37,000 privately, the 'trader'/seller comes out way ahead just as the purchaser comes out way ahead because surely you wouldn't believe if they give him $34,000 for this trade they are going to list it for only $37,000.


The privately sold used car market is through the roof right now, so don't lose your rear trading cars.

gooddeal

No, most states still charge sale tax on used cars even at private party.

dawei213

That's right. You'll have to pay tax when you title and register your car in your state. No way around it.

RISKY GUY

iTrader: (9)

A prívate party you can manipulate the price.
Dealership sales agreement/contract is gonna show to the penny.

Friend of mine sold a coupe privatly , he saved the new owner major

tejasg37x

Any state that has sales tax requires you to pay sales tax on a used car when you register it the first time.
On a 2011, I don't think you can get away with claiming a friend sold it to you for $500 like some people do when they buy $5000 cars.

Also need to remember when buying a car at a dealer and trading a car, you are only taxed on the difference between the car you are buying and the car you are trading, not the full value of the car you are purchasing.

Itchytoe

If I'm not mistaken, not all states only require taxes on the difference. Don't some still require taxes on the full purchase price?

cy7878

iTrader: (1)

depends on the state.

gooddeal

In PA, the DMV starts sending letters to those who have the sale prices much lower than the blue book values and asking them for the reasons.

tejasg37x

There's two words for that...tax fraud.

Many states are now using blue book value to determine sales tax for cars purchased through a private sale.