Toyota: Toyota trade-in values

Used cars are very low in value these days because of 0% financing on
new cars.

I'll tell you what a dealer told me once on used cars. "We can't
speculate on used cars". In other words, they have to price every
trade offer as it it will take many, many months to move the car.



"Beeswing" <com> wrote in message
news:aol.com... 
one -- have 
in? I'm 
to sell me 
an outright 

"Beeswing" <com> wrote in message
news:aol.com... 
have 
I'm 
sell me 
outright 

It's not just Toyotas, all dealers will lowball your trade regardless of
brand. They're in the business of making money off the sale of vehicles.
And like they say, there's a sucker born every minute. If they are
unwilling to bargain at all, then sell it outright or go to another dealer
and try again.

Think of it this way - would you offer a dealer the highest price you were
willing to pay for a vehicle immediately - or would you start out low and
work your way up? It's works the same on both sides of the fence ;-)

If you have a CarMax near you, take your old Toyota there for an
independent price. If they offer a figure and it looks good - sell it
to them.

Beeswing wrote:
 

One of the perplexing things about owning a new car dealership
is the relationship of used car sales to new car sales. The
average new car sale is 60 to 90 days. Meaning a viable dealer
turns over his new car stock in two to three months. On the
other hand the average used car sale is 90 to 120 days. During
that time, unlike his new cars, the used car is depreciating
until it is sold. For a new car dealer to make a profit on the
new car sales he must move out his used cars, or tie up his
capital on used cars rather than new cars, on which he must pay
interest. Contrary to what some in the NG's would have you
believe any viable new car dealer that sells his allocation of
new cars MUST retail or wholesale 1/3 of his trades every month
since nearly every new car sale involves a trade. If
you see a vehicle sitting on a new car dealers lot for three
months, go make a reasonable offer over wholesale and he will
jump on the deal, especially if it is still covered by the
factory warranty..



mike hunt

You will always do better buying without a trade. Then of course
you have the same problem the dealer has when you
try to sell your car, a trade.




mike hunt




Beeswing wrote: 

You must be selling vehicles that are of little value. Selling a
car worth say 20K after buying one that costs 30K will cost you
some big bucks in a state that has a sales tax. At 7%, for
instance, that's $1,400. You are better off obtaining a buyer
for your car before you buy the new car and doing a trade through
to save the double taxation.


mike hunt




"Bruce L. Bargeman" wrote: 

On 29 Aug 2003 03:58:34 GMT, com (Beeswing) wrote:
 

you're generally better off ($$ wise) selling it yourself.

Apparently you were shopping a dealer that is trying to make his
money in the used car business, not the new car sales. The
reason is obvious as to why he is not selling enough new cars.
Next time a dealer asks why he should give you more for your car
in trade than the price he can buy them at action, tell him
because if you expect me to buy a new car from you, you will need
too. It is sort of a catch 22 for dealerships. The new car
business is very competitive today. To make money a dealership
must do high volume sales at lower profits, sort of like WalMart
does. If they don't sell enough new cars, they will get a lower
allocation of new cars from the manufacture. Then they have to
buy used cars to sell or give lower trade prices to generate more
profits on the new cars they do sell. By giving higher trade
price they WILL sell more new cars since every dealer pays the
manufacture the same price for vehicles. by selling more the
dealers earns a bigger allocation. The dealerships that continue
to grow are those the sell the most new cars in their market and
continue to gain new customers by doing so. Those that eventually
fail do so by getting into the used car business. They forget
that used car buyers are generally less affluent then new car
buyers, buy less often and there are a lot more place to buy used
cars than new cars.



mike hunt



Don Noble wrote: