Trade in question
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Member
Joined: Jul 2014
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CL
Trade in question
I’m about to pick-up a 2020 G63 and have an RR to trade-in.
I know the proper way is to shop around for the best trade-in price before proceeding with a dealer.
But being that I’ve already put down a deposit and waited 18 months for this truck, I obviously have zero leverage negotiating the value of my trade-in.
Are there any ways to better position myself ?
Any ideas would appreciated.
I know the proper way is to shop around for the best trade-in price before proceeding with a dealer.
But being that I’ve already put down a deposit and waited 18 months for this truck, I obviously have zero leverage negotiating the value of my trade-in.
Are there any ways to better position myself ?
Any ideas would appreciated.
Joined: Dec 2019
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From: Marineland FL
'27 EQG deposit, '22 F8 Spyder, '20 Fat Boy
Try Autonation online and KBB to find out how much you can get from someone now, and expect at least that much from the dealer, which will net you more based on the tax savings.
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Soon: 2020 G63 Currently: 2016 GLE63 SUV + 97 F250HD, Before: 2013 G550, Range Rover Sport, 1984 CJ7
Dealer is gonna deal! Expect 10% less than you should...
Better off selling it to a private party or other. Though - the paperwork may not be worth while, just have your number ready and firm and try to get the dealer to meet you in the middle.
Better off selling it to a private party or other. Though - the paperwork may not be worth while, just have your number ready and firm and try to get the dealer to meet you in the middle.
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Here's an idea - go buy some lube. You said it yourself - you have absolutely no leverage. In fact, it's possible that they will be even bigger a-holes than usual on your trade, because they probably think they can make more money on the G63 from someone else (unless you have a wacky build). No way will they give you KBB private party value, unless you are a great (I mean 2-3 cars a year great) repeat customer in a small market.
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From: NC
2026 G63
Twice now I have used Carmax to get quotes for trade in that allowed me to get a higher number from the dealer. I didn't expect the dealer to match but because of the tax savings it ended up working out the same. Should Carmax come much higher you can just sell to them and use the money to put down on your G. Just be aware that Carmax offers are only good for 10 days I think, and if they give you money for your vehicle I believe it takes a week or so for the cashier's check to come through so the money isn't immediately available. I've not done it before but that's the conversation I remember a few years ago.
You can always get a number from the Land Rover dealer too on a straight sell and no purchase, but I imagine they will give you an even lower number since you aren't buying from them.
I don't like messing with private party and the headaches although that's the way to get the most for your old car. Having to deal with random people wanting to test drive and then going to the bank and/or DMV to transfer titles etc is too much of a hassle for me.
Also in terms of appraisals online, I've found edmunds' appraisals for "average" condition is the most accurate. KBB etc were a lot higher than the dealer offered.
You can always get a number from the Land Rover dealer too on a straight sell and no purchase, but I imagine they will give you an even lower number since you aren't buying from them.
I don't like messing with private party and the headaches although that's the way to get the most for your old car. Having to deal with random people wanting to test drive and then going to the bank and/or DMV to transfer titles etc is too much of a hassle for me.
Also in terms of appraisals online, I've found edmunds' appraisals for "average" condition is the most accurate. KBB etc were a lot higher than the dealer offered.
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2020 Toyota Land Cruiser Heritage Edition
The tax savings is something that I think a lot of people don't take into consideration. If you can get reasonably close to the same from the dealer on trade versus private sale, it makes a lot more sense to trade in to the dealer. The tax you pay on the new vehicle will be based on (([price of the new car] - [trade in amount]) * [state tax rate]). Six or more percent of (for example) $70K, mostly makes up for a lower trade in value. If you factor in the potential hassles of selling privately, it's kind of an obvious move to make. If, by some miracle, you can get something like $20K more on a private sale and will only have to pay a few thousand more on taxes on the new car, then it's obviously worth the hassle of a private sale.
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Joined: Jul 2019
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2019 G550
My dealer wanted to low ball me about 10% on my trade in.
Went through KBB and found a dealership who bought my vehicle for more than I was hoping for.
You do loose the trade in tax incentive if your state allows that (Texas does).
Went through KBB and found a dealership who bought my vehicle for more than I was hoping for.
You do loose the trade in tax incentive if your state allows that (Texas does).
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From: Nj
mclaren 720s
i have exact same situation with my RR. Buying the G and by the time it arrives, my RR will still have about 6m left on lease... the RR depreciate like a rock falling so never buy those....
so,
1- i can sell to dealer and take a loss but j get a deduction on sales tax for G purchase
2- pay off remaining lease payments
3- keep it with G for remainder of 6-7m....
4 private sale
#4 too annoying; #3 issue because i have alot of cars and garage space an issue; #2 maybe
going with #1 right now give sales tax savings and less hassle.... thoughts?
so,
1- i can sell to dealer and take a loss but j get a deduction on sales tax for G purchase
2- pay off remaining lease payments
3- keep it with G for remainder of 6-7m....
4 private sale
#4 too annoying; #3 issue because i have alot of cars and garage space an issue; #2 maybe
going with #1 right now give sales tax savings and less hassle.... thoughts?
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Member
Joined: Jun 2014
Posts: 178
Likes: 48
2020 Toyota Land Cruiser Heritage Edition
i have exact same situation with my RR. Buying the G and by the time it arrives, my RR will still have about 6m left on lease... the RR depreciate like a rock falling so never buy those....
so,
1- i can sell to dealer and take a loss but j get a deduction on sales tax for G purchase
2- pay off remaining lease payments
3- keep it with G for remainder of 6-7m....
4 private sale
#4 too annoying; #3 issue because i have alot of cars and garage space an issue; #2 maybe
going with #1 right now give sales tax savings and less hassle.... thoughts?
so,
1- i can sell to dealer and take a loss but j get a deduction on sales tax for G purchase
2- pay off remaining lease payments
3- keep it with G for remainder of 6-7m....
4 private sale
#4 too annoying; #3 issue because i have alot of cars and garage space an issue; #2 maybe
going with #1 right now give sales tax savings and less hassle.... thoughts?
This brings up another big consideration. If the current car still was purchased (not leased), but is not paid off yet, then a private sale becomes more complicated. Trading in to a dealer in this case is a lot easier because they take care of paying the remaining loan off and getting the title transfered. You still get the tax savings for the full trade in amount and then any equity you have in the car (trade in value - remaining loan amount) becomes part of your down payment.
Super Member
Joined: Jan 2020
Posts: 551
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From: Nj
mclaren 720s
The lease situation throws in extra complications because you don't own the vehicle, or have equity on the trade in value minus any remaining loan amount.
This brings up another big consideration. If the current car still was purchased (not leased), but is not paid off yet, then a private sale becomes more complicated. Trading in to a dealer in this case is a lot easier because they take care of paying the remaining loan off and getting the title transfered. You still get the tax savings for the full trade in amount and then any equity you have in the car (trade in value - remaining loan amount) becomes part of your down payment.
This brings up another big consideration. If the current car still was purchased (not leased), but is not paid off yet, then a private sale becomes more complicated. Trading in to a dealer in this case is a lot easier because they take care of paying the remaining loan off and getting the title transfered. You still get the tax savings for the full trade in amount and then any equity you have in the car (trade in value - remaining loan amount) becomes part of your down payment.
Thread Starter
Member
Joined: Jul 2014
Posts: 143
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CL
i have exact same situation with my RR. Buying the G and by the time it arrives, my RR will still have about 6m left on lease... the RR depreciate like a rock falling so never buy those....
so,
1- i can sell to dealer and take a loss but j get a deduction on sales tax for G purchase
2- pay off remaining lease payments
3- keep it with G for remainder of 6-7m....
4 private sale
#4 too annoying; #3 issue because i have alot of cars and garage space an issue; #2 maybe
going with #1 right now give sales tax savings and less hassle.... thoughts?
so,
1- i can sell to dealer and take a loss but j get a deduction on sales tax for G purchase
2- pay off remaining lease payments
3- keep it with G for remainder of 6-7m....
4 private sale
#4 too annoying; #3 issue because i have alot of cars and garage space an issue; #2 maybe
going with #1 right now give sales tax savings and less hassle.... thoughts?
you’d have to compare #1, how much the dealer is willing to pay for your RR vs. the payoff quote, factoring in tax savings....and #2, your remaining lease payments.
It’s very possible you’re ‘upside down’ and #2 might well be your best option.
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2020 Toyota Land Cruiser Heritage Edition
I have absolutely no experience with leases, but is my understanding correct that Option 1 would require the Mercedes dealer to pay off the remaining 6 months of lease payments, plus any residual value on the RR, plus any early lease termination penalty amount?
Super Member
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From: Nj
mclaren 720s
no real difference than a finance... a lease has a buyout. no penalty.... simple purchase of lease which has been done and whatever purchase is vs lease buyout is your money owed.... only car i every leased is RR because of their awful depreciation.
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spourreza - Without knowing the details of your lease, it's hard to determine the best solution. I'd bet your lease buyout is way more than it's worth since that's the whole point of leasing the RR!!! Add that $5-10 (probably more like $15-20) in negative equity onto a G63 deal with an ADM and you're gonna need more lube than the OP. I noticed in another thread, your move to a G is based on depreciation. IMO, the new G63 will not hold it's value anywhere close to the way the old one did/does - they have made (and will make) waaaayy more due to demand and prices will drop like any other high end SUV within the next year or so.
Thread Starter
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Joined: Jul 2014
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CL
spourreza - Without knowing the details of your lease, it's hard to determine the best solution. I'd bet your lease buyout is way more than it's worth since that's the whole point of leasing the RR!!! Add that $5-10 (probably more like $15-20) in negative equity onto a G63 deal with an ADM and you're gonna need more lube than the OP. I noticed in another thread, your move to a G is based on depreciation. IMO, the new G63 will not hold it's value anywhere close to the way the old one did/does - they have made (and will make) waaaayy more due to demand and prices will drop like any other high end SUV within the next year or so.
It should hold it’s value like a wrangler, 911, etc ... vehicles that slowly evolve over time.
Last edited by CL5504Matic; Feb 7, 2020 at 12:56 PM.
Super Member
Joined: Jan 2020
Posts: 551
Likes: 181
From: Nj
mclaren 720s
spourreza - Without knowing the details of your lease, it's hard to determine the best solution. I'd bet your lease buyout is way more than it's worth since that's the whole point of leasing the RR!!! Add that $5-10 (probably more like $15-20) in negative equity onto a G63 deal with an ADM and you're gonna need more lube than the OP. I noticed in another thread, your move to a G is based on depreciation. IMO, the new G63 will not hold it's value anywhere close to the way the old one did/does - they have made (and will make) waaaayy more due to demand and prices will drop like any other high end SUV within the next year or so.
