Surprising truck trade in value.

[Jerry1]

Interesting thing happened as I worked up a price on a new truck. Has to do with my trade in. I bought a truck two years ago. Total out the door was $40K. Ended up with a trade in of $34K plus I will get $1,700 back on the extended warranty that was not used. Therefore, $40K-$34K-$1,700 equals $4,300. So about $2K per year (actually 2yr+4mos). Not too bad. In terms of mileage, things were pretty good too. I drove about 20,500 miles. So, total cost per mile was about .21 per mile.

I don't think there's any chance that will happen again but if it was possible, I'd buy a new vehicle every couple years. That ended up being a pretty good deal. I attribute it to having a GM employee discount and buying the truck when they were clearing out a model year. So I got a good price going in. I'm pretty happy with the way the value held up. The actual price for the truck was $35,500 (before taxes and extended warranty), so at $34,000, it hardly depreciated at all.

I should wrap up the deal early next week and will post the new truck in the blow that dough thread.

 

[ExFlyBoy5]

Interesting thing happened as I worked up a price on a new truck. Has to do with my trade in. I bought a truck two years ago. Total out the door was $40K. Ended up with a trade in of $34K plus I will get $1,700 back on the extended warranty that was not used. Therefore, $40K-$34K-$1,700 equals $4,300. So about $2K per year (actually 2yr+4mos). Not too bad. In terms of mileage, things were pretty good too. I drove about 20,500 miles. So, total cost per mile was about .21 per mile.

I don't think there's any chance that will happen again but if it was possible, I'd buy a new vehicle every couple years. That ended up being a pretty good deal. I attribute it to having a GM employee discount and buying the truck when they were clearing out a model year. So I got a good price going in. I'm pretty happy with the way the value held up. The actual price for the truck was $35,500 (before taxes and extended warranty), so at $34,000, it hardly depreciated at all.

I should wrap up the deal early next week and will post the new truck in the blow that dough thread.

The car/truck market it pretty crazy! I have mentioned here a couple of times that when I sold my 2018 F-150 (bought used from CarMax) after having it for about 14 months, Carvana paid me MORE than I paid for it. I don't expect that to EVER happen again.

 

[Surewhitey]

Used vehicles in general have held or increased in value it seems the past couple of years. My wife's Avalon is up from the purchase price of 2 years ago according to KBB.

In other news, "there's no inflation"...

 

[oiseux]

There is a worldwide shortage of Automobile parts, which is limiting new production, as demand surges as the world advances from the lockdowns. This is also contributing to increased demand for used vehicles (plus we are seeing fewer used cars come into the system due to reduced wear and tear and lower fleet refresh).

 

[Aerides]

Interesting. I searched for my car (2015 audi) on KBB and came up with an estimate I'd expect - about 30% down in price, but then again it's not a 2 year old car.

Between steel and tariff prices of the past couple of years though, I could see why some newer cars have gone up a lot, which would float up the prices of nearly-new ones as well.

But shoot yeah if I could trade a car in for a new one every two years for about $2k... that's better than the best lease.

 

[braumeister]

DW just sold her car to Carmax today, anticipating delivery of her new ride next week. She got about $2K more than we expected after researching trade in values online -- actually pretty close to the expected private sale price. So there must be a shortage of good used vehicles now.

 

[ncbill]

It's insane...I'm buying out a lease this summer...normally I could get a used one for thousands less, but now used one are so close to the residual it's just easier to keep it.

 

[Out of Steam]

Relieved that we can probably postpone a new car purchase for 12 to 18 months, which would be for my wife. I'm having trouble with the idea that anything we buy new will be $35K.

 

[copyright1997reloaded]

I just ran a Kelly Blue Book estimate on my truck (2015 F150 XLT w/302 pkg.) Average retail on it is only 6K less than the 34K I paid for it 5+ years ago. Average trade is 2.5K below that.

I'm in no hurry to sell it, as my other vehicle is a 2006 Outback with lots of miles and I would likely need to just use the $ towards a new truck/other vehicle. Besides, I got this truck to keep - added an Undercover color matched hard shell, have an extra set of wheels w/snows, and did considerable upgrades to the sound system (in-line amp, sub including wiring from battery, nice Focal speakers Front & Rear, sound deadening in doors, etc.)

 

[corn18]

I just ran my 2015 Chevy 2500HD work truck through Carvana and they offered me $28,400. I paid $24,500 a year ago. I have sold 2 cars to Carvana and their offers are real.

 

[RVplusDog]

I got a great deal trading in my used Jeep Wrangler for a new one. 65,000 miles and almost 4 years old, too.

Maybe related - we mentioned to one person that we were thinking about maybe selling our RV in the future, and there are people lining up to buy it.

 

[Jerry1]

So beyond anything I’m used to. Homes being bought for cash offers ABOVE offer price. Trade ins coming in at the values we’re discussing. And, when I went to buy my new truck, I was lucky to get a salesperson who “tagged” the truck I wanted because all the trucks on his lot were spoken for. Mine was in transit. I practically bought it sight unseen. I certainly gave a gentleman’s agreement to buy it unless I found something wrong when it came in. Crazy.

 

[teetee]

$4300 lost from two years of motoring is a pretty bad deal from my perspective, but my first car lasted for 17 yrs and I bought it for $4k so my perspective is probably on the other end of spectrum.

My last car was in a crash and got totaled after roughly two years of ownership (2017 Dec. - 2020 Feb.) The insurance money I received after the accident added up to $7k. I bought the car for $6k. That was a ok deal (no lasting damage to my body).

The money you lost is largely from new car depreciation. It is more of a "I lost less" kind of thing.

 

[ExFlyBoy5]

I just ran my 2015 Chevy 2500HD work truck through Carvana and they offered me $28,400. I paid $24,500 a year ago. I have sold 2 cars to Carvana and their offers are real.

Yes they are. We have sold 2 cars through them and the process was astonishingly easy. I can't think of a better way to sell a car, really. Both were sold for prices that we quite a bit higher than KBB estimates.

 

[finnski1]

Yes they are. We have sold 2 cars through them and the process was astonishingly easy. I can't think of a better way to sell a car, really. Both were sold for prices that we quite a bit higher than KBB estimates.

Same here. It was the easiest car transaction I have ever had.

 

[street]

Interesting thing happened as I worked up a price on a new truck. Has to do with my trade in. I bought a truck two years ago. Total out the door was $40K. Ended up with a trade in of $34K plus I will get $1,700 back on the extended warranty that was not used. Therefore, $40K-$34K-$1,700 equals $4,300. So about $2K per year (actually 2yr+4mos). Not too bad. In terms of mileage, things were pretty good too. I drove about 20,500 miles. So, total cost per mile was about .21 per mile.

I don't think there's any chance that will happen again but if it was possible, I'd buy a new vehicle every couple years. That ended up being a pretty good deal. I attribute it to having a GM employee discount and buying the truck when they were clearing out a model year. So I got a good price going in. I'm pretty happy with the way the value held up. The actual price for the truck was $35,500 (before taxes and extended warranty), so at $34,000, it hardly depreciated at all.

I should wrap up the deal early next week and will post the new truck in the blow that dough thread.

I would say you done very well.