Automotive

Trade in advice please

  • Last Updated:
  • Jul 15th, 2018 11:42 am
[OP]
Newbie
Jul 10, 2017
3 posts

Trade in advice please

Hey guys,

Can you give me advice. I wanted to trade in my mazda cx3 awd gx 2016 with 50K mileage to a honda crv 2018 EX.

The dealer will buy my car and give me the lien price which is $13,000 and i will pay monthly the crv for $460 monthly for 84 months.

If i calculate, the 460 for 7 yrs is $38,640. I know price of the honda crv model ex ranges from $35,000 to $36,000 for a new vehicle with $220-250 biweekly from auto trader

Is this a good deal? Can i trade in my car for a higher price than the lien price to other dealer?

Thank u!
10 replies
Deal Addict
Dec 27, 2007
2698 posts
575 upvotes
Edmonton
If this was my car and I didnt know anything about being a mechanic and wanted a Honda CRV, i would sell it privately and then buy a used CRV for 10-15k so I have little or no debt.
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Deal Expert
User avatar
Jul 30, 2007
21274 posts
6154 upvotes
Toronto
Any reason you want to take on even more debt for 7 yrs ?

Cx3 is giving you problems ?
Member
Dec 13, 2006
394 posts
107 upvotes
If your car is in good shape, I suggest you call used car dealer or other car place and offer your vehicular to them.

Since you do not need the tax to be applied on your new vehicule (they offer lien price... On a lease)

Last year I was trading in a rav4 that was on a lease.. Audi dealer where I bought new car was offering 24k - 500 toyota fee. .. I had 25.5k lien...

A used car dealer... Affilied with Toyota gave me 25.5k withoit any fee.

Car dealer might not want to buy your car if you are not buying from them... Toyota basicly spitted in my face and did not even gave me an offer for my Rav4.. They have full of them...
[OP]
Newbie
Jul 10, 2017
3 posts
Yes. I think i got a lemon.

Few months ago, they change transmission and couldnt tell me what happened to it. Then just tecently there was a leak in the compressor. Good thing its still under warranty so i didnt have to pay anything but im sick of it. And mazda’s maintenance fee is higher compared to honda, i asked my friends who have crbs and civic to compar.
Deal Addict
Nov 8, 2005
1920 posts
508 upvotes
I have sold 3 cars privately. It's a massive pita, but in the end I've walked away with thousands more in my pocket because of it. As long as you can be patient you'll always get more than the dealership will offer you. Many people are willing to pay the thousands for the 'convenience' factor but I was not.

If selling privately put it on kijiji, and Facebook marketplace. Unfortunately though there's less market for vehicles that cost 10k+ as people generally scour those sites for sub 5k vehicles. Anything more and most people need to obtain a loan as you won't offer financing. But I sold a 10k car to someone who got a loan from a bank to buy it from me.
Deal Expert
User avatar
Jul 30, 2007
21274 posts
6154 upvotes
Toronto
I see. I guess trading it in may be better than (no further headaches in answering to potential buyers to explain what could be wrong with the car if they should ask for all maintenance records).

The trade in is probably $750 - $1000 below what I would expect.

If the crv payments are ok with you, then you should consider it then.
Deal Expert
User avatar
Oct 28, 2004
20013 posts
1712 upvotes
Toronto
tim-x wrote:
Jul 14th, 2018 8:13 am
I have sold 3 cars privately. It's a massive pita, but in the end I've walked away with thousands more in my pocket because of it. As long as you can be patient you'll always get more than the dealership will offer you. Many people are willing to pay the thousands for the 'convenience' factor but I was not.

If selling privately put it on kijiji, and Facebook marketplace. Unfortunately though there's less market for vehicles that cost 10k+ as people generally scour those sites for sub 5k vehicles. Anything more and most people need to obtain a loan as you won't offer financing. But I sold a 10k car to someone who got a loan from a bank to buy it from me.
this - selling privately will always net you more $$ but it takes longer and you have to deal with tirekickers, lowballers and have to make time for people to see the car and test drive. I've sold 1 car previously privately (and that was pretty smooth and painless) and currently selling another car in my sig.

Some folks will want the convenience and easily deal with the dealer for the trade-in - it is definitely easier and quicker and you'll get less but sometimes, time is more important than the $$....

Hard to tell if your trade-in $$ is a good amount but knowing the dealer, if they are going to re-sell the vehicle they'll need to make some money off it too....gluck!!
Deal Fanatic
User avatar
Jul 12, 2003
9119 posts
1721 upvotes
Markham
Sell it private can always get more money than trade it in BUT not everybody want to hassle to meet with strangers and go through the test drives. A lot of people is not comfortable with it.
Plus if OP's car is probably a lemon, it raise another difficulty to sell it private.

If financially, you are OK to take a loss of selling a brand new car only 2 years after and you can afford the money for the Cnew RV, then I don't see a problem.
How's the finance rate for a CRV for 84 months? You don't want to pay a high interest rate for a car for 7 years. If you need to split out the payments longer to afford the car, maybe buy a smaller or different car which cost less?
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Deal Fanatic
Nov 2, 2013
5246 posts
1114 upvotes
Edmonton, AB
The dealer will buy my car and give me the lien price which is $13,000
Dealer will always rip you off. They must make money in 2 ways:
- Resale to the next buyer at market value.
- To compensate for the risk they are taking on having the vehicle sit and depreciate by thousands, before it is sold. By trading in your vehicle, you offload this risk to the dealer. However, given it is a Honda, which holds tremendous resale value and is a very popular used vehicle choice, selling privately will be easier to do so than most vehicles, and you're better off that way. Unless you work a busy job/business where your time is very expensive, where then the loss incurred via trade-in may be lower than the lost income.

One additional problem with private sale of higher cash value vehicles is the dealer(s) have a comparative advantage - they often have financing options for the buyer where you do not. Many private vehicle buyers don't have that much cash and need financing. Also, with financing it's easy to ask for extra money for a vehicle(s). It's easier for them to sell a vehicle than you will. I've been through this with both my Toyota Tundra and BMW X5 5.0 - buyers wanted my vehicles, but they could not get financing to give me the cash.

On the positive side, you get tax credit. That is, on your next purchase, you only pay tax on the difference between your trade-in value and the purchase price of the new vehicle.
and i will pay monthly the crv for $460 monthly for 84 months.

If i calculate, the 460 for 7 yrs is $38,640.
Is this a good deal? Can i trade in my car for a higher price than the lien price to other dealer?
Do you picture yourself having that thing for 84 months, or are you going to repeat the same process down the road before then? Does $38,640 to spend on a Honda SUV seem like a lot to you? Only that you can answer.
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Sr. Member
Oct 26, 2009
817 posts
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FirstGear wrote:
Jul 15th, 2018 10:30 am
However, given it is a Honda, which holds tremendous resale value and is a very popular used vehicle choice, selling privately will be easier to do so than most vehicles, and you're better off that way. Unless you work a busy job/business where your time is very expensive, where then the loss incurred via trade-in may be lower than the lost income
How does higher resale value of a Honda help him? He's trying to get rid of his Mazda.

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