[tjsaharaio]

Hello, I recently traded in "my" TJ 2004 Sahara Wrangler with only 67,500 miles. Although the resale value of the wrangler is the highest rated of any model car, I feel that it was a bit of a challenge to get much information on the best way to value the wrangler. It was a tough choice to trade in (I had to get a bigger car due to family, etc) versus buy a car while keeping the wrangler to have two cars.

I think it would be good to have a dialogue on what one can do when buying, selling or trading in a wrangler because it seems that dealers don't give the wrangler the value it deserves given the true nature of true high wrangler demand. I hope this thread will help folks to make the best decision.

I'd love to hear what anyone did with their jeep under the circumstances of selling, buying or trading. It my specific case:

2004 Sahara Wrangler
Automatic, fully loaded (A/C, cd player, rear defrost and wipers, etc), hard top, all stock parts (no mods whatsoever)
67,500 miles (city car, never off-roaded)
Minimal to no accidents, paint issues, etc
Some rust under car due to driving in northeast
Fixes that needed to be made during trade-in: 1st two levels of heat stopped working, bass in back speakers need to be fixed (speakers may need to have been replaced), possible leak because front floor mats would get wet overnight but hard top was solidly bolted and in excellent condition.
Traded in for $8600.00 (to be sold at wholesale auction, or so they said)
Resale value researched, possibly could sell for $13,500, with $1500 repairs to heat and speaker system.

Question: Was this a good trade-in value? Better to do private sale even though state has strong consumer protection lemon laws?

I look forward to hearing everyone's thoughts and experiences. Thanks!

 

[pwain]

If you trade in a vehicle with known issues, expect the low end. Even if the fix seems easy, that buyer is putting their name to the guarantee of turning a profit. Dealerships take trades to make money.

Seasonality and location can greatly impact resale value. The value of your vehicle is only what others are willing to pay.

 

[spinlock]

You will *always* pays a dealer for the convenience of trading in any vehicle including any Jeep. You can always get more by selling it yourself, unless the convenience is worth a few thousand dollars to you.

 

[kik]

You will *always* pays a dealer for the convenience of trading in any vehicle including any Jeep. You can always get more by selling it yourself, unless the convenience is worth a few thousand dollars to you.

I agree with this. Most dealers will only keep an eleven year old vehicle on the lot if it's in "excellent" condition and not the condition you reported for your vehicle. They'll take it on a trade and then wholesale it. A wholesale vehicle's price is going to be low because the dealer and the wholesaler have to make a profit. Selling it privately can make you more $ but it can also come with more headaches. Vehicles in top condition sell better.

 

[Old Dogger]

I agree with the above Posts!!!!

But one advantage of trading in your vehicle is, that you won't have to pay sales tax on the trade in value.
Example: If you purchase a Wrangler for $35,000, then you will pay sales tax on the full $35,000.
But if your trade in is worth, let's say $20,000, then you will only pay sales tax on the difference, which is $15,000.
So depending on your sales tax rate, and trade in value, that can add up to a lot of money!

But in most cases, you will still be money ahead, to sell yours outright....:thumb:

craigslist is a good source!!!!!

 

[ACrippledFerret]

When you go to buy a new vehicle and say you want to trade-in your vehicle, the dealership just calls his wholesalers and takes the highest bid. He then turns around and offers you roughly that for the vehicle. Dealers don't really make a lot on trade-ins unless they sell it themselves... they just use it as a method to get you to buy a new vehicle easier.

 

[lando76]

As an ex car salesman, never negotiate your trade and the purchase vehicle together. It was So easy for us to mix up and shuffle the numbers to make you think we are bending over backwards for you.

I bought my jeep then sold my tacoma within a three day period on Craigslist. Took the extra cash and paid down the loan on the jeep.

 

[WaltA]

Traded in for $8600.00 (to be sold at wholesale auction, or so they said)

Most (all?) of the dealers around here pay "auction" value for a trade-in, not book "trade in" value.

They might put it out on their used lot for a period of time. If it doesn't sell, they will ship it off for auction. By paying only auction value, they are more or less guaranteed to at least break even.

Remember, dealers are a business, and like any business, they need to make a profit. It isn't being mean, evil, or unreasonable for them to do so.

 

[ocd_dave]

Was this a good trade-in value? Better to do private sale even though state has strong consumer protection lemon laws?

That depends, what was the new vehicle, and what did you pay for it?

I always trade my vehicles in in almost perfect condition, and I won't budge off the known trade-in value one bit.

 

[mcgee10]

I tried the trade in route a few times. They always offer the low end of trade in value regardless of conditions or mileage. The last one I sold trade value said $11453.00 3 different dealers offers were with in $500 of each others and all were around $9400. I sold that jeep in 4 days on Craigslist for $14500.00 so all 3 of those dealer were going to make $5000.00 on my jeep. I would never trade in ever not ever it's like burning the money.

 

[Jackass506]

I agree with the above Posts!!!!

But one advantage of trading in your vehicle is, that you won't have to pay sales tax on the trade in value.
Example: If you purchase a Wrangler for $35,000, then you will pay sales tax on the full $35,000.
But if your trade in is worth, let's say $20,000, then you will only pay sales tax on the difference, which is $15,000.
So depending on your sales tax rate, and trade in value, that can add up to a lot of money!

But in most cases, you will still be money ahead, to sell yours outright....:thumb:

craigslist is a good source!!!!!

this doesn't apply to California purchases. Which sucks