How trade-in works out this day?

[KDKPSJ]

As we all know, auto market has been dramatically declining for several months (Start off with high gas price this summer, then economy this winter). As a result, the current market has been buyer's market.

Now, how about trade-in? Has the value of trade-in gone down the hill as well?

 

[Jugernot]

Back during the highest gas prices, local dealers wouldn't even take certains vehicles... they had signs that read "We are no longer taking diesel trucks for tradein."

Yes, price have gone down.

 

[ponyo]

Originally posted by: everydae
As we all know, auto market has been dramatically declining for several months (Start off with high gas price this summer, then economy this winter). As a result, the current market has been buyer's market.

Now, how about trade-in? Has the value of trade-in gone down the hill as well?

What you think? If it's a buyer's market, do you think it's a seller's market too?

 

[KentState]

Originally posted by: Naustica

Originally posted by: everydae
As we all know, auto market has been dramatically declining for several months (Start off with high gas price this summer, then economy this winter). As a result, the current market has been buyer's market.

Now, how about trade-in? Has the value of trade-in gone down the hill as well?

What you think? If it's a buyer's market, do you think it's a seller's market too?

That's a mixed bag right now. Dealers are wanting certain used cars because they offer the consumer a lower entry price into a car. The value after purchase won't take a huge hit like a new car meaning that a failed loan won't be as big of a hit. The last weekend, we went looking at cars and the dealers were very excited to take trade-ins.

 

[Arkaign]

Originally posted by: KentState

Originally posted by: Naustica

Originally posted by: everydae
As we all know, auto market has been dramatically declining for several months (Start off with high gas price this summer, then economy this winter). As a result, the current market has been buyer's market.

Now, how about trade-in? Has the value of trade-in gone down the hill as well?

What you think? If it's a buyer's market, do you think it's a seller's market too?

That's a mixed bag right now. Dealers are wanting certain used cars because they offer the consumer a lower entry price into a car. The value after purchase won't take a huge hit like a new car meaning that a failed loan won't be as big of a hit. The last weekend, we went looking at cars and the dealers were very excited to take trade-ins.

Yeap. 2-year-old Focus / Civic / Corolla = high resale / high tradein. 2-year-old BMW / Jag / Lexus = lower resale / tradein (as a % of original sticker cost). A lot of that is very traditional, it's just that it's more pronounced as of late.