Low value on used Bronco

[Rjz]

Interesting, but why is Blue Book so far off?

Blue book is for the general public , dealers don’t use it. The value is made when a buyer is willing to pay the asking price. Thing’s that need to be accounted for at a Dealership are the overhead, business expenses (rent, electric, gas, water, maintenance, insurance) the commissions to the used car mangers and the wages to workers and the credit agreements with lenders…etc etc, etc…..That being said, private party sale will cut out the “cost of doing business” and put it in your pocket..

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[11811]

This is why it always makes sense to buy and hold a depreciating asset like a car that also costs you more each year to buy. Buy and hold for as long as the vehicle runs while being worth the repair costs and time in shop. I'd expect 15 years on average. I get people want the latest and greatest and want to trade-in every three years, or continuously lease, but all this thread you have started has shown is that does not make financial sense. For those who don't care about that, that's fine. It's your life and your money - and especially if you have more money than you know what to do with. I'm old school. My dad was one of those guys who could have written The Millionaire Next Door book. I'm not quite that thrifty, but not too far behind.

And I might add, the dealers know that there is always that group who will continue to come in and flip their ride ( the loyal customer ) which props up annual price increases.

 

[Snowdogyyz]

I had not been to my dealers lot in awhile. Went yesterday for service and was shocked how many broncos were sitting on the lot. Must have been over 30 of them, including a Raptor that has been there for months. This was a no mark up dealer during the pandemic so it’s not due to mark ups. I was considering ordering a 2025 Bronco- until I saw that. My bronco will be worthless at this point!

 

[Fatfireman]

That is not how it works at all. If the sale price is $60K then you will pay sales tax on the $60K. The trade is part of how you pay for it, and is not credited against what you buy.

In Colorado that is 100% false. You only pay sales tax on the difference between the trade value and the new vehicle price. You already paid sales tax on the trade in vehicle when you bought it.

 

[UncleBrad]

I don't think I've EVER seen a dealer offer BlueBook value on a trade. In fact, every one of them has probably said to me "We don't go by BlueBook".

I've seen dealers quote from Blue Book when an older trade-in is offered which is way above average condition. They will use Blue Book and appeal to "policy" when it favors them and the market for their new vehicles is good. That's what happened when I attempted to get a quote for trading in my older Jeep JK for a Subaru.

 

[Sgt Badlands]

Blue book is for the general public , dealers don’t use it. The value is made when a buyer is willing to pay the asking price. Thing’s that need to be accounted for at a Dealership are the overhead, business expenses (rent, electric, gas, water, maintenance, insurance) the commissions to the used car mangers and the wages to workers and the credit agreements with lenders…etc etc, etc…..That being said, private party sale will cut out the “cost of doing business” and put it in your pocket..

Their sale prices often fall within blue book value, but their trade in offers are way below them. Figures.

 

[PrepVet]

In Colorado that is 100% false. You only pay sales tax on the difference between the trade value and the new vehicle price. You already paid sales tax on the trade in vehicle when you bought it.

That how it is in WI and IL as well. If I felt like it I could look at the paperwork I have shoved somewhere from other states I have bought cars in, but I don't.

 

[LarryZiegler]

That's pretty much how it is out here in NJ. Granted this isn't true for all states, but here it is.

California does not recognize any trade in reduction, thus the sales tax is based on the full sales price of the vehicle, and also based on your residence address sales tax rate no matter where you buy

 

[cbrenthus]

That how it is in WI and IL as well. If I felt like it I could look at the paperwork I have shoved somewhere from other states I have bought cars in, but I don't.

I can confirm this is how it is in PA and FL as well. However, I traded in a Pacifica on a new grand Cherokee in OH, and PA only saw the purchase price and tax and sent me letter saying I owed the difference. I was able to go online and check a box saying I payed the full sales tax and never heard about it again

I almost always trade because when you factor in the sales tax benefit, it reduces the profit to the point it isn’t worth dealing with people not showing, trying to low ball, etc.

 

[mpeugeot]

California does not recognize any trade in reduction, thus the sales tax is based on the full sales price of the vehicle, and also based on your residence address sales tax rate no matter where you buy

California, working hard for your money. To add insult to injury, yearly your registration is based on your vehicle's value in California.

 

[Dougpaw57]

California, working hard for your money. To add insult to injury, yearly your registration is based on your vehicle's value in California.

Lucky I escaped!

 

[LarryZiegler]

California, working hard for your money. To add insult to injury, yearly your registration is based on your vehicle's value in California.

Yes, you are correct……along with a slew of added fees to the cost of registration. I just paid $577 to renew my 2021 Bronco registration and $227 to renew my 2013 Honda Pilot registration. Just another revenue source to be misappropriated into nowhere’s land!

 

[Imaginary Friend]

California, working hard for your money. To add insult to injury, yearly your registration is based on your vehicle's value in California.

Yes, you are correct……along with a slew of added fees to the cost of registration. I just paid $577 to renew my 2021 Bronco registration and $227 to renew my 2013 Honda Pilot registration. Just another revenue source to be misappropriated into nowhere’s land!

Welcome to Minnesota! Where your new vehicle registration fee is on a (slightly) depreciating scale based on annual value for seven years before it hits the base rate. Last year the license tabs on my '23 JL were $634, IIRC.

On the bold, don't get me started. This state pisses away money as well as CA.

 

[MOBLRN]

I have been looking at a couple 2023 models at a Subaru dealership. One has an Automatic and the other is a manual transmission. If I could trade the top, wheels and tires to the manual transmission one it would be almost perfect. Sales guy says that can't happen. They are a few hundred dollars apart in price mostly due to mileage I think. One has less than 1000 miles and the other is over 6000. Ones a Black Diamond and the other a Big Bend. I know the Subaru dealership would not provide warranty, but the box on the "Sold AS IS" doesn't have a checkmark in the section showing a Manufacturer warranty could be available. Another issue is One had 3 prior owners and the other two according to the dealer supplied "CarFax".

Will see what happens tomorrow when I go in with my 2023 Jeep and see if they will trade.

 

[Lowcountry Bronco]

I have been looking at a couple 2023 models at a Subaru dealership. One has an Automatic and the other is a manual transmission. If I could trade the top, wheels and tires to the manual transmission one it would be almost perfect. Sales guy says that can't happen. They are a few hundred dollars apart in price mostly due to mileage I think. One has less than 1000 miles and the other is over 6000. Ones a Black Diamond and the other a Big Bend. I know the Subaru dealership would not provide warranty, but the box on the "Sold AS IS" doesn't have a checkmark in the section showing a Manufacturer warranty could be available. Another issue is One had 3 prior owners and the other two according to the dealer supplied "CarFax".

Will see what happens tomorrow when I go in with my 2023 Jeep and see if they will trade.

On either you'll have the remainder of the factory warranty plus you can search for Granger extended warranty for a tick over cost.

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