Anyone take advantage of the wild resale values?

[BAT]

My success story is a bit different, but same idea.

I had a 2017 GMC Sierra 1500 that was pretty loaded (including the 6.2 V8). Last June I had about 80,000 miles on the truck. It was very clean, no accidents, etc.

I took my wife's 2017 JK in for an oil change and was chatting with one of the sales guys. Long story short: he ended up offered me $42K trade-in value on my truck—which seemed ridiculously high to me. I only paid about $55K for the truck brand new, so I was only losing $13K after 4 years and 80K miles. Seemed like a no-brainer, since my gut told me that in regular times I'd have been doing good to get $30K for the truck.

He had two high-end Gladiators on his lot (that's about all he had in the way of Jeeps). High-end trucks apparently weren't selling all that well around here. Anyways, the truck I ended up buying was a tarted up Rubicon with the turbodiesel, black leather, body-color hardtop, etc. Window sticker price on the truck was $63K.

With my trade, I ended up paying $19K plus taxes. That made me a happy camper, since the warranty was about to run out on my GMC and I wasn't excited about the prospect of expensive stuff starting to break on my nickel. It had been a great truck and I'd own another in a heartbeat, but the Gladiator has been a total hoot. No regrets, and I'm happy that the ridiculous market for used vehicles helped me do the switch for much less money than I would have expected.

Mike

Man I spent much time in Baton Rouge. Grew up in Donaldsonville. Worked in Baton Rouge for many years till I move to Katy, TX. Still get back over that way occasionally. Was down not long ago. Hit up Coffee call for some fingers on my way through.

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[DirkG]

This period absolutely fascinates me.

It's the death of the car dealership as we've known it. You have to ask yourself why are the new upstart companies like Carvana, Vroom, Bidlane, etc. paying so much for your used cars?

Carvana, especially, is intriguing. The Houston Chronicle dubbed the company the “Amazon of Auto” and it was recently named to the 2021 Fortune 500 List, one of the youngest companies to be added to the list.

Right now (at least), most of you are not buying from the these upstarts in return, correct? It sounds like you're selling your car to Carvana, then going to a dealership to order a new one. This is by design.

Carvana (and Vroom, etc.) are killing traditional used car dealerships. The days of Stan, the used car salesman, walking up to you with donut sprinkles on his cheap tie are almost over. In fact, car salesmen in general, new or used, are going the way of the dinosaur. By design, Carvana is offering you wayyy more than any used car dealership can offer because its intent is to kill the dealership. And its working.

Tesla is a trillion dollar company. Trillion. Their successful model is to sell vehicles via an online shop by configuring the exact car you want. Zero need for a salesman. Test drive? Read this twice: according to the WSJ, 45% of Tesla buyers do not test drive the vehicle beforehand. That's the result of the 7-day return policy.

Now, if Tesla has no dealerships, what about the used car market? That's where Carvana comes in. Online sales of used cars with no haggling or stale coffee. Very small overhead (comparatively speaking) and a no-nonsense approach.

The Revolution is right now...you'll order your Jeep from an online Jeep store and it will be delivered to you. On many levels, we're kinda there already.

 

[Challenger85]

I sold my 2019 Challenger for a 9K profit (46,500) for a 48K car brand new. Ordered a Mojave for 56K, put down 10K and got a 8K Gupton discount. I owe 2K more on my gladiator after 0 payments than I did my challenger after 2.5 years.

 

[Suszynch]

just two weeks or so ago, traded in my 18 JLUR 6 speed and got 6k more than I paid for it with 30k miles. (46K)
Factory ordered 2021 diesel jtr , dealer honored my affiliate pricing even though the program expired like the week before. So that + an additional 1k incentive cash from the manufacture got down to like 52k after taxes. After working with my credit union for 1% financing. I felt like I made the right decision.
My salesman was pretty chill too, additionally gave me 2 gallons of def fluid when I left. Also told me when I came back to pick up my plates in December to make sure the tank was empty and he'd fill it up and bump my SiriusXM trial again.

 

[jeepin48]

Im getting really tempted to see what Toyota will give me for it.

 

[FLGladiator]

Selling at Carvana for me is not an option as I don't want to lose 3k in tax. I am currently contemplating as the servicing dealer this week offered me 3k over what I paid. Not that I want to sell but I am currently thinking about buying an extended warranty at 2k. I have 1.5 years left aprox. If I can trade for around 2 -4k total difference I would do it. Currently checking out the market, looking at what a Willys offers and if it has the 4.10 my max tow has. I think I will wait for the 22's.
When ordering new these days what is the typical discount from msrp?

 

[SwampNut]

This period absolutely fascinates me.

It's the death of the car dealership as we've known it. You have to ask yourself why are the new upstart companies like Carvana, Vroom, Bidlane, etc. paying so much for your used cars?

Carvana, especially, is intriguing. The Houston Chronicle dubbed the company the “Amazon of Auto” and it was recently named to the 2021 Fortune 500 List, one of the youngest companies to be added to the list.

Right now (at least), most of you are not buying from the these upstarts in return, correct? It sounds like you're selling your car to Carvana, then going to a dealership to order a new one. This is by design.

Carvana (and Vroom, etc.) are killing traditional used car dealerships. The days of Stan, the used car salesman, walking up to you with donut sprinkles on his cheap tie are almost over. In fact, car salesmen in general, new or used, are going the way of the dinosaur. By design, Carvana is offering you wayyy more than any used car dealership can offer because its intent is to kill the dealership. And its working.

Tesla is a trillion dollar company. Trillion. Their successful model is to sell vehicles via an online shop by configuring the exact car you want. Zero need for a salesman. Test drive? Read this twice: according to the WSJ, 45% of Tesla buyers do not test drive the vehicle beforehand. That's the result of the 7-day return policy.

Now, if Tesla has no dealerships, what about the used car market? That's where Carvana comes in. Online sales of used cars with no haggling or stale coffee. Very small overhead (comparatively speaking) and a no-nonsense approach.

The Revolution is right now...you'll order your Jeep from an online Jeep store and it will be delivered to you. On many levels, we're kinda there already.

We bought a 2019 Model 3 long range AWD from Carvana in April for $45k, with 16k miles. The price was slightly lower than new. I think new at the time was $52k-ish. BUT....they gave us $25k on a trade in that everyone else valued at $19k, including Tesla (book value). On top of that, we may have taken a hit on some paint issues. Carvana did not care. So we really made out.

I had never touched a Tesla before. I bought it on specs. But then, I also didn't test drive the Gladiator, which really disturbed the dealer for some reason.

I hope I never have to talk to a car dealer again. Carvana was awesome. I have a pre-order for a Cybertruck to replace the Gladiator. I just wish I could take advantage of the used car frenzy now to do the upgrade.

One odd thing...the higher end trucks like mine don't seem to be holding value. I got two online offers a few months ago and they were nothing like what some of you are reporting. I have a Launch Edition Rubicon (so every option). It had a $63k sticker and I paid around $8k under, plus TTL.

 

[JP1]

You traded you Gladiator in for a Soccer Mom Car.

 

[BAT]

 

[BAT]

It funny after reading these post I got a message from the Dealership asking me to please consider letting them look at my truck and making an offer on it.

 

[rayvonp]

I traded my 20 for a 21, the dealer gave me 50,000 for my 20 and I had only paid 47 when I bought it

 

[Hutmo]

Traded my 2020 Sport S with 16700 miles and recieved on trade what I paid for the vehicle 14 months ago. Couple this with a nice discount and a Jeep incentive and I am now driving a new Rubicon in Gecko Green.

Chris

 

[Guns_N_Rosaries]

I'm not sure my daughter would let me trade in my Gladiator. We name all our cars and pretend to give them personalities, and when you're 5 years old, that kind of makes them like family members. She'd be furious with me if I sold Willy.

 

[DirkG]

It funny after reading these post I got a message from the Dealership asking me to please consider letting them look at my truck and making an offer on it.

Following up on my other post and then seeing this, I do kinda feel bad about the employees at these dealerships. I don't know about your regions, but in SoCal/OC, the new car lots are ghost towns. The existing dealerships are trying to keep their lights on by basically bartering through the used car market. Turning a modest profit on a used car is better than no profit at all.

And btw, that's why you see these huge mark-ups on existing new vehicles in the showroom because they don't know when they'll receive new product/replacements.

Used cars are really the only "supply" right now and the market has been (temporarily) inflated because of that.

 

[Labswine]

Interestingly, I was thinking about trading in my 2020 Overland (built July 2019) in on a 2021 Overland. Got the lease payoff price (had to add the sales tax onto that for total payoff.

Total payoff was $39,5xx. When I got my Gladiator, it was $50,500 out the door and I put down $10K. The dealer offered me $42,000 trade on my Gladiator. Basically what I paid, not what it's actually worth, that people are claiming they are getting on trade.

I didn't see it...

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