Trading in 2020 Sport S for a 2021 Rubicon, given used car prices are soaring?

[Bacon_00]

I'm purely speculating here, but I keep getting emails from Kelly Blue Book that my 2020 JT is increasing in value. Right now, it says a fair trade-in value is $44k. I paid $45k for it after tax, fees & warranty. In theory, if I could find a dealer willing to trade in for $44k, I could upgrade to a Rubicon or Mojave (which I'm a bit sad I didn't get in the first place) without losing really any money.

This seems too good to be true, but I know that the used car market is not sane right now, and part of me is feeling like I need to take advantage of it, somehow! Any thoughts on this? Would any dealer actually make that trade, to buy my used 2020 for $44k and sell me a brand new Rubicon for the difference?

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[Rubiwoo]

some dealers will offer a no haggle trade in offer using KB trade in value. The dealer we went to did. In fact to make the sell, they even gave us move over KB trade in value.

EDIT: can't hurt to see what might happen.

 

[Summitsearcher]

I did it. Mine was a stock Sport and I got 36500.

 

[sharpsicle]

I'm real skeptical of that KBB price. How would they be able to justify giving you a trade-in value that's virtually equivalent to a brand new out-the-door price?

KBB has been notorious in the past for misrepresenting trade-in values in order to encourage people to visit dealerships.

 

[Tar Heel Wrangler]

I would first get quotes from Carvana, Vroom and maybe Carmax. They are paying over KBB. I got $5k or so more than KBB or a trade in. Even with the tax savings on a trade in, Carvana was much better. Sold 2018 JLU for same price I paid for it (before tax, tags, fees).

Then compare quotes with a trade in and do the math. A lot of dealers are sticking to sticker price so think about ordering a sold order for 5-8% under invoice. That's how I got into my Mojave.

 

[Bacon_00]

I'm real skeptical of that KBB price. How would they be able to justify giving you a trade-in value that's virtually equivalent to a brand new out-the-door price?

KBB has been notorious in the past for misrepresenting trade-in values in order to encourage people to visit dealerships.

100% my feeling, however I know that the used car market is pretty crazy right now, so I think used cars in good condition are potentially selling for like-new prices.

I emailed the dealer I bought the Sport S through, gonna see if he can give me a quote. I got it at 6% under invoice, so if he could do the same for a Rubicon & offer KBB value for the Sport S... there is a high probability I'd pull the trigger on that.

 

[awraynor]

This morning dealer offered me just over $2K more than Vroom and Carvana, although I led him to believe they were offering more. It's $1K more than I paid for my Tundra 18 months ago, which has only 4900 miles on it.

Now I'm trying to get his best out the door price on a 20 or 21 Overland model. In my simple mind seems they would want that 20 gone that's been on the lot for 170 days.

 

[TommyGp]

Not really considering it seriously, but my wife's 2019 4Runner Limited Nightshade was $43k plus taxes, etc. in September 2019...out of curiosity I went on Vroom to see what they would offer the other day with 28k miles on it. Their offer is just over $46k.

She wanted a Tahoe or Yukon when we got the 4Runner, but the deals just weren't good enough to spend the extra premium for full size. They still aren't because the used car value boom is driven by the low supply of new cars on the market, which means a new vehicle on the lot goes for more than it did a year ago and the discount from sticker is much lower.

It's kind of like old people who have a house in SoCal worth $1M that they paid $100k for 30 years ago. It doesn't matter what their house is worth because they can't afford to buy a replacement...at least not in that market.

 

[Bacon_00]

It's kind of like old people who have a house in SoCal worth $1M that they paid $100k for 30 years ago. It doesn't matter what their house is worth because they can't afford to buy a replacement...at least not in that market.

I think this has got to be the reality of the situation. Why in the world would a dealer give me essentially MSRP for an old car and sell me a new one on their lot without charging the same premium? There is no gain for them.

I think the only way to maybe do this would be to sell the car to 1 dealer at KBB, then buy the upgrade at under invoice from one of the bulk dealers. Downside here is I'm paying 100% sales tax on the upgrade, so that right there sort of kills that idea. It'd have to be a trade-in scenario, which no dealer is going to make a deal where I come out ahead on the trade.

I think this is a fun idea but I'm dubious. I'll chat with my dealer a bit and see what he says before I totally kill the dream, at least.

 

[glassjawkid32]

I'm purely speculating here, but I keep getting emails from Kelly Blue Book that my 2020 JT is increasing in value. Right now, it says a fair trade-in value is $44k. I paid $45k for it after tax, fees & warranty. In theory, if I could find a dealer willing to trade in for $44k, I could upgrade to a Rubicon or Mojave (which I'm a bit sad I didn't get in the first place) without losing really any money.

This seems too good to be true, but I know that the used car market is not sane right now, and part of me is feeling like I need to take advantage of it, somehow! Any thoughts on this? Would any dealer actually make that trade, to buy my used 2020 for $44k and sell me a brand new Rubicon for the difference?

I justwent through this when buying my jt earlier this week. Ultimately I sold my car to carvana kbb dealer offers were about 3k lower than carvana. I'd be skeptical they would give 44k but you can drive up to the dealership and they'll put your vin in and give you an offer in minutes if not seconds.

 

[Bacon_00]

I justwent through this when buying my jt earlier this week. Ultimately I sold my car to carvana kbb dealer offers were about 3k lower than carvana. I'd be skeptical they would give 44k but you can drive up to the dealership and they'll put your vin in and give you an offer in minutes if not seconds.

I just plugged my VIN into Carvana online, they offered $42k. Still damn close to what I paid for it, but that $2-3k gap is not nothing. I'd be paying that + the difference for the Rubicon upgrade. I think my extended warranty is transferable, though, so curious how that would affect trade-in with a dealer.

 

[glassjawkid32]

I just plugged my VIN into Carvana online, they offered $42k. Still damn close to what I paid for it, but that $2-3k gap is not nothing. I'd be paying that + the difference for the Rubicon upgrade. I think my extended warranty is transferable, though, so curious how that would affect trade-in with a dealer.

Yeah imo a dealership would prob offer closer to 38-39k then. BUT I am not the dealership and it never hurts to check. If you are in Cali there is also shift.com.

 

[Ankh]

I traded in my 2019 Cherokee on Saturday. I took in the instant cash offer from carmax via kbb site and they gave me that number. I paid 25000 2 years ago (used cpo) put 28000 miles on it and got 24,600 in trade. Was going to trade wife's commander, but this number was too good to pass up.

 

[Ohio JKU]

Wow!

 

[WXman]

I gave $39,900 for my truck two winters ago. Dealer here offering $47,000 and Vroom offering $44,000. It's nuts right now. If you want to trade right now is the time!

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