Dealers Who Buy Used Cars

Q.For those of you who've tried to trade in an older Toyota for a new one -- have you noticed the dealership really lowballing the prices on the trade in? I'm just wondering if this is typical. The price on the car they wanted to sell me was reasonable enough, to my eyes, but the trade-in price felt like an outright rip off.

A.One of the perplexing things about owning a new car dealership is the relationship of used car sales to new car sales. The average new car sale is 60 to 90 days. Meaning a viable dealer turns over his new car stock in two to three months. On the other hand the average used car sale is 90 to 120 days. During that time, unlike his new cars, the used car is depreciating until it is sold. For a new car dealer to make a profit on the new car sales he must move out his used cars, or tie up his capital on used cars rather than new cars, on which he must pay interest. Contrary to what some in the NG's would have you believe any viable new car dealer that sells his allocation of new cars MUST retail or wholesale 1/3 of his trades every month since nearly every new car sale involves a trade. If you see a vehicle sitting on a new car dealers lot for three months, go make a reasonable offer over wholesale and he will jump on the deal, especially if it is still covered by the factory warranty..

Other Questions :

Used Auto Parts Pa

I own a 1986 Mustang GT with t-tops what I am looking for is to find out what doors I can use on it? Will 83-86 Convertable doors work? 87-93 convertable doors? I have been searching for a coons age! If you could please help, or tell me where I ca...

looking to buy a used car

I am looking to buy a used car. I am looking for a beater so looks arent important but the ability to run for at least 6 months on maintainence only is. I also need it to be an automatic and I would like a Ford anything. I only have $250.Car shop...

Please share your experiences of selling used car audio stuff.

My lease will be up in a year and I was thinking about selling all my car audio gear and keeping it stock in the next vehicle. How hard is it to sell your used equipment? Any tips?I've made a point to have equipment in good/excellent condition,...

Jacks Used Auto Parts

I'm looking for a piece of hard stainless steel for an all-purpose backpacking knife. I heard about surgical still as the best, but I couldn't find any reference to it. I would appreciate any advice on the following: - what are the type...

Find Value Of Used Car

Does anyone know a source to find what the value is of a 1989 240sx fastback. The car is in the same condition as a new car, never winter driven. Are they worth keeping ?? Do they eventually increase in value if so after how many years??I have a...