Trade in rip-off
12-19-2013, 02:26 PM
#61
Le Mans Master
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Where's the rip off part?
One guy sells a car at a price he doesn't mind and another guy buys the car at a price he doesn't mind.
Let's say you bought the car for $63 grand, put some new tires on it, and sold it to someone on Ebay who bid $78 grand.
Are you ripping someone off? If so, who? If the guy bid $78 grand, would you give him back 5K because you felt he was being ripped off?
Or, would you be more likely to celebrate your abilities to buy something cheaply, market it properly, and resell it at a profit?
One guy sells a car at a price he doesn't mind and another guy buys the car at a price he doesn't mind.
Let's say you bought the car for $63 grand, put some new tires on it, and sold it to someone on Ebay who bid $78 grand.
Are you ripping someone off? If so, who? If the guy bid $78 grand, would you give him back 5K because you felt he was being ripped off?
Or, would you be more likely to celebrate your abilities to buy something cheaply, market it properly, and resell it at a profit?
Last edited by Sin City; 12-19-2013 at 02:29 PM.
12-19-2013, 02:30 PM
#62
Le Mans Master
your friend is an idiot
12-19-2013, 04:24 PM
#63
Melting Slicks
This is another thread that has no basis for existing.
The guy in question didn't have sufficient cash reserves to purchase the C7 immediately without also selling the C6 simultaneously. Classic example of someone who is desperate to do a deal on the spot.
When one places oneself in that situation, one deserves what one gets. I have zero love for any car dealership, but fair is fair, and this particular dealer didn't remotely rip this guy off in any way.
Keep in mind that C6 & C5 prices are plummeting right now on the open market. This dealer will likely make a nice decent profit on the trade in. On the other hand, he is paying a goodly amount of money for a relatively expensive car in a declining market. Therefore, it is also just as possible that he may not be able to move this car quickly and will tie up his own cash reserves for two or three months before wholesaling the car off for just about what he gave for it.
Welcome to the real world in which dealerships are not charitable organizations.
The guy in question didn't have sufficient cash reserves to purchase the C7 immediately without also selling the C6 simultaneously. Classic example of someone who is desperate to do a deal on the spot.
When one places oneself in that situation, one deserves what one gets. I have zero love for any car dealership, but fair is fair, and this particular dealer didn't remotely rip this guy off in any way.
Keep in mind that C6 & C5 prices are plummeting right now on the open market. This dealer will likely make a nice decent profit on the trade in. On the other hand, he is paying a goodly amount of money for a relatively expensive car in a declining market. Therefore, it is also just as possible that he may not be able to move this car quickly and will tie up his own cash reserves for two or three months before wholesaling the car off for just about what he gave for it.
Welcome to the real world in which dealerships are not charitable organizations.
Last edited by B747VET; 12-19-2013 at 04:27 PM.
12-19-2013, 04:25 PM
#64
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This is another thread that has no basis for existing.
The guy in question didn't have sufficient cash reserves to purchase the C7 immediately without also selling the C6 simultaneously. Classic example of someone who is desperate to do a deal on the spot.
When one places oneself in that situation, one deserves what one gets. I have zero love for any car dealership, but fair is fair, and this particular dealer didn't remotely rip this guy off in any way.
Keep in mind that C6 & C5 prices are plummeting right now on the open market. This dealer will likely make a nice decent profit on the trade in. On the other hand, he is paying a goodly amount of money for a relatively expensive car in a declining market. Therefore, it is also just as possible that he may not be able to move this car quickly and will tie up his own cash reserves for two or three months before wholesaling the car off for just about what he gave for it.
The guy in question didn't have sufficient cash reserves to purchase the C7 immediately without also selling the C6 simultaneously. Classic example of someone who is desperate to do a deal on the spot.
When one places oneself in that situation, one deserves what one gets. I have zero love for any car dealership, but fair is fair, and this particular dealer didn't remotely rip this guy off in any way.
Keep in mind that C6 & C5 prices are plummeting right now on the open market. This dealer will likely make a nice decent profit on the trade in. On the other hand, he is paying a goodly amount of money for a relatively expensive car in a declining market. Therefore, it is also just as possible that he may not be able to move this car quickly and will tie up his own cash reserves for two or three months before wholesaling the car off for just about what he gave for it.
12-19-2013, 04:39 PM
#65
Burning Brakes
In some states, you can deduct the price of a car you sold (within a few weeks one way or the other as I remember from Delaware) from the price of the next car you purchase when you calculate the sales tax on that purchase.
HOWEVER, in many states (PA is one) you can only get that benefit when you trade in! If you sell your car privately, then buy its replacement, you have to pay the sales tax on the full price of your new purchase. Seems illogical to me; perhaps the state dealers' association got to the legislature -- but there it is.
HOWEVER, in many states (PA is one) you can only get that benefit when you trade in! If you sell your car privately, then buy its replacement, you have to pay the sales tax on the full price of your new purchase. Seems illogical to me; perhaps the state dealers' association got to the legislature -- but there it is.
I suppose it is your choice whether to give the $4000 to the dealer or your state. I always factor this in and usually let the dealer have it to avoid the tire kickers and the delay.
12-19-2013, 05:19 PM
#66
Safety Car
$89,000. new
A friend of mine came by Cars and Coffee to see my new C7. He decided to go to the local dealer and order a Vert. They had two that came in on order by customers that were available. He picked a nice night race blue with kalahari interior and top. It has 2LT, automatic, NPP and chrome wheels. He paid $66k. The shock to me was they gave him $63k for his 2010 ZR1 with 15k miles. They put new tires on it and have it listed at $78k. What a rip-off. The car was as clean and we'll-cared for as any.
12-19-2013, 05:23 PM
#67
Melting Slicks
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NCM Sinkhole Donor
You make it sound like the dealer is an out an out thief - I disagree.
He got $63,000 for the trade plus almost $4,000 in sales tax benefit, so $67,000 to him, the dealer put $2,000 in tires and likely will sell it for $72-74,000 (maybe less) - so in effect your friend had a true net loss of $3,000-5,000 and got rid of the vehicle immediately - I don't think that is horrible.
He got $63,000 for the trade plus almost $4,000 in sales tax benefit, so $67,000 to him, the dealer put $2,000 in tires and likely will sell it for $72-74,000 (maybe less) - so in effect your friend had a true net loss of $3,000-5,000 and got rid of the vehicle immediately - I don't think that is horrible.
He got what he wanted and didn't have to worry about the hassle of selling it himself. The dealer does need to make some profit or why take trade-ins in the first place.
12-19-2013, 05:40 PM
#69
A friend of mine came by Cars and Coffee to see my new C7. He decided to go to the local dealer and order a Vert. They had two that came in on order by customers that were available. He picked a nice night race blue with kalahari interior and top. It has 2LT, automatic, NPP and chrome wheels. He paid $66k. The shock to me was they gave him $63k for his 2010 ZR1 with 15k miles. They put new tires on it and have it listed at $78k. What a rip-off. The car was as clean and we'll-cared for as any.
12-19-2013, 05:51 PM
#70
Instructor
Agree
You make it sound like the dealer is an out an out thief - I disagree.
He got $63,000 for the trade plus almost $4,000 in sales tax benefit, so $67,000 to him, the dealer put $2,000 in tires and likely will sell it for $72-74,000 (maybe less) - so in effect your friend had a true net loss of $3,000-5,000 and got rid of the vehicle immediately - I don't think that is horrible.
He got $63,000 for the trade plus almost $4,000 in sales tax benefit, so $67,000 to him, the dealer put $2,000 in tires and likely will sell it for $72-74,000 (maybe less) - so in effect your friend had a true net loss of $3,000-5,000 and got rid of the vehicle immediately - I don't think that is horrible.
That's asking price plus they have warranty it for a period. Don't go by the asking proce and we all know you sell at wholesale and they sell at retail. Just go to Edmunds. They do have to make some money to stay open to sell us C7s. Not a rip off. Reality
12-19-2013, 05:56 PM
#71
Instructor
Good point
This is another thread that has no basis for existing.
The guy in question didn't have sufficient cash reserves to purchase the C7 immediately without also selling the C6 simultaneously. Classic example of someone who is desperate to do a deal on the spot.
When one places oneself in that situation, one deserves what one gets. I have zero love for any car dealership, but fair is fair, and this particular dealer didn't remotely rip this guy off in any way.
Keep in mind that C6 & C5 prices are plummeting right now on the open market. This dealer will likely make a nice decent profit on the trade in. On the other hand, he is paying a goodly amount of money for a relatively expensive car in a declining market. Therefore, it is also just as possible that he may not be able to move this car quickly and will tie up his own cash reserves for two or three months before wholesaling the car off for just about what he gave for it.
Welcome to the real world in which dealerships are not charitable organizations.
The guy in question didn't have sufficient cash reserves to purchase the C7 immediately without also selling the C6 simultaneously. Classic example of someone who is desperate to do a deal on the spot.
When one places oneself in that situation, one deserves what one gets. I have zero love for any car dealership, but fair is fair, and this particular dealer didn't remotely rip this guy off in any way.
Keep in mind that C6 & C5 prices are plummeting right now on the open market. This dealer will likely make a nice decent profit on the trade in. On the other hand, he is paying a goodly amount of money for a relatively expensive car in a declining market. Therefore, it is also just as possible that he may not be able to move this car quickly and will tie up his own cash reserves for two or three months before wholesaling the car off for just about what he gave for it.
Welcome to the real world in which dealerships are not charitable organizations.
I just bought my C7 Z51 and picked it up. I could have traded in my Z06 but decided I wanted more money than what the dealer would likely give on trade (never brought it in) and storing it over the Winter and will sell in the Spring. I could have traded it in, saved a little sales tax, but decided I would get more money selling as private sale. It's a free country but don't expect a dealer not to want to make a profit! It's the sellers decision. Also with the internet you can get a ton off info on trade in values. So no excuses for whining lol. Drive Safe
12-19-2013, 06:00 PM
#72
I don't think so. Nobody can deny the performance difference between the cars. Some people just don't care. He probably just wanted to have the latest and greatest. When the C7 Z06 is available he will probably be trading again. Some people have the money and don't mind what the trade-in value is. It is also possible that this is just a weekend garage queen and performance is not the issue.
Originally Posted by BlueOx
Clearly the ZR1 owner didn't think it was a downgrade in performance he couldn't easily live with.
Clearly the ZR1 owner didn't think it was a downgrade in performance he couldn't easily live with.
12-19-2013, 06:07 PM
#73
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St. Jude Donor '15
"In honor of jpee"
You make it sound like the dealer is an out an out thief - I disagree.
He got $63,000 for the trade plus almost $4,000 in sales tax benefit, so $67,000 to him, the dealer put $2,000 in tires and likely will sell it for $72-74,000 (maybe less) - so in effect your friend had a true net loss of $3,000-5,000 and got rid of the vehicle immediately - I don't think that is horrible.
He got $63,000 for the trade plus almost $4,000 in sales tax benefit, so $67,000 to him, the dealer put $2,000 in tires and likely will sell it for $72-74,000 (maybe less) - so in effect your friend had a true net loss of $3,000-5,000 and got rid of the vehicle immediately - I don't think that is horrible.
what's a couple days, weeks or more worth to him, his time, his effort to get it sold, to get 2, 3 or 5 more grand out of a dealer, this dealer, a private party, etc.?
my guess: it's worth a lot to him to get on with it, a sold ZR and a new C7. makes lots of sense to me, as it does to LI above.
12-19-2013, 06:13 PM
#74
Le Mans Master
The dealer is offering it at $78K. That doesn't mean they are going to sell it for $78K.
They already have $66K into it, plus they have their cash sitting in a car on their lot, plus insurance, overhead, etc. They have to make a profit, and pay their people. Where's the rip-off?
You want something sold immediately, it will cost more than if you can wait. Fact of life.
A rip-off would be if they said they would give him $78K, and only gave him $64K. This isn't a rip-off.
Michael
They already have $66K into it, plus they have their cash sitting in a car on their lot, plus insurance, overhead, etc. They have to make a profit, and pay their people. Where's the rip-off?
You want something sold immediately, it will cost more than if you can wait. Fact of life.
A rip-off would be if they said they would give him $78K, and only gave him $64K. This isn't a rip-off.
Michael
12-19-2013, 07:48 PM
#75
Race Director
Its just the way cars dealers are. They are liars. All the Bs that going to give you a
good deal is just that BS. When they start the crap, oh sounds like you got a top
dollars trade, or yeah we're low on cars. Again BS. They will take an excellent car
and offer you fair trade value. When they start just go, hey trade every couple of
years and have yet to get a good from any dealership on a trade, so why play,
just say what you will offer. Its either yes or no.
Why hate car salesmen. The morning Rah Rah pumps them full
good deal is just that BS. When they start the crap, oh sounds like you got a top
dollars trade, or yeah we're low on cars. Again BS. They will take an excellent car
and offer you fair trade value. When they start just go, hey trade every couple of
years and have yet to get a good from any dealership on a trade, so why play,
just say what you will offer. Its either yes or no.
Why hate car salesmen. The morning Rah Rah pumps them full
12-19-2013, 08:59 PM
#77
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A friend of mine came by Cars and Coffee to see my new C7. He decided to go to the local dealer and order a Vert. They had two that came in on order by customers that were available. He picked a nice night race blue with kalahari interior and top. It has 2LT, automatic, NPP and chrome wheels. He paid $66k. The shock to me was they gave him $63k for his 2010 ZR1 with 15k miles. They put new tires on it and have it listed at $78k. What a rip-off. The car was as clean and we'll-cared for as any.
Black Book® Pre-Inspection Trade-In Estimate
2010 Chevrolet Corvette
$56,775 - $68,000
Price accurate until: December 29, 2013
Looks like he's in the top half of the range
HerbE
PS
The dealers I do business with use the Black Book and the Auction Prices (which they can get easily - on Line) to establish what they will pay for stock. That's if, they plan to sell it themselves. If they plan to wholesale it then they will not go better than the recent Auction Prices. When I sold my C6 (prior to ordering my C7) the dealer showed me the Black Book Price and the Auction Prices for several Auctions - both on the East Cost and the West Cost.
I chose to sell it (the C6) rather than trade it in, because I was ordering the C7 3+ months before I would be able to get the C7 - and 3 months Deprecation would be more than the Tax Savings a trade-in would offer.
Last edited by HerbE; 12-19-2013 at 09:24 PM. Reason: more info
12-19-2013, 10:18 PM
#78
Melting Slicks
When people buy sport cars 99% of the time they are letting emotion cloud their decision instead of logic. Keep emotion out and you should end up on the winning side.. I personally like winning..
12-19-2013, 11:07 PM
#79
Burning Brakes
12-19-2013, 11:42 PM
#80
Le Mans Master
A friend of mine came by Cars and Coffee to see my new C7. He decided to go to the local dealer and order a Vert. They had two that came in on order by customers that were available. He picked a nice night race blue with kalahari interior and top. It has 2LT, automatic, NPP and chrome wheels. He paid $66k. The shock to me was they gave him $63k for his 2010 ZR1 with 15k miles. They put new tires on it and have it listed at $78k. What a rip-off. The car was as clean and we'll-cared for as any.