Advice

Last week I was at the dealership getting my my wifes Corolla oil changed under the two year Maint. agreement. I ran into my salesman as he seen me looking at a new 2011 MGM sport.

For shits & giggles I went back later that evening and we ran some numbers on my truck. The new MGM sticker was 31,843 and they were reducing it to 30,343. 1500 off.

My truck, which I paid 20,500 for last year at a Honda dealership with 39k when Toyota had the pedal issues ( got a good deal) now has 50K and they offered me 21500 on a trade. He said they can offer that now because guys are coming with bigger truck chomping at the bit to get these like new used ones.

I will make a grand off my truck and getting into a new one. Is the above a good deal. One thing, I only owe 13K on my truck so now I will be back to 21 k for a finance amount. Is 50K less miles and 5 years newer worth the extra 10 grand for essentially the same truck. My truck is also like new just changed all the differential oils I run mobil 1 and paint wise is like new. I wanted to wait for a new design, but it sounds like it may be a few years out.

Highlights


Trade 2007 TRD DC Cab $21,500 Owe 13k
Buy New MGM 31,843 reduced 1500 to 30,343

Payments will jump from 285 month to 387 a month at $4.49 for 72

Thoughts?

 

Just keep yours IMO

 

PS...The new one was a MGM sport...not off road like I have.

 

the new one is only a SR5? keep your TRD

 

Personally, I'd keep yours.

 

Thanks...may just keep it.

 

Just keep it. Wouldn't be worth it imo

 

yea i would just keep it and wait for a new body stlye considering u said its still like new and been serviceing it on time and everything.

i would only exchange it in if i was doing to upgrade to 4x4, or if u were 4x4 trade in for a prerunner

or the size of the cab too, weather u needed more or less room

 

Background info: My last three trucks lasted 11-12 years before they rusted to the point where I felt they weren't safe. I sold two of them for less that $2000.00 each. I still have the 3rd. Each truck cost me over $2000 per year in depreciation for each year that I owned the trucks. I have finally realized that anytime I can trade for approximately $2000 a year of use, I am ahead. Not monetarily, but by having a newer, nicer vehicle. This may seem like a lot of depreciation to those who don't live in the salt belt, but it is a fact of life for us northerners; at least in those areas where they spread salt like it's free. And I'm one of those guys who gets down under the truck throughout the winter and hoses the undercarriage thoroughly.

When I went in for an oil change and inspection back in February, my salesman talked to me about trading after he saw me wandering around the new trucks in the lot. He said he had a customer looking for a used truck and he could pre-sell mine. I know, a typical sales pitch under most circumstances. But, we have a long history and I trust his word.

He gave me a figure of $4800 difference PER YEAR (two-years-old = $9600.00, SR5 to TRD Off-Road, otherwise identical trucks) I countered with exactly $2000 a year difference and the added cost of the off-road package. Over the course of a few days, we closed to within $700 and I then politely walked while dealing directly with the manager. Surprisingly, I went back in at the end of the month with a "valued customer coupon" they sent me in the mail, and made the deal at my price; $2000 per year and difference in the package price. I had also beat them up pretty good on the original trucks purchase, so I was quite pleased with my deal. (My trade was sold within two days.)

Based on my experience; if you really want the truck, and if you can afford the truck, and if you can negotiate another $1500 off or added to your trade (same difference), then buy it. (I show the KBB excellent trade value on your truck as $22300, my zip) Toyota financial should be readily available for the low 3s, and if you have a good history with them you can negotiate 2.9X. (No matter where you finance, 4.49 on a new vehicle is not a good rate unless your credit is lacking in history or somehow boned.)

You have to decide if the Sport will meet your needs as compared to the Off-road. I had intended to put lockers in my SR-5, but have saved that money with the Off-Road. I paid for a few things in the package I don't need or necessarily want (overhead console, wheels and sport seats) but they are not detrimental items either.

Purchasing a new vehicle is one of the worst uses of your money ... Unless it makes you happy. Negotiate a killer deal and enjoy your new vehicle.

 

Thanks..I do have excellent credit, I only used 4.49 @ 72 months because that was a number he knew he could get me. 3.38 was talked about for 72 months but he would have to submit the credit app to get that and that dings you score a few points...so I told him to hold off until I made my mind up.

I think if I went 60 months, 2.9 would not be a problem, but not at 72. I tell you I was shocked at how high the trades are on these trucks. its amazing how they barely depreciate.

 

For an extra $102 per month for more years I'd keep the old truck.

I was able to finance my '09 with zero percent financing but had to keep the term to 36 months. Payments have been stiff but no interest and it will be paid off by the end of the year.

 

Yes, you are correct. They were offering 2.9X for 60 mo. Thinking about it, with what's going on in Japan, the market is likely all messed up. Stock units will move towards premium prices and interest rates will probably increase. ((Incentives might disappear.) Your great deal might be closer than estimated. But, with full production expected in late fall, 2011, 2012 model years might be discounted substantially as Toyota looks to reclaim its share of the market. Tough decisions for you.

 

Sounds like they jacked the price on the new truck and the trade-in value at the same time. You should be able to get the Sport close to invoice and $31.8k is closer to MSRP and then get trade-in value for your '07.