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Poor tacoma resell value?

Discussion in '3rd Gen. Tacomas (2016-2023)' started by IEsurfer, Dec 16, 2019.

  1. Dec 18, 2019 at 9:10 AM
    #161
    Scott17818

    Scott17818 Well-Known Member

    Joined:
    Oct 29, 2018
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    First Name:
    Scott
    Midcoast Maine
    Vehicle:
    2016 Tacoma DCSB OR
    methodMR305NV, 265/70/17duratracs, ARB RTT, DITCH Lights
    Dealer jargon for "that's my profit"... they pay you with funds they finance, and leverage from their bank, they have to pay interest on the vehicles that stay on their lot.. you can actually ask a dealer how long a vehicle has been on their lot, and they will tell you, you can then use this as a nogotiating point (typical dealer will only hold a used vehicle for so many days before they HAVE to move it (typically auction it off to another dealer), or risk selling at a loss). the dealer takes the risk, although with a tacoma, they can easily recoup their costs.. its all a numbers game, and trying to maximize their profit margin.

    Your KBB, or NADA value might be higher than their trade in offer for this reason, and they cant tell until they have it purchased and on a lift what needs to be fixed/repaired, and what the interior condition/refurbishing costs will be until they own it.. sometimes the repairs wind up being more than their profit. Especially when a vehicle is bought at auction sight unseen. all a big numbers game. most of the time they win, buying your cars trade in for 5k under NADA/KBB, they put $200-1000 into the vehicle, and sell it for under NADA/KBB value and still turn a decent profit...

    this is why your used car salesman does the whole "have to ask my manager", "I have to see if financial can do that", its part of a tactic they use to squeeze a profit out of you, they know what their bottom price is, they typically have a printout of the vehicle, and the price they bought it for, what they put into it for parts/labor, this is what their rock bottom/no profit cost is.. they typically pad the list price with $2000-3500 for profit/negotiating room (based on value of car).. so when they give you that $500 off the list price, you are more inclined to sign the loan papers, they can go lower.. but it eats into profits.
     
    xerogs1 likes this.

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