Trade in Help!

Long story short The dealership is offering me an insane amount for my sr 2.7L for a trade up to a 3.5L . Should I cancel my extended warranties and use the cash as a down payment? Or will they work with me on moving the warranties over to the new truck? * New to all of this* sorry if its common knowledge to others. Thank you.

 

I'd cancel em no point in leaving money on the table. The next buyer can decide if they want an extended warranty

 

Remember, dealerships don't stay in business giving people "deals"

 

When you purchase the new truck and are sitting in the finance office, the finance manager should ask you about existing warranties, etc on your trade and can apply the prorated refund of the warranty and gap towards the new truck or have TFS send you a check. Super easy process. Don’t mention it when negotiating deal numbers as they’ll use it as a way to skew numbers.

 

Good luck with whatever you decide to do!!

 

Thank you all for the insight! This is all new to me and I definitely don't want to make a mistake I will regret down the road. I guess I should of put a little more detail into this.

My current Truck: 2018 Sr access cab 2.7L
Odo: 45,500 miles. With toyota care plus until 120,000 miles.

I owe around 22k so this would clear me of any roll over I assume?



Cash offered 22,5k-23,5k (after approved appraisal)

Trade in for

2020 Sr Sx package 3.5L access cab

Dealers asking price $31,000. Without warranties added.

Thoughts on this??

 

What’s the MSRP on new truck? You should shot for at least 8% off MSRP but I know the market isn’t reflecting that right now. Good luck.

 

I think there is some wiggle room. But this is the pdf she sent me.

 

I would keep your current truck....sounds like you would just be increasing the amount owed from $22K up to $31K and resetting your financing over to zero. You would get a V6 and a few upgrades but unless you need to tow I dont think it is worth it.

 

This is true... but
It would help with towing my boat, and I mean the value is never going to be this good when I do eventually trade it in.

 

Run your VIN through Carvana and see what you get offered from them. Only takes a couple minutes. I got $21K for a 2013 SR5 access cab V6 4X4 with 80K miles.

 

The 4th Gen will be out about another 4 years or so. By then your current truck would be paid for and the Gen 4 might be a huge upgrade. The Tacoma will still have excellent resale. Now if you dont think you can stand the 4 cylinder till then, trade it in. Just advising you from a financial standpoint but if you want to upgrade for other reasons go ahead.

 

While that's true there's no free lunch. You can get more on your trade now but you're going to pay more for the new truck. Both are because of the current market demand.

 

I will definitely be getting this info before I even think about actually going in. Thanks!

 

Your not wrong, but im confident i can get the truck for a little over 30k which isn't to much more then what I i payed for the 2.7L . Dude this 2.7L is such a dog... idk if you have driven one, but it lacks alot. This might be my chance to get out of it scott free for something I will truly cherish for years to come.

 

I've never driven the 2.7 but IMO the V6 is only adequate so I can't imagine the 4. I never even considered it when buying my truck so I don't blame you for changing. I know the market is different now but I paid 34K last year for my 19 DCSB OR.

 

Damn times are different I mean I only paid 25,5 for my 2.7L. Precovid my trucks vauled at 16-17k . Thats all I'm saying I wouldn't be rolling any negative equity into it at this time. It kind of feels right but im not sure yet.

 

Not free. Exchanging 22k worth of debt for 30k worth of debt. And a few extras years of payments. If it works for you do it.

 

As others have said, check a few places to get the best offer on your current truck. And you should negotiate the price of the new truck separately. Otherwise all they do is make it look like they gave you great trade in but not budge on the new truck price as much, or they make you think you are getting a deal, and then give you less on trade in than you should get.

 

I know what you are struggling with.

I bought a 2015 Prerunner from a dealer(Racine) a few miles from my house and bought the extended warranty. I wanted 4wd but I bought a New 2015 Prerunner (2wd v6 DBCB) msrp $29,900 for $23,000. Two years later I traded it at a different dealer(Wilde) to get Trd 4wd. Made a ton of cash on the deal. Just do it. “Test drive it”.

As far as the warranty not sure about your state. My dealer explained to me each dealer sells warranties like a dealer add on and must be refunded by that dealer. If you are trading it in at the same dealer they will transfer or get the refund. If it’s from a completely different dealer you need to get paperwork showing the vehicle was sold and have the other dealer issue a refund. Even though it’s a “Toyota warranty, each dealer sells it like they would any dealer add on. You need to get the refund from that dealership. That happened to me. I also kept the refund from extended warranty. The 3/36,000 mile warranty ends quick! Lol I’m at 83,000 miles in 3 yrs!

Good luck!