Going to buy a new camaro with trade in

[Iwantone2]

Originally Posted by 01pewterz28

If you have a Car Max in your area give them a try they have been paying top $$ for used cars here in Orlando. My buddy sold his 2006 Silverado 3LT Crew Cab with the 5.3L around 45k on the clock they gave him 21k for it very good condition he owed $19k on it

Sometimes CarMax is not the best... my bro got it appraised there and they were only going to give him $750...the dealer gave him $2500

[huennekc]

Well im just kinda hoping the dealer will give me a break! I suppose it wouldnt matter right away anyhow since if I placed an order for one, I'd have to wait around for it to get here, thus giving me time to pay my current car down more

[DevilKnightFalcon]

Not trying to sound like a jerk or anything but...if you are $7k upside down on a car....it probably isn't the best time to be trying to buy a brand new car... My dealer has told me that he has rejected a number of people who were upside down on their cars and trying to get a Camaro. Apparantly there is little margin on the Camaro (if it is sold at MSRP) so they are requiring some amount of cash upfront.

[nol300]

Originally Posted by DevilKnightFalcon

Not trying to sound like a jerk or anything but...if you are $7k upside down on a car....it probably isn't the best time to be trying to buy a brand new car... My dealer has told me that he has rejected a number of people who were upside down on their cars and trying to get a Camaro. Apparantly there is little margin on the Camaro (if it is sold at MSRP) so they are requiring some amount of cash upfront.

That's most likely because those people are not only upside down but have crappy credit or if they are 10k+ I understand but 7k is easily added to the loan even at MSRP if you have good credit.

[huennekc]

I think I should be ok on the credit part, I have pretty solid credit, and stable income since I'm in the military

[Verio]

Originally Posted by nol300

That's most likely because those people are not only upside down but have crappy credit or if they are 10k+ I understand but 7k is easily added to the loan even at MSRP if you have good credit.

I'm upside down also for about the same amount. However, I'm putting 5K down on the car. It should even things out a bit. I was going to go with Penfed, however they only give you 110% of MSRP, which is no wiggle room at all.

[Mr_Draco]

Originally Posted by huennekc

Hi I have a question maybe a dealer on here might be able to answer for me. I want to get one of the new Camaros and use my car as a trade in, but I'm upside down on it, how much will dealers usually work with you in that situation?

I really wouldn't buy if you are upside down but this is how it works according to some of my car salesman buddies.

In order for a dealer to take possession of a car, they have to pay the car off in full. Let's say you owe $15k on the car but the dealer is only willing to give you $10k for it. For him to get possession of the title so he can resale it, he has to pay off the full $15k now but since he's only willing to spend $10k you now owe him $5k. This $5k then gets added onto your new car that you are buying. Dealing with upside down cars are a big pain in the butt and require a lot of time and effort. In order to compensate for this, most dealers will add an extra $1-$2k or jack the percentage up 1-2%.

If someone insists on trading in a car they are upside down on, it is advised that they either a) pay off the amount that they will be upside down before they trade it in or b) add that amount to your down payment. If you don't do one of these things first, you will be paying double interest payments.

[MerlinZero]

While I dont disagree with Mr. Draco. Yes it quite difficult to work with an upside down payment. It is what I am doing as well.

What you need to know is how much your car is worth in their eyes, how much your car is worth to the industry and how much private sellers can sell the car.

I am going to trade my 2008 Subaru off. I am upside down on it.

I have had it in trade-in negotiations before, what you need to make sure of is that the trade-in you are working with is a car the dealer can sell. I went to a high end dealer (porsche, maserati, ferrari) dealer about a month after getting the subaru. Now the subaru is a 30k car. but they were only offering 18k for the trade. That is one example, now I have this car going in for trade on my Camaro. To a chevy dealer the car is now 1yr old and is worth 20k to them (and to KBB apprently). But on the private market I can get 24k for the car.

So as that example it is all about the dealer you are going to work with.

Ok next thing you need to know is how much you can get financed. This depends on where you are. But for where I am (the northwest) Financing is dependant on the current market for the car. Such as I know many of the dealers around here have anywhere from 4k to 10k markups on the car. And since I am (you are too) 7k upside down on the car. You are basically dealing with a market adjusted rate or mark up.

The best thing to do is to have like Draco says, a good size down payment. I will have the Upside down as a down when i get around to actually getting the car.

The other thing to look at is the price of financing the car with the trade verse financing the car and keeping what you would have traded. I use an online calculator to work a lot of this financing information out.

http://www.edmunds.com/apps/calc/CalculatorController

use that calculator to try and figure some of these things out.

[fldrummer]

Originally Posted by 01pewterz28

If you have a Car Max in your area give them a try they have been paying top $$ for used cars here in Orlando. My buddy sold his 2006 Silverado 3LT Crew Cab with the 5.3L around 45k on the clock they gave him 21k for it very good condition he owed $19k on it

Really?! That's never been the case for me, down in so-fla. My dealer offered over $3K more for my Infiniti than CarMax did and it was in great shape, AND that was 4 months and several thousand miles after the CarMax quote I received. Needless to say, I just about laughed at the CarMax rep. when he pulled up the quote. By the way, I was pretty upside-down on mine too, despite playing catch-up for almost 2 years, but my tax return covered the rest, fortunately.

[huennekc]

So it sounds like it's more or less up to each different deal and or bank then?

[Verio]

Originally Posted by huennekc

So it sounds like it's more or less up to each different deal and or bank then?

It's up to the bank. The dealership is going to give you a trade-in amount no matter what. As long as you can find a bank to finance the negative equity in to the car deal, they don't care.

[TXInfernoSS]

Just try it and see. For the Camaro it might be hard because so many people are after them.. but you never know..

back in Sept 2008 when we got our expedition we wanted to trade our h3 hummer. most places/dealerships were wanting to give us between $14k and $16k. We owed $21k. We were able to find a dealerhip a couple of hours away with the exact options we were looking for. They gave us $21k for the h3 but asked us to get the extended warranty in return. We were going to do that anyway so done deal. And got 0% financing.

[mwoodengr]

While I am not upside down on my current car, I am very concerned about getting screwed on my trade in. Since I (like most) have already agreed to buy the car at MSRP, what real negotiating tactics do I have if they offer me some BS low ball trade offer?
I am going try and private sell it first, but believe that it may be hard to find someone that can afford a private sale, given the current credit markets.

I guess I can always delay the actual purchase of the car if the dealer low balls me on the trade, telling them I need time to sell my current car as a tactic. I just don't want to get screw'd out of $2-3k on my trade becuase they know that they are going to get the sale. Any thoughts?

[TXInfernoSS]

Originally Posted by mwoodengr

While I am not upside down on my current car, I am very concerned about getting screwed on my trade in. Since I (like most) have already agreed to buy the car at MSRP, what real negotiating tactics do I have if they offer me some BS low ball trade offer?
I am going try and private sell it first, but believe that it may be hard to find someone that can afford a private sale, given the current credit markets.

I guess I can always delay the actual purchase of the car if the dealer low balls me on the trade, telling them I need time to sell my current car as a tactic. I just don't want to get screw'd out of $2-3k on my trade becuase they know that they are going to get the sale. Any thoughts?

im sure they will work with you. even if they try to give you a little less go for some add ons.. tint, car cover, homelink.... whatever you didnt order from the factory.