I owe about $38k more on my car, the trade-in value is around $35k. I'd like to trade it in for a car at the dealership marked at around $25-33k~ to lower my monthly payments.
Is this feasible?
How does this work?
Would it be wiser to sell the car to a private party and buyout the loan with another private party's loan?
2007-02-20 04:41:00 · 7 answers · asked by Anonymous in Cars & Transportation ➔ Buying & Selling
Here what they do
you owe 38
its worth 35
you owe $3000 more than its worth
new car is 25k they will finance the new car price plus what excess you owe all on the new car if your credit is good enough
2007-02-20 04:45:58 · answer #1 · answered by Anonymous · 0⤊ 1⤋
If they give you full trade in value (which I doubt) then the they will pay off the extra 2k and finance that into your new loan.
If you owe 35k and the car you want is 33k your loan will not change much if at all and it might actually GO UP (33k + 3k that you owe from your original loan + taxes and fees that they add on at the end of the handshake).
I say just keep the car and cut costs someplace else.
if you sell the car to a 3 party no way would they pay you 35k for it when they could get it NEW for about 50 bucks more on the loan and a better loan rate from the dealer.
If you want to cut costs try a seriously cheaper car
The toyota camary is very nice and can be had for around 20k but the dealer financing with good credit (0% and 5% ) will make the majority of the difference!
2007-02-20 04:48:42 · answer #2 · answered by lisa s 6 · 0⤊ 0⤋
I'am a car dealer, so here's the scoop. You will always be able to sell your trade for more than a dealer can allow you. If you would like an idea what the dealer is going to allow you on trade, go to kelleybluebook.com and enter the necessary information to get the trade in value on your car. If the dealer allows you $35k for your trade and you owe $38k, the difference will be tacked on to your new loan. If you are correct on your values, it is feasible to lower your payments on a less expensive vehicle. Most people are far more upside down than yourself and if you need anything else, let me know, and I will check on your details later. Good luck!
2007-02-20 04:50:45 · answer #3 · answered by Rhettski 4 · 0⤊ 0⤋
Owe 38 K
Worth 35 K
results in -3 K
If the new car is 25 K, then the dealer will "pay the 3 K" and add that to the loan of your new car.....providing your credit is okay. So you be making payments on 28 K......instead of your higher amount.
Translation......it should lower your payments providing your finance period (months of the loan) are the same as your last loan.
It would be wiser to sell it your self. You won't take near as big a hit.
2007-02-20 06:00:22 · answer #4 · answered by AuburnCliffDweller 1 · 0⤊ 0⤋
you better off selling the vehicle to private. if you trade in, you will loose more money. the trick dealers use is to buy your car back and raise the amount on the newer vehicle. salesman will play with your mine by change interest rates or show you bogus list prices
2007-02-20 04:49:09 · answer #5 · answered by LEXUSRY 5 · 1⤊ 0⤋
because of the depreciation of your car to the amount owed they can usually get you into something that is what you owe as long as your credit is good they may be able to re-write the loan just talk to them
2007-02-20 04:45:43 · answer #6 · answered by ja man 5 · 0⤊ 0⤋
They can carry it over to your next purchase, but you'll more than likely get screwed on the deal.
2007-02-20 04:44:27 · answer #7 · answered by rockout 2 · 0⤊ 0⤋