Trade In Story – My Prius Is Only Worth What?!

[stew6789]

Short version of the story…

I just got back from the dealer. I stopped by tonight to see about trading in my 30 month old Prius for a new one. They told me my Prius was worth $11,000! 30 months ago it was $26,000 - today $11,000 or 42% of what I paid!

Long version of the story…

I live in Indianapolis Indiana. This weekend the Toyota dealership I have been doing business with for years (Obrien Toyota) had some commercials on TV, offering Prius for up to $5000 off. I thought maybe I could trade in my 30 month old Prius for a brand new one for a couple of thousand dollars. They do offer $5,000 off but only if you buy the most expensive options package (I should have known). They did offer $2300 off; not bad I thought.

I should mention that the car needs some work. It needs new tires. Also I dented the hood and it needs to be replaced. All the repairs should only be around $1200. Obrien quoted me $600 to repair the hood. The car has 32k miles. The car is in very good condition. All service has been done on time at the dealer.

The shocking part was what they told me my car was worth $11,000. When I bought the car exactly 30 months the price was over $26,000. If you add the $1,200 for the repairs, that gets you to $12,200 or %47 of what I paid.

So my Prius is back in the garage. Please someone tell me they were trying to rip me off!

[thedutchtouch]

we're in a recession and gas is relatively low.

cars depreciate.

the dealer's asking for less than you'd be able to sell to a private party cause they're going to turn around and sell it.

[JimN]

Read www.carbuyingtips.com. The dealer has one objective--maximize profit. This is done in two steps. First, get the customer to pay the most for the new car. Second, get the customer to accept the least for the trade-in. If a dealer has a dozen new ones sitting on the lot they really don't need your used one.

[Tideland Prius]

wow... that's pretty bad. But yeah I suppose in this economy, it will be hard to sell a car and dealers are already having a hard time selling a new one.

[DaveinOlyWA]

no mileage, other issues, general condition of the car?? not giving us much to go on and realize trade-in value is the lowest you can get.

what are other Pri's in with similar specs selling for?

around here, you could get $16,000+ pretty easy

[paprius4030]

How many miles are on it? The next buyer freaks out if the car has high miles.

[stew6789]

Originally Posted by paprius4030

How many miles are on it? The next buyer freaks out if the car has high miles.

The car has 32k miles. The car is in very good condition. All service has been done on time, at the dealer.

[DaveinOlyWA]

that many miles on an 07 is pretty much within range.

[JSH]

Originally Posted by stew6789

The car has 32k miles. The car is in very good condition. All service has been done on time, at the dealer.

With all due respect your car is not in very good condition. You have said that it needs tires and has a dent in the hood. Most trade-ins will go straight to a wholesale auction as-is. He is looking to make money on your trade to make up for the discount on the new Prius. He isn't trying to rip you off he just isn't giving you a great deal.

Kelly Blue Book pricing your car at $13,000 for a trade-in that is in Fair condition.

Fair Condition:

• Some mechanical or cosmetic defects and needs servicing but is still in reasonable running condition.
• Clean title history, the paint, body and/or interior need work performed by a professional.
• Tires may need to be replaced.
• There may be some repairable rust damage.

[DeadPhish]

Originally Posted by stew6789

Short version of the story…

I just got back from the dealer. I stopped by tonight to see about trading in my 30 month old Prius for a new one. They told me my Prius was worth $11,000! 30 months ago it was $26,000 - today $11,000 or 42% of what I paid!

Long version of the story…

I live in Indianapolis Indiana. This weekend the Toyota dealership I have been doing business with for years (Obrien Toyota) had some commercials on TV, offering Prius for up to $5000 off. I thought maybe I could trade in my 30 month old Prius for a brand new one for a couple of thousand dollars. They do offer $5,000 off but only if you buy the most expensive options package (I should have known). They did offer $2300 off; not bad I thought.

I should mention that the car needs some work. It needs new tires. Also I dented the hood and it needs to be replaced. All the repairs should only be around $1200. Obrien quoted me $600 to repair the hood. The car has 32k miles. The car is in very good condition. All service has been done on time at the dealer.

The shocking part was what they told me my car was worth $11,000. When I bought the car exactly 30 months the price was over $26,000. If you add the $1,200 for the repairs, that gets you to $12,200 or %47 of what I paid.

So my Prius is back in the garage. Please someone tell me they were trying to rip me off!

Here is the key point that everyone overlooks when offered 'too-good-to-be-true' deals on new cars such as the $5000 off a new 2009 Prius. This $5000 discount also affects USED CARS.

If like last summer Prius' were in short supply and every new Prius was bringing MSRP, not a $5000 discount, then your 30-month old Prius in normal condition and miles would be 'worth' about $16000 or more even, not the $11000 that you were offered.

It's all simply supply and demand. Right now in the US auto market there is little or no demand for any vehicle. That's why there's a $5000 discount on a new Prius. But it goes for USED Prius' as well. There simply are no buyers!!! The US public for the most part is sitting on its hands.