Trade in Value

[Triggerhappy007]

Yup. Same as new cars -$150k/$300k

It's less for used, $75k/$150k.

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[metalpro2021]

Hold on to yours.
1. Wait for geo-politics to raise oil prices globally.
2. Wait for the inflation to go down, interest rates will fall
3. EV prices will go up again
In all other cases: accept depreciation like all other stuff

 

[Old Guy]

So, do you need a taller rear area vehicle for that cock-roaching big boy greyhound in your photo?

Hey Randy:

Unfortunately the greyhound in the picture, Tor, passed away last year because of Gastric dilatation-volvulus known as bloat. We now have a galgo also known as a Spanish Greyhound. A sighthound but not a greyhound. A hunting dog used in Spain by a certain class of hunters for running down rabbits and hares. Badly treated. Set out on the streets or killed after one or two hunting seasons. https://galgosdelsol.org/what-is-a-galgo/.

As to why we traded in the Mustang, there were a variety of reasons. I found it overly complicated; feared an imminent breakdown; coming from an Explorer, I found it too small and sitting too low to the ground; range anxiety; too long between OTAs; and a lack of trust in Ford.

My wife said that the Lexus is the last car I’m going to get. At my age, she’s probably right.

 

[nvabill]

Hey Randy:

Unfortunately the greyhound in the picture, Tor, passed away last year because of Gastric dilatation-volvulus known as bloat. We now have a galgo also known as a Spanish Greyhound. A sighthound but not a greyhound. A hunting dog used in Spain by a certain class of hunters for running down rabbits and hares. Badly treated. Set out on the streets or killed after one or two hunting seasons. https://galgosdelsol.org/what-is-a-galgo/.

As to why we traded in the Mustang, there were a variety of reasons. I found it overly complicated; feared an imminent breakdown; coming from an Explorer, I found it too small and sitting too low to the ground; range anxiety; too long between OTAs; and a lack of trust in Ford.

My wife said that the Lexus is the last car I’m going to get. At my age, she’s probably right.

I have never known anyone to buy their last car like they say! ?

 

[Kevin P]

Sold my 21 MMEGT for 68k in June of 22, right before the recall announcement, to the dealer I purchased it from. 8k miles. It was about $8k in overall profit, with the tax credit and sales tax and everything included. That dealer immediately sold it to another dealer in WI for what I am guessing was about $71k. It sat on their lot for MONTHS, and I strongly suspect it sold for below what I was paid for it. I am glad I got out when I did. Had I kept it and tried to sell now, I would get AT LEAST $20k less, based on what I am seeing in market.

 

[DennisD]

I have never known anyone to buy their last car like they say! ?

My dad is 91 and his "last" car was purchased 15 years ago. He has had around 5 since his "last" car.

He says this with every car purchased................

 

[Old Guy]

My dad is 91 and his "last" car was purchased 15 years ago. He has had around 5 since his "last" car.

He says this with every car purchased................

but it was my wife, not me, who said it.

 

[RickMachE]

It's less for used, $75k/$150k.

You are correct. I saw $150,000 and stopped reading. Good catch, corrected my post.

 

[TGIF]

For a European perspective, I paid 47k incl. taxes in May 2022, trade-in value seems to be around 33k at 12k kms Odometer. I was pretty surprised at that, especially considering buying a similarly configured vehicle new from Ford would be around 62k now.

When looking at the large amount of used Mach E's put up for sale by private sellers or on dealership lots, I was even more shocked, thinking that the Mach E was particularly undesirable. However, turns out other used EVs are hit with the same or even worse depreciation. A colleagues 2022 ID3 for example was 41k new and trade-in now hovers around 25k. Not to speak of the actual thousands of Tesla Model 3s sitting on lots because nobody in their right mind would pay just 3k under the new price for a used car when you can take delivery in mere days with Tesla.

I feel like the demand for used EVs is curbed by multiple factors, not the least of which are the new car focused subsidies, generally questionable economic outlook, high credit rates, and the typical EV buyer just being more interested in new cars, whereas the people interested in used cars are more budget-conscious and turned off by the aforementioned factors, leading to reduced demand - and thus, price. A due market correction also seems to be in progress.

Personally, I wouldn't panic over the somewhat disappointing trade-in values, however, I like my car well enough and have no reason to want to get rid of it immediately.

I wonder if many used car buyers are trapped into buying ICE cars which could have lower cost of entry but higher running costs.

 

[TGIF]

A car is a depreciating asset. Full stop. We got lucky with a bubble of time during which you could flip a car for a profit. Sorry, but there’s no excuse for not having recognized that it was an unusual situation unlikely to last.

To the extent that you are unhappy with the car, due to quality or performance issues, I do have sympathy. My first new car was a disaster (and I’ll never buy another GM product almost 40 years later). We all can make mistakes and hopefully they aren’t $50k ones. The best we can do then is to learn from it and move on.

 

[roguemustang]

but it was my wife, not me, who said it.

So was it a threat?

 

[jdsimard2012]

I sold my 2021 Premium for $16k more than I paid for it and then picked up a 2022 GTPE. Right now if someone does not want to wait for a MME, the resale market is good.

 

[ChuckA]

I have never known anyone to buy their last car like they say! ?

Like Cher’s “Farewell Tour” which started 15 years ago!

 

[voxel]

I wonder if many used car buyers are trapped into buying ICE cars which could have lower cost of entry but higher running costs.

I think worse off is new EV buyers who bought a vehicle beyond their budget and now stuck in major negative equity territory.

I know some brag about selling/trading their Mach-E during their peak but if you traded into another EV you are also underwater. My BMW i4 (which I loved) basically depreciated 20-25% in 6-9 months. Thankfully the first half was bore by my friend (first owner) who paid markup on it too.

Every single EV... I've seen massive depreciation. The worst being Polestar. I don't see it improving with the Tesla's price war and new tax credits.

 

[RickMachE]

Underwater depends on how you financed the asset. If you buy an asset and it devalues, you are not underwater. Underwater is when principal of the asset exceeds value. But it only matters if you plan on selling it. Otherwise, when you're about 3 years into a 4 year loan, your are no longer underwater.

With large depreciation in year 1, everyone is normally underwater for at least 2 years.

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