Negotiation Advice Needed -- Used 2011 Model

[wevudo]

We bought our Rav4 through the Hertz rent to buy program spring 2012 during one of thier promo's. 2011 2.5 AWD, upgraded rims, tinted windows, roof rack, 30K with warranty. Total $15,900. I was truly impressed with the price, and the car has been fantastic (knocks on wood)

[txpackers]

Originally Posted by Corolla2Rav4

It looks like my trade-in may be worth closer to $10K. I know I’m letting go of the Corolla early…We have a need for a bigger car and we can’t keep two cars (essentially, we only drive one car per day). I haven’t looked at the CarFax report (I’m seeing it when I go to the dealer for my first visit tomorrow). Below is a recap of the pricing from various sites. I’m thinking of focusing on the cost of the Rav4 first – starting at $18K and not willing to go beyond $19K. This price is inclusive of all dealer charges but without local sales tax. I’ll discuss the Corolla once the Rav4 price is set – starting at $11K and not willing to go lower than $10K. I’ll mention cash last since that won’t win me any points, but I'll make it clear I'm trading in since withholding this isn't going to win me much. Any thoughts on this approach? Thanks guys – this is really helping me out!

2011 RAV4
Edmunds: $20,126 (retail), $16,700 (trade-in)
NADA: $20,725 (retail), $17,259 (trade-in)
KBB: $20,459 (retail), $17,459 (trade-in)

2010 Corolla S
Edmunds: $12,297 (retail), $10,037 (trade-in)
NADA: $15,250 (retail), $10,600 (trade-in)
KBB: $16,173 (retail), $9,688 (trade-in)
Dealership:$15,900 for 2009 S Model with 15K miles

That would be a great price if you can get the RAV4 for $18k. I bought my 2011 used back in October. It was the base model with the upgrade value package and had about 17k miles on it. They had it sticker price at $22,500. I started at $18,000. The lowest they would come down to is $19,500 and they wouldn't go any lower because I wanted mud flaps included at that price. So I walked out. A few days later they called back and I they came down to $18,800 when I took the mud flaps off the table (I did that install myself in about 20 minutes for less than $40). I thought it was a fair price based on what similar RAVs in the area were selling for.

If I were you I would sell the Corolla myself and not trade it in. With the low miles and recent year, you will sell it quickly on Craigslist. I've traded in cars as part of a new car deal twice and lost too much money both times. I've never done it again. No matter how well you do on one side of the offer, they'll ensure you lose on the other.

[DenverMR2]

Originally Posted by txpackers

That would be a great price if you can get the RAV4 for $18k. I bought my 2011 used back in October. It was the base model with the upgrade value package and had about 17k miles on it. They had it sticker price at $22,500. I started at $18,000. The lowest they would come down to is $19,500 and they wouldn't go any lower because I wanted mud flaps included at that price. So I walked out. A few days later they called back and I they came down to $18,800 when I took the mud flaps off the table (I did that install myself in about 20 minutes for less than $40). I thought it was a fair price based on what similar RAVs in the area were selling for.

If I were you I would sell the Corolla myself and not trade it in. With the low miles and recent year, you will sell it quickly on Craigslist. I've traded in cars as part of a new car deal twice and lost too much money both times. I've never done it again. No matter how well you do on one side of the offer, they'll ensure you lose on the other.

You have to consider you are charged sales tax on the difference of the cost of the new vehical vs your trade in. If your car has a lot of value ($10K) to the math of how much more you would make selling it outright (w/ the hassles involved) vs. how much you would save in sales tax.

BTW, there are a few NEW 2012 Rav4 FWD's in the Denver area for under $20K

[DenverMR2]

Originally Posted by txpackers

That would be a great price if you can get the RAV4 for $18k. I bought my 2011 used back in October. It was the base model with the upgrade value package and had about 17k miles on it. They had it sticker price at $22,500. I started at $18,000. The lowest they would come down to is $19,500 and they wouldn't go any lower because I wanted mud flaps included at that price. So I walked out. A few days later they called back and I they came down to $18,800 when I took the mud flaps off the table (I did that install myself in about 20 minutes for less than $40). I thought it was a fair price based on what similar RAVs in the area were selling for.

If I were you I would sell the Corolla myself and not trade it in. With the low miles and recent year, you will sell it quickly on Craigslist. I've traded in cars as part of a new car deal twice and lost too much money both times. I've never done it again. No matter how well you do on one side of the offer, they'll ensure you lose on the other.

You have to consider that the buyer is going to pay full sales tax on the 'new' vehical w/o a trade in. If the Corolla is worth $10K trade in that's about ~$750 more he would have to pay. If he could get $1500 more on CL, then do it...

Here's a NEW 2012 FWD Rav4 in the Denver area for $20.5K
http://www.stevinsontoyotaeast.com/n...5489d6ff61.htm

[wevudo]

The RAV you are referring to for $20.5 is if you get a college grad discount and maybe other discounts you may not be eligible for. We saw the same thing earlier this year when they advertised a certain price, but you had to be a recent graduate as well as a military member to save $2500.

[Scout706]

If you have your own financing, bank or CU, you will have a few weeks to sell the corolla before the first payment is due.

[txpackers]

Originally Posted by DenverMR2

You have to consider that the buyer is going to pay full sales tax on the 'new' vehical w/o a trade in. If the Corolla is worth $10K trade in that's about ~$750 more he would have to pay. If he could get $1500 more on CL, then do it...

Here's a NEW 2012 FWD Rav4 in the Denver area for $20.5K
2012 Toyota RAV4 For Sale | Aurora CO .

Good point. In my experience though, you should always be able to sell it for more money than the sales tax differential. Example: I got an estimate on trading in a Jeep Grand Cherokee I owned with less than 70k miles. The dealer offered $7,200 for the trade. I put out a free add at work and sold it in less than a week for $10,500. The sales tax savings was negligible compared to the extra money I sold it for.

[DenverMR2]

Originally Posted by txpackers

Good point. In my experience though, you should always be able to sell it for more money than the sales tax differential. Example: I got an estimate on trading in a Jeep Grand Cherokee I owned with less than 70k miles. The dealer offered $7,200 for the trade. I put out a free add at work and sold it in less than a week for $10,500. The sales tax savings was negligible compared to the extra money I sold it for.

What was the KBB trade in value for your Cherokee? My Tacoma (which I'm thinking of trading in on a new RAV) has a KBB dealer trade in value of $22800. The private sale estimate is ~$24K. I'm wondering how much lower the dealer will offer than KBB. If its a lot lower than KBB, I'm not buying...

[txpackers]

Originally Posted by DenverMR2

What was the KBB trade in value for your Cherokee? My Tacoma (which I'm thinking of trading in on a new RAV) has a KBB dealer trade in value of $22800. The private sale estimate is ~$24K. I'm wondering how much lower the dealer will offer than KBB. If its a lot lower than KBB, I'm not buying...

That was about 12 years ago so I don't remember the exact KBB number. I do remember I got more than the KBB number. I took it to a professional detail shop and paid $250 to have it fully detailed inside and out. Looked like it was brand new when they were done which is why it sold so quickly.

If your trade in value from KBB is $22,800, expect them to come in at $19,000 - $20,000. If they offer blue book, then you're probably spending too much on the new car.

[dandel]

Originally Posted by Corolla2Rav4

Hi all -- The dealership I bought my Corolla from has this used model on it's lot:

• Make: 2011 Toyota RAV4 4DR I4 FWD
• Engine: 4 Cyl - 2.5L
• Transmission: Automatic
• Color: Super White
• Mileage: 2,500
• Sticker Price: $21,380

The mileage and the price seem great. The KBB price I'm seeing is $20,459 (see here: Kelley Blue Book).

I'm planning to trade in my 2010 Corolla S model (35K miles). The KBB trade-in value for my car is ~$9K.

How far off does this price seem from a good deal? Any thoughts on negotiating tactics and a firm offer price to stick to? I'm paying cash, and I am working with the sales associate I bought our Corolla from 2 years ago.

I paid $21,500 for my brand new 2011 base Rav4 two years ago.