In the past, I've had dealers tell me to trade before 75K or 60K or 50K or 3 years, etc. From your experience, is there a best time to sell or trade a car or truck before the value plummets? Do the price / age and price / mileage graphs look linear or like hockey sticks?
From what I've seen on dealership lots, 100k or 62,000 miles, after that and you won't get as much for your vehicle.
Just what I've noticed.
07-19-05, 10:16 PM
Absolutely, in the U.S. at least, 70K is pretty much the ceiling for anything less than 10 years old. Past that they instantly start looking at your trade as a wholesale proposition. Of course thats not all there is to it, if you have a desireable vehicle with a strong resale value thats been well taken care of, sometimes you can get a little more, but you have to remember that to the next buyer searching the online ads and browsing the lots, the dealer spiffed up 2001 STS with 48000 miles will always be more appealing than the 75000 mile one that has zero problems and is probably better taken care of, and buyers will be just as adamant about getting the dealer to lower their price. This is the reason why the number one question out of every dealer's mouth when you say "Im trading that in" is "How many miles are on it?". Generally 12-15000 miles per year is a healthy average, a 2004 with 45000 miles is just as bad as a 2001 with 85.
This is why Ive learned to purchase my used vehicles with WELL below average mileage. For example, the 740 down there has 30k on it and its a 2001. That leaves me a 20-40000 mile cushion to drive it and STILL be at industry average even after all those miles! Since at the longest interval I usually will keep something about 2 years, that should be plenty reasonable for me to get a strong amount for it at the end of my time with it.
Private sale... eh, thats a different story, private sale is really all about you matching up with the right buyer. If you find the right person to buy your car, and adjust your price to a reasonable number, you wont take as BIG a hit for mileage, but you will still have to pay for it.
5 years & hopefully not more than 50,000 miles, is that lowest amount of loss -vs- the most amount of use. Until the 4th year depreciation is gigantic. The fourth year completed it levels off, and throws you a bonus in very little depreciation on the 5th year. Best time to sell it (privately is best for YOU), is at the start of the car's actual 5th year on the road.
Example: You take delivery on April 1st 2004, buy as new one on April 1st 2009.
07-20-05, 02:58 PM
I'm wondering if there is difference at 100K miles.....psychologically the 6 figures mileage probably has an effect.
I am coming up on 100K on my deville (currently at 94K) I think its a good time to sell it right now, otherwise keep it for a few years well into 6 figures......what do you guys think?
Final Wash Time.
Young people do not wince so badly at high mileage as do people over 40. Most 20 year olds will be glad to take a shot at at a 85,000 mile car, and frequently get very good deals on cars that serve them well. Older people will NEVER take the chance. Some of them consider 50,000 miles too high !
I learn this when I sold new cars for only 27 years.