Trade in Vs Private sale?


Dirtman

Well-known member
EMT / Paramedic
Joined
May 28, 2018
Messages
3,375
Reaction score
1,426
Points
113
Location
Over there --->
Vehicle Year
2009
Make / Model
Ford
Engine Type
2.3 (4 Cylinder)
Engine Size
466.63 teaspoons.
Transmission
Automatic
2WD / 4WD
2WD
Tire Size
So friggin big!
My credo
Give me money.
I've only bought 2 new cars in my life and paid cash both times. Never did a trade in, have no haggling skills etc. In a nutshell, I'm terrible at dealing with dealerships.

I've decided Im going to get rid of my 2013 lincoln mkx and get a new edge for my mom. I never drive the lincoln and no point in her making payments on something she will probably drive twice and end up mine anyway.

So here's the question, is it better to sell my mkx privately and use the cash for the down payment, or just trade it in? It's an 2013 with 47,xxx miles. Perfect mechanically and cosmetically. How do I even get a legitimate estimate as to what it's worth? Kbb is basically just a scam these days.

Also since I dont have 40 grand laying around I'll be financing the new edge, any tips for making sure I get a good deal? I bought both my ranger and fiesta new as leftovers and just waved cash in the salesman's face... no idea how to figure out a fair price on a new car, especially when dealing with financing.

Help me not get screwed to hard on this terrible investment. I'm legitimately dreading this entire thing... I dont want to make payments on a car, I dont want an edge, I hate dealerships, I dont know how any of this works. But it's my mom, gotta do what ya gotta do.
 
Last edited:


Rock Auto 5% Discount Code: 173A8B749AB83C Expires: January 1, 2020

Grumpaw

Active member
Law Enforcement
U.S. Military - Veteran
Joined
Mar 20, 2019
Messages
309
Reaction score
212
Points
43
Location
Virginia
Vehicle Year
2009
Make / Model
Ford Ranger XL
Engine Type
2.3 (4 Cylinder)
Transmission
Automatic
2WD / 4WD
2WD
Total Lift
Stock
Total Drop
Stock
Tire Size
Stock 225/70/15
Buddy, I've done the sell/trade bit mucho times in the past and there are several ways to go...
First I would get an approx. of what it's worth by checking online auto trader or car guru and seeing what similar vehicles are selling for.
Also check on line Kelly Blue Book and Used Vehicle Values. Simply enter your veh info and condition and they will give you a rough estimate of what you can get for it via private sale and/or trade in.
Depending on deals from Ford as far as rebates/financing/end of year stuff, they may not be able to give you top dollar on a trade...they will always try to low-ball you.
They can lower the price on their new vehicle but give you less for your trade, or not budge on their price and give you a bit more on yours.
Nice thing about trading is that the dealer does all the paperwork and transfers between the two vehicles.
If you sell you'll end up having to do the paper work, bill of sale, title transfer, ect.
I've done both over my many senior years, and if you are careful in your wheeling and dealing, one has no real benefit over the other.
Of course, if this has to be done fairly quickly, than a trade in is your best bet, unless you can play the waiting game for a buyer for your Lincoln.
Grumpaw
 

Dirtman

Well-known member
EMT / Paramedic
Joined
May 28, 2018
Messages
3,375
Reaction score
1,426
Points
113
Location
Over there --->
Vehicle Year
2009
Make / Model
Ford
Engine Type
2.3 (4 Cylinder)
Engine Size
466.63 teaspoons.
Transmission
Automatic
2WD / 4WD
2WD
Tire Size
So friggin big!
My credo
Give me money.
I dont need the mkx as a vehicle... so selling it and not having it is no issue, HOWEVER. I dont think I'll be able to swing as good of a deal at the dealership if I go in without the mkx for trade or cash in hand from its sale.

I told my mom to stop looking and I'll get her a car before christmas so I've got 2 months to figure it out.
 

ericbphoto

Old Redneck just wingin' it.
Supporting Member
U.S. Military - Veteran
TRS 20th Anniversary
Joined
Feb 7, 2016
Messages
2,915
Reaction score
830
Points
113
Age
55
Location
Wellford, SC
Vehicle Year
1993
Make / Model
Ford Ranger
Engine Size
3.0L
Transmission
Manual
2WD / 4WD
4WD
Total Lift
6"
Tire Size
35"
My credo
In theory, theory and practice are the same. In practice, they are different.
If you have that much time, I would try private sale. Follow grumpaws advice on estimating a value. List it little bit high figuring you'll have to come down a little bit for the seller. It sounds like you have a vehicle that should sell easily.
 

Grumpaw

Active member
Law Enforcement
U.S. Military - Veteran
Joined
Mar 20, 2019
Messages
309
Reaction score
212
Points
43
Location
Virginia
Vehicle Year
2009
Make / Model
Ford Ranger XL
Engine Type
2.3 (4 Cylinder)
Transmission
Automatic
2WD / 4WD
2WD
Total Lift
Stock
Total Drop
Stock
Tire Size
Stock 225/70/15
KBB lists your MKX in good condition as worth 14-17 thousand in a private sale, and 12-14 thousand as a trade in. These valeus I just found as an average, as I don't know condition/options ect.
In Very Good Condition, add another 2 thousand to either sale or trade.
But ask yourself this one question...
figure what it's approx worth, and ask yourself would you pay that amount if YOU were looking for an MKX...
And, you may get a bit more if you find a low mileage used Edge, a year or two old...it will already have lost a bunch in depreciation, but still be under factory warranty.
To be honest with you, wife and I will never buy a new vehicle again...the minute you drive it off the lot you lose 15-20% of it's value.
We are Subaru lovers, and this past April I bought a 2018 Subaru Outback Touring, for my wife, their top of the line rig, originally sold for over 40 grand. Had only 22,000 miles on it, and got it for 28 thousand. Adult original owner was just too confused with all the bells and whistles and got a Forrester instead. But one year old for almost 13 grand less than a new one.
Grumpaw
 
Last edited:

snoranger

Well-known member
Supporting Member
ASE Certified Tech
Joined
Nov 25, 2007
Messages
4,344
Reaction score
626
Points
113
Location
Jackson, NJ
Vehicle Year
'79,'94,'02,'17
Make / Model
All Fords
My credo
I didn't ask for your life story, just answer the question!
Don't forget about the taxes...

Any "money" from the trade in is taken off before taxes. If you sell it then go with cash, you will pay tax on that cash.
 

Dirtman

Well-known member
EMT / Paramedic
Joined
May 28, 2018
Messages
3,375
Reaction score
1,426
Points
113
Location
Over there --->
Vehicle Year
2009
Make / Model
Ford
Engine Type
2.3 (4 Cylinder)
Engine Size
466.63 teaspoons.
Transmission
Automatic
2WD / 4WD
2WD
Tire Size
So friggin big!
My credo
Give me money.
I thought buyer was responsible for tax... once I sell it and sign the title over it's the other person's problem to pay tax, registration, title transfer and all that fun stuff?

As for condition it has accidents on carfax but minor and everything replaced not fixed. The car is as mint as you can get. No rust, not one blemish on the paint, and runs perfect. Even the engine, trans ect doesn't even have a wet spot of an attempted leak. This is why I'm nervous about a dealer ripping me off on trade in. You cant find a 7 year old mkx in this good of shape.

Or am I just being overly enthusiastic about it...
 
Last edited:

Grumpaw

Active member
Law Enforcement
U.S. Military - Veteran
Joined
Mar 20, 2019
Messages
309
Reaction score
212
Points
43
Location
Virginia
Vehicle Year
2009
Make / Model
Ford Ranger XL
Engine Type
2.3 (4 Cylinder)
Transmission
Automatic
2WD / 4WD
2WD
Total Lift
Stock
Total Drop
Stock
Tire Size
Stock 225/70/15
I thought buyer was responsible for tax... once I sell it and sign the title over it's the other person's problem to pay tax, registration, title transfer and all that fun stuff?
Depends on your state. Here in Va if I sell a vehicle, the new owner has to pay the tax on the amount he paid, listed on title (fair market value) so you can't low ball to avoid tax amount.
New owner will pay tax at time he registers veh in his name.
Grumpaw
 

ericbphoto

Old Redneck just wingin' it.
Supporting Member
U.S. Military - Veteran
TRS 20th Anniversary
Joined
Feb 7, 2016
Messages
2,915
Reaction score
830
Points
113
Age
55
Location
Wellford, SC
Vehicle Year
1993
Make / Model
Ford Ranger
Engine Size
3.0L
Transmission
Manual
2WD / 4WD
4WD
Total Lift
6"
Tire Size
35"
My credo
In theory, theory and practice are the same. In practice, they are different.
He was talking about tax on your new car. If you trade, you may only pay sales tax on the difference. If you pay cash/finance, you pay sales tax on the whole amount.

I think.
 

snoranger

Well-known member
Supporting Member
ASE Certified Tech
Joined
Nov 25, 2007
Messages
4,344
Reaction score
626
Points
113
Location
Jackson, NJ
Vehicle Year
'79,'94,'02,'17
Make / Model
All Fords
My credo
I didn't ask for your life story, just answer the question!
He was talking about tax on your new car. If you trade, you may only pay sales tax on the difference. If you pay cash/finance, you pay sales tax on the whole amount.

I think.
Yes, this.
 

Dirtman

Well-known member
EMT / Paramedic
Joined
May 28, 2018
Messages
3,375
Reaction score
1,426
Points
113
Location
Over there --->
Vehicle Year
2009
Make / Model
Ford
Engine Type
2.3 (4 Cylinder)
Engine Size
466.63 teaspoons.
Transmission
Automatic
2WD / 4WD
2WD
Tire Size
So friggin big!
My credo
Give me money.
Well I was talking about tax on the mkx, but... never thought about 40k worth of tax on the new car... ugh. I assume that's just rolled into the finance payments?

I'm gonna start drinking now...
 

ericbphoto

Old Redneck just wingin' it.
Supporting Member
U.S. Military - Veteran
TRS 20th Anniversary
Joined
Feb 7, 2016
Messages
2,915
Reaction score
830
Points
113
Age
55
Location
Wellford, SC
Vehicle Year
1993
Make / Model
Ford Ranger
Engine Size
3.0L
Transmission
Manual
2WD / 4WD
4WD
Total Lift
6"
Tire Size
35"
My credo
In theory, theory and practice are the same. In practice, they are different.
Well I was talking about tax on the mkx, but... never thought about 40k worth of tax on the new car... ugh. I assume that's just rolled into the finance payments?

I'm gonna start drinking now...
I'll join you, from a distance, in about 45 minutes.
 

Dirtman

Well-known member
EMT / Paramedic
Joined
May 28, 2018
Messages
3,375
Reaction score
1,426
Points
113
Location
Over there --->
Vehicle Year
2009
Make / Model
Ford
Engine Type
2.3 (4 Cylinder)
Engine Size
466.63 teaspoons.
Transmission
Automatic
2WD / 4WD
2WD
Tire Size
So friggin big!
My credo
Give me money.
I'm pretty sure my credit must be awful. I dont use credit cards, I finance nothing, I have equity in my property i guess but I just was raised to never buy anything unless you have the money. I pay my bills with money... in this culture though I guess I'm the jerk?

I have 2 bank accounts, a debit thingy and a savings account. I'm told I have some retirement account but I dunno how that works. I plan to die for my retirement.
 

Josh B

Active member
Supporting Member
TRS 20th Anniversary
Joined
Aug 15, 2019
Messages
363
Reaction score
74
Points
28
Location
Oklahoma
Vehicle Year
1993
Make / Model
Ford Ranger
Engine Type
4.0 V6
Transmission
Manual
2WD / 4WD
4WD
"Everybody drives a used car" ;)
It seems to me Dirtman you have time yet to try both routes. I wouldn't even much try the haggling route, set a fair price on it and go with it. Most likely the first ones there will be dealers looking to steal it and make a mint with it on their car lot. Stick to your guns, if you go into it prepared to haggle you'll get just that, and Nobody will want to stop upon arriving at your predetermined "fair price".
You'll get to know when the really interested buyers come along, you could of course leave a little room on their behalf, if they're good folks and catch you on a good day, you could still cut a little slack without hurting yourself.
There's all kinds of ways to go with it, just tossing in a few ideas of my own. Good luck whichever way you go
 

adsm08

Well-known member
Supporting Member
Ford Technician
TRS 20th Anniversary
Joined
Sep 20, 2009
Messages
31,888
Reaction score
1,229
Points
113
Location
Dillsburg PA
Vehicle Year
1987
Make / Model
Ford
Engine Type
4.0 V6
Engine Size
4.0
Transmission
Manual
2WD / 4WD
4WD
Tire Size
31X10.50X15
I thought buyer was responsible for tax..
Sno is talking about taxes on the new car. If you buy a 60K Edge and trade the MKX at 12K you are paying sales taxes on a purchase price of 48K. If you sell the MKX for $16K, use the money as a down payment on the $60K of Edge you are paying sales tax on $60K of vehicle purchase price.

Depending on your state's sales tax it might come out to be a wash with the trade in and private sale numbers being so close.

If it makes you feel better I am no good at this either, which is one of the reasons I work at a dealership. I wanna buy a new car, D-plan, price is set in stone, no real need to negotiate. One thing I do know, is that if you decide to trade the MKX instead of selling it yourself, drive it in, look around, pick a car, do ALL of your negotiating on price while letting the salesman think you are not trading anything (don't say you aren't sure, or you might, let him think you aren't), and then after you have arrived at and agreed on a price for the car you are buying, THEN you ask about getting a trade in value on the MKX. If you do it that way you negotiate the price of the car you are buying and trading seperately, if you hint that you might trade something then the dealer can bump the price of the one you are buying back up and/or devalue your trade to try and hit the numbers they want. You want to negotiate the prices of the two cars seperately on their own merits because it leaves you in control of the prices, with the ability to walk away from either or both deals if you can't get the numbers you want. If you let them think you have a trade, or worse yet know you have one and what it is, they can turn the whole deal into a zero-sum game for their own pocket book.
 


Top