The dealership is giving your friend Fair Market Value on the trade-in but since he is a loyal customer/idiot repeat customer, they didn't need to mark it up since he will be back the following year.So, I'm having a hard time believing this story, but just wanted to get everyone's opinion on this.
A friend of mine buys a new car every year. He's been doing that since the mid-sixties. Fast forward to the last ten years, or so. He bought a Corvette C7 every year you could get one: 14, 15, 16, 17, 18, 19. He was one of the few people in our area able to get a 2020 C8, a yellow one. He ended up not getting a 2021 C8 and opted to keep the 2020. Main reason behind this was the 2020's were released so late in the year, and took forever to get built. He did try getting a 2022 but, no dealer around here had any allocations.
So, I just had lunch with him. He had decided to go for a 2023 C8. The appraised price on his 2020 C8 (1LT, no options, low miles, retail $61k) ended up being $79k. I am just floored by this. Not only that, the dealer he is buying the 2023 from isn't charging a dealer markup. So, not only does he get his 2023 FREE, he doesn't have to pay any tax, AND gets a check for like $17-18k.
Not sure what to think but, I almost don't believe it and told him to get it in writing.
Different dealership. I don't think he's done business with them before.The dealership is giving your friend Fair Market Value on the trade-in but since he is a loyal customer/idiot repeat customer, they didn't need to mark it up since he will be back the following year.
It worked out for your friend this year, but he basically lost money every year prior. I doubt his one year of making money offsets all the prior years' loss.
Keeping the car until the 2023 comes in/is built. Production starts on May 9th, I think he said. Although, knowing Corvette, he probably won't receive it until early July. They really drag things out.Is he trading in the 2020 now and waiting on delivery for the 2023?
Only thing I can think is that dealers are desperate for inventory,it still seems a little excessive, but I have no idea maybe grandpa that's about to die needs that Vette before he goes, damn the price.
I just looked since I have been curious for a while about our two purchases just before the Pandemic.
In February 2020, we paid just under $22k for a 2019 Ford Escape (new leftover/dealer loaner with 3k miles) and KBB thinks it would trade for just about the same now, over two years and about 20k miles later. With private sales a few thousand over that.
In March 2019, we paid $16k for a used 2014 Ford Flex with 80k miles. And today 3 years and 60k more miles later, trade says 8-10k but private sales around 13-14k for similar miles look common from a quick search.
It sounds like if you can get a new car, now is the time to do it. Used are at such a premium that I guess I can be moderately glad now that I had two cars (an 03 Taurus with 280k and an 09 Suzuki Aerio with only 100k) die on me in consecutive years).
Different dealership. I don't think he's done business with them before.
Yes, he was trading in his car for whatever new one he was buying. In the case of his C7's, he was paying like $10k every time to buy a new one but, getting $45-50k trade-in every time.
Whatever. It's his one hobby, in every other respect, he is a miser and a penny pincher.