Diminshed Value

[crm2kmsu]

Hey everyone, I took my LS in to the dealer to see what they would give me for it (gas is killing me). They checked everything out including the carfax that showed the car had been rear ended. Well the car substained minimal damage which was all fixed by the dealer's body shop. Well, to make a long story short they offered me 9500 dollars for an 02 LS8 with 63k miles fully loaded, which i think is ridiculous.

Has anyone else had a problem with diminished value from an accident (that was repaired)? If so were they able to sell it private party no problem.

Thanks....

 

[Mac98SHO]

I paid 15K-16K for 01 with 64,000 on the clock. It was apparent it been hit few times, but repair and straight... did not seem to affect the value for the Lincoln dealership. I believe if it reapired good, that will not affect the value if anything the new paint will help get it close the the boo value. They were probally using that as excuse to say it worth less.

I even got the Oasis report since the vehicle orignated from the same dealership.

Keep trying other places, I do know there is trade value and retail value they are quite different.

 

[Midas78]

:L If you're willing to go a little upside down in payments.... 10k is a good trade-in. Just plan on keeping the next car until its paid for. I went in a little upside down on my Lincoln LS, I don't regret it, but my income went up and I was looking for something newer, just not ready to be upside down again. Plus - :L

 

[Beamer]

I have had tons of problems trying to get a deal for mine, like you the gas and just payments are not too much but it would be nice to have something better alround. Most I had offered was 17K and I still could not get the deal I was looking for. Pretty much if you get an LS, better put down a HUGE downpayment and pay alot more than the payments say in order not to get screwed by the car.

I'm working on private selling mine.

 

[DLS8K]

its called ACV.........learn to accept it. You're never going to get retail for you car. Think about it.........for a dealership to take your car in on trade, they are going to have to put it through the shop for its inspection, have the car reconditioned, and pay money for 1) having it sit on the lot 2) paying advertising costs, overhead, etc. and 3) possibly putting a warranty of some sort on it. A dealership has to make money.......they are just like any other business. Do you complain about how much you spend on a case of beer from the grocery store or how much you spend on a pop from a restaurant? Chances are no. Let me put it this way..........if a dealership can make a 5 percent profit on your car, they are having a fantastic day.

When I went to trade my Lincoln in on a Maxima, they were going to give me 5000 dollars for it. Was it low? Yes, but was it fair........yes again Any more questions about how your trade is evaluated, dont hesitate to ask.........its what I do for a living.

 

[2001LS8Sport]

I could have used this scerario a couple of years ago. My son's car was in an accident (not his fault) that was about $2500 short in damages from totalling the car. The insurance company wouldnt' total it. They kept giving me this song and dance about what the car was worth compared to the damage and they supported their position with Blue Book prices and local sales of the same vehicle. My point was that the car was now worth significantly less than their value because it had been wrecked. They said bull. So what I did was get a couple of estimates of ACV from a couple of dealers if I traded it in after it had been repaired. It was absolutely amazing how low they brought it in. Once the accident hits Carfax, you have a very hard time trading or selling it. It's almost as bad as a salvage title. I presented the estimates to the insurance company and asked if they wanted more. I also told them to either total the vehicle or we were going to arbitration...and with the evidence I had in hand from the estimates, what did they think of their chances. They totalled it and settled with my son that afternoon.

 

[Smokey]

As with any car, if you plan on trading it in every couple of years you are going to take a beating. Afterall, that is what the dealers are in business for .. to make money. That is why they offer you way less than book trade-in value and want more than retail for whatever they have to sell. That online Kelly or NADA price is useless. The dealers set the local pricing and there is nothing you can do about it. If you want a new car every 2-3 years, just lease one, but make sure to negotiate the terms just as if you were buying it. Most people do not realize the a lease is not set in stone before you close. There are all sorts of ways to negotiate. I wish I had found all this out before I bought the LS. I would have just leased something instead. Also, unless your credit score is very good, you are screwed out of getting a good rate or deal on a lease, if you can even get one.

(soap box mode off)

 

[scjmc]

Here is some personal experiance with my LS. I bought my 2002 LS8 Sport fully loaded, 19K miles exec condition $12000+tax etc. Here was the catch--that car had been hit and the passanger side rear door replaced. The bank, insurance company etc did not care since the car had been recertified. The seller however lost a chunk of change that I cashed in on.

 

[MangoMan]

Now, I work at a dealership, CarMax, so perhaps I can shed some light on it. When people come in to sell us their cars, and theyve been painted, or had accdent repairs, it does effect their value. At a regular dealership, not so much. Why? Because there, alot of cars they buy they won't resell. A regular dealerhip will.

If you are looking to get the best possible value for a car, sell it on your own. But that takes alot of work sometimes, and can take awhile.

If you want quick cash, sell it to a dealer.

 

[DLS8K]

Now, I work at a dealership, CarMax, so perhaps I can shed some light on it. When people come in to sell us their cars, and theyve been painted, or had accdent repairs, it does effect their value. At a regular dealership, not so much. Why? Because there, alot of cars they buy they won't resell. A regular dealerhip will.

If you are looking to get the best possible value for a car, sell it on your own. But that takes alot of work sometimes, and can take awhile.

If you want quick cash, sell it to a dealer.

Dont forget the sales tax also......which you don't have to pay at a dealership if they buy your car whereas if you sell it outright, you will be responsible for the tax (at least in Iowa). Also important to note is if you don't own your car outright (which many consumers do not), you will have to make double payments until you sell the car whereas if a dealership buys it from you they will roll the inequity into the new purchase. And yes, leasing is a good idea.........
You will always have a car in warranty and it will always be cheaper monthly payments. Now consider this.........a person could buy a 33000 dollar Maxima for payments in the 700's with no money down. They could lease the same car for under 500. If you consider how much you would plan on buying a new car for and subtract the lease payment, you would be saving over 200 dollars per month. Worried about going over the miles on the lease? Simple.....take the difference or a percentage of the difference and put it into a bank account that is not to be touched until the end of the lease......over a 3 year lease, you would have around 7000 dollars..........in otherwords, more than enough to pay mileage penalties and put down money down on another brand new lease vehicle.
I have accepted the fact that I will always have a car payment for the rest of my life (or until I retire). I get a brand new car every 3 years and never be in a car out of warranty.......which the average cost of repair for a car out of warranty per month is around 130 dollars. Something to think about......