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Why do car dealers want your trade ins?
You have to remember dealerships make a good bulk of their profit through the sale of used cars. They actually make more profit on each used car sale than they do on a new car. So that means they’re usually eager to buy your trade-in and replenish their used car inventory.
Do dealers accept all trade ins?
A car dealership will accept any car in any condition. They don’t care about dents, dings, rust, rips or stains in the upholstery. Even if the car doesn’t run, you can have it towed in as a trade. You obviously won’t get top dollar for the car, but you will rid yourself of the vehicle and all of its headaches.
Do dealerships check your trade in?
Normally, it will be the used car manager that appraises all of the trades, he’ll go through a mental checklist, thoroughly inspecting the vehicle. His overall goal is to determine how much reconditioning costs will be and to find discrepancies to help lower the value of your trade.
Why don’t dealerships pay more for trade-in cars?
And there’s good reason for this. Dealers acquire cars from a variety of sources, with trade-ins and auctions being the two most prominent. To put it simply, dealerships never have any incentive to pay you more for your trade-in than they would pay to acquire the same make and model from an auction.
Are dealers ripping you off on your trade-in?
There are three main tricks dealers use to rip you off on your trade-in, let’s take a look at them so you won’t fall for it. 3 out of 4 new car buyers have a trade-in, and the vast majority negotiate the purchase of their car along with their trade-in.
Should you sell your used car or trade it in?
In fact, selling a used car will usually earn a dealer at least double the profit they make on a new car. It’s no wonder they spend much of their time devising ways to buy your used car on the cheap and make a killing reselling it. Most car buyers don’t think much about their trade-in.
How do dealerships make money on used cars?
Dealers can make a lot of money off your trade-in, and we mean A LOT of money. In fact, selling a used car will usually earn a dealer at least double the profit they make on a new car. It’s no wonder they spend much of their time devising ways to buy your used car on the cheap and make a killing reselling it.