do you think that because dealers are selling off SUVs so cheap that the resale value is going to be hurt on them for a while?
- Anonymous1 decade agoFavorite Answer
Simple supply and demand, noone wants suv's trucks much right now and wants smaller gas friendly cars. It is common for many truck owners to be 10,000 or more upside down. After 4 of these in a row the past weekend, I wouldn;t walk outside if someone pulled in in a truck ;)
A lady I had recently was 11,000 buried in hers, she had been at a previous sale about 6 months earlier before I started working where I do now and my boss ( who remembers everything) told me, 6 months earlier she should have pulled the trigger when she was only 6k upside down. That's how fast things have slid for suv's.
Of course if a trip to work is a small distance away.....the time to buy a suv has never been better ;)
- The Eagle KeeperLv 71 decade ago
It's not that dealers are selling them cheaper when they are new. There is a huge rebate being offered by the maker. Example: The Lincoln Mark LT truck currently has a $7K rebate. Take the markup from the MSRP and there's another $2.5K. But the biggest problem is reselling a used suv. Their not selling at all. Now the market is saturated by used suv's & it has driven their value down. If you traded now compared to last year, you'll see 40-50% less trade in value. Many people are just straight up boned by what they have. Because they owe considerably more on their vehicle than what it's worth. This is a true story; My sister has a Ford SportTrak and it's worth $14K. She owes $25K on it. What she did that killed her was her last vehicle before that also had negative equity and she financed that as well. So to speak, she's making payments on two vehicles. The only way she could get out of the gas guzzler is to wait it out and hope values come up a bit or drain savings and come up with the $11K to get into a small car. But, all is not bad for everyone. I just saw an article on Yahoo that says some gas price relief is near. Well, I hope so. If you see my 360, I just bought a new Nissan Sentra. Smart move I should say. G'day!
- bkgLv 51 decade ago
With gas over $4.00/gallon, they are depreciating like crazy. (less demand = lower resale)