Completely Dejected
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From: Houston
Completely Dejected
Today seemed like a good day. My new G37S 6MT arrived. After ordering the car in July and waiting this long I was pretty stoked….until I got to the dealer.
Turns out my current 2007 VW Eos isn’t worth anything. By “anything” I mean the car is less than two years old and has less than 15,000 miles on it but the best the dealer will offer is $19,000 or 51% of the original value ($36,900). Car Max offered me $1,000 more resulting in a 54% residual. For a clean car with less than 10,000 miles/per year and two years old that’s just atrocious. To make things even worse I passed on an offer of $5K more ($25,000) last week when I was looking seriously at a used Audi RS4 instead of the new G. That would have made my residual a more reasonable 68%. The Infiniti dealer’s initial offer of $16,000 nearly knocked me out of my chair it was so low.
I still owe $23,800 on my current VW and I simply can’t justify eating ~$4K in upside-down costs on a car I put $5K down on to begin with. I really need a sedan with my daughter in the car all the time but the realized losses on a new car just went from “costly” to “stupid”.
I’m hugely disappointed.
Turns out my current 2007 VW Eos isn’t worth anything. By “anything” I mean the car is less than two years old and has less than 15,000 miles on it but the best the dealer will offer is $19,000 or 51% of the original value ($36,900). Car Max offered me $1,000 more resulting in a 54% residual. For a clean car with less than 10,000 miles/per year and two years old that’s just atrocious. To make things even worse I passed on an offer of $5K more ($25,000) last week when I was looking seriously at a used Audi RS4 instead of the new G. That would have made my residual a more reasonable 68%. The Infiniti dealer’s initial offer of $16,000 nearly knocked me out of my chair it was so low.
I still owe $23,800 on my current VW and I simply can’t justify eating ~$4K in upside-down costs on a car I put $5K down on to begin with. I really need a sedan with my daughter in the car all the time but the realized losses on a new car just went from “costly” to “stupid”.
I’m hugely disappointed.
Last edited by oab97; Dec 18, 2008 at 10:02 PM.
Why wouldn't you have figured this out prior to ordering the sedan? Looks like
you'll be driving the VW for a few more years, that would be the most
practical decision. This reminds me of the housing situation, being upside
down in what you own. I'm very lucky, every thing I have is paid for!
Gary
you'll be driving the VW for a few more years, that would be the most
practical decision. This reminds me of the housing situation, being upside
down in what you own. I'm very lucky, every thing I have is paid for!
Gary
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I had the car appraised at Car Max back when I ordered the G and was offered $26,000. I was offered $25K for it on trade last week. Blue Book trade-in values for it are:
KBB: $23,250 (good, not excellent condition)
NADA: $26,050 (average condition)
Edmunds: $24,291 (average condition)
How could I possibly have known they'd offer me $16-19K for it? More to the point, how could I possibly have known the entire global economy would tank and we'd end up headed into a depression 5 months ago?
KBB: $23,250 (good, not excellent condition)
NADA: $26,050 (average condition)
Edmunds: $24,291 (average condition)
How could I possibly have known they'd offer me $16-19K for it? More to the point, how could I possibly have known the entire global economy would tank and we'd end up headed into a depression 5 months ago?
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When you ordered the car didn't you have a bill of sale written up with the price you were paying and the trade in value and what you would be financing? If they ordered a car for you with out putting a deal together that is pretty sketchy (on the dealers part). Plus I have found that almost 100% of the time online appraisals are higher then what you will get from a dealer. Plus with the economy in the tank used car values are going to be lower to begin with....
If you really want the new G then try selling the VW private sale and you should get more cash then a trade in.
I hope you get the G because the new G37 is a great car! Let us know what happens.
If you really want the new G then try selling the VW private sale and you should get more cash then a trade in.
I hope you get the G because the new G37 is a great car! Let us know what happens.
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Honestly, the dealer would have been nuts to lock in an appraisal on my car before it was time to make the sale. Too many variables in the 5 months in between. I've never heard of a car dealer in any situation offering a used car appraisal that's good for months on end.
I'm going to give selling my car private party a shot, but I hold slim hopes of selling a convertible in December before the Infiniti dealer finds a buyer for the car I ordered.
I'm going to give selling my car private party a shot, but I hold slim hopes of selling a convertible in December before the Infiniti dealer finds a buyer for the car I ordered.
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Originally Posted by oab97
Honestly, the dealer would have been nuts to lock in an appraisal on my car before it was time to make the sale. Too many variables in the 5 months in between. I've never heard of a car dealer in any situation offering a used car appraisal that's good for months on end.
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Originally Posted by oab97
Today seemed like a good day. My new G37S 6MT arrived. After ordering the car in July and waiting this long I was pretty stoked….until I got to the dealer.
Turns out my current 2007 VW Eos isn’t worth anything. By “anything” I mean the car is less than two years old and has less than 15,000 miles on it but the best the dealer will offer is $19,000 or 51% of the original value ($36,900). Car Max offered me $1,000 more resulting in a 54% residual. For a clean car with less than 10,000 miles/per year and two years old that’s just atrocious. To make things even worse I passed on an offer of $5K more ($25,000) last week when I was looking seriously at a used Audi RS4 instead of the new G. That would have made my residual a more reasonable 68%. The Infiniti dealer’s initial offer of $16,000 nearly knocked me out of my chair it was so low.
I still owe $23,800 on my current VW and I simply can’t justify eating ~$4K in upside-down costs on a car I put $5K down on to begin with. I really need a sedan with my daughter in the car all the time but the realized losses on a new car just went from “costly” to “stupid”.
I’m hugely disappointed.
Turns out my current 2007 VW Eos isn’t worth anything. By “anything” I mean the car is less than two years old and has less than 15,000 miles on it but the best the dealer will offer is $19,000 or 51% of the original value ($36,900). Car Max offered me $1,000 more resulting in a 54% residual. For a clean car with less than 10,000 miles/per year and two years old that’s just atrocious. To make things even worse I passed on an offer of $5K more ($25,000) last week when I was looking seriously at a used Audi RS4 instead of the new G. That would have made my residual a more reasonable 68%. The Infiniti dealer’s initial offer of $16,000 nearly knocked me out of my chair it was so low.
I still owe $23,800 on my current VW and I simply can’t justify eating ~$4K in upside-down costs on a car I put $5K down on to begin with. I really need a sedan with my daughter in the car all the time but the realized losses on a new car just went from “costly” to “stupid”.
I’m hugely disappointed.
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I feel your pain oab97. I have had a dealer scouring the Earth looking for a G37 the way I wanted it. Last Friday I received a note from the bank re my current car with a deal to buy out my lease early. This made me think so I called and got the payoff and compared that to the KBB trade-in value (which my dealer told me would be what they'd try to do) and whoa...upside down $3.5k assuming dealer would give me full KBB value. I dropped back and called the dealer and told them to stop looking. What I am going to do is order one exactly the way I want at the first of January (or whenever Infiniti starts taking orders again) and in the time it takes to build / arrive I will double/triple payments to get things back in line by the time the car gets here. At least I can spread the pain a bit without having to roll a huge upside down situation into my new car.
In the old days (a year ago) the dealers would play around and jack up trade-in values while moderately discounting MSRP to arrive at the net profit they could live with in the aggregate transaction. Those days are long gone in this economy. You may be able to get a decent deal on the new car but they are not going to lose on the trades anymore.
Like I said I feel your pain....
In the old days (a year ago) the dealers would play around and jack up trade-in values while moderately discounting MSRP to arrive at the net profit they could live with in the aggregate transaction. Those days are long gone in this economy. You may be able to get a decent deal on the new car but they are not going to lose on the trades anymore.
Like I said I feel your pain....
Your best bet is to tighten you belt, make both payments until you can sell the VW. When I bought my 05' sedan in Feb of 05', the dealer wanted to give me $9800 for my 4 dr Chevy Truck. I sold it a month later for $14000.
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