what is wrong with the resale prices of our cars?

[torchredgt]

I love my car. But with gas prices, I had been entertaining the idea of maybe getting something a little more fuel effient. So I called around to a few dealerships to get a price on there car. They asked what my trade in was, and I told them. They said it might be smart to go by carmax to get a price from them first, because they usually give you the best price on a used car. So I go there, wait over an hour, finally the guy calls me into his office. I couldn't beleive my eyes $20.500 for a 2007 Shelby GT loaded, practically new with 6000 miles. I am still in shock. I mean these cars list for 41,000. I bought this car is October and it depreciated 20,000? That can't be right. Am i missing something here??

[TheKurgan]

It's because you are breaking rule #1...

 

You never sell a Shelby.

 

Actually these cars list via the VIN number as a regular Mustang GT. The guy obviously doesn't know what the car is. You would do much better selling it yourself than getting ripped off by a stealership with a trade.

[gonein60autoparts]

It's because you are breaking rule #1...

 

You never sell a Shelby.

 

Actually these cars list via the VIN number as a regular Mustang GT. The guy obviously doesn't know what the car is. You would do much better selling it yourself than getting ripped off by a stealership with a trade.

 

+1 Carmax sucks a$$. Sell it out right if you must.

[SGT/SC2873]

+1 Carmax sucks a$$. Sell it out right if you must.

+1 CarMax does suck...about a year ago they offered me $23,000 on a car and I got so mad I sold outright for $10 grand more!!! As far as the market, my stocks are doing the same thing!!! :angry2:

[ilmor]

I don't think anything is unusual about the resale value of the Shelby GT's. Any car you buy is going to lose $$thousands$$ in value once it leaves the showroom and especially in the first couple of years. Hopefully as time passes and these cars become highly desireable used cars, the prices will bottom out at a good level then hopefully rise. I'll let you know how this turns out in 10 or 15 years.

[torchredgt]

I don't think anything is unusual about the resale value of the Shelby GT's. Any car you buy is going to lose $$thousands$$ in value once it leaves the showroom and especially in the first couple of years. Hopefully as time passes and these cars become highly desireable used cars, the prices will bottom out at a good level then hopefully rise. I'll let you know how this turns out in 10 or 15 years.

 

 

I understand that car loses value when it leaves the lot. I already got it for 4000 under sticker, I expected maybe to lose another 5 k. not another 17k.

[ilmor]

I understand that car loses value when it leaves the lot. I already got it for 4000 under sticker, I expected maybe to lose another 5 k. not another 17k.

 

The perception of what you are "losing" should not based your a dealer's trade-in value or a CarMax price. It will be based on the fact of what you, yourself, can actually sell the car for, or for the price a dealer might sell the car for.

[DDT]

It's because you are breaking rule #1...

 

You never sell a Shelby.

 

Actually these cars list via the VIN number as a regular Mustang GT. The guy obviously doesn't know what the car is. You would do much better selling it yourself than getting ripped off by a stealership with a trade.

 

"STEALERSHIP";

 

HMMMmmmmmm, Wonder if that had anything to do with the original new car price????????????

 

That would mean Rule #2-Only buy a used Shelby??????????????????

[fatboy]

well if u trade a car in they are only going to give you rock bottom price for it...but when they resell the car to another customer they will raise the price of it.

 

example: u only get $20.5k for the trade in. they spend a little money on it to inspect, clean, and prep it. then put it up for sale with a sticker price of $30.5k to try and get profit.(maybe not as much as 30.5k but u get the point)

 

yeah your better off selling it yourself. do your own prep and extra cleaning. a nice clean car inside and out with a good wax job will apreciate your car considerably. (of course you already keep it clean and waxed anyway right? )

[ShelbyDude]

well if u trade a car in they are only going to give you rock bottom price for it...but when they resell the car to another customer they will raise the price of it.

 

example: u only get $20.5k for the trade in. they spend a little money on it to inspect, clean, and prep it. then put it up for sale with a sticker price of $30.5k to try and get profit.(maybe not as much as 30.5k but u get the point)

 

yeah your better off selling it yourself. do your own prep and extra cleaning. a nice clean car inside and out with a good wax job will apreciate your car considerably. (of course you already keep it clean and waxed anyway right? )

 

 

Average mark up on used trades is $2500 - $4000 tops. Then deduct prep cost, holding cost, interest, on going depreciation, room to drop the price each month as it sits until it sells, advertising cost, commissions, insurance, etc, etc, etc.

 

So it isn't all that much after all the smoke clears.

 

So if trade is say, $22k then figure retail if you sold it yourself at $25K.

 

So you sell it yourself. For a dealer average turn over time is 90 days to sell a used vehicle.

 

So assume you can sell it in 90 days as well.

 

Assuming you have a payment of $600 month then figure in that $600 as part of your holding cost. So in 90 days you paid out $1800 in payments while waiting for a buyer. Figure $100 month on insurance you pay. That brings it to $2,100 in holding costs. Meanwhile the value keeps dropping by $400 - $600 per month. So in 90 days the retail value has dropped another $1,200 - $1,800.

 

So that puts you out of pocket at around $4,000 after 90 days. Your $25K retail price is down to $23,800 - $23,000 after all your expenses paid out minus on going depreciation.

 

So after 90 days you sell it for say, $23,500. Then deduct your $2,100 in monthly payments you had to make over 3 months. You clear $21,400.

 

So when the smoke all clears you ended up with $600 less than what the dealer was giving you 3 months prior which was $22k.

 

This is why most people don't want to mess with selling their vehicles out right.

 

OH, and we forgot the sales tax credit you lose by selling it yourself VS trading.

 

So with a 6% sales tax, your $22k trade is the same as you selling it yourself for $23,320. So deduct another $1,320 in tax savings you lose and your $600 loss is now $1,920 less than what you would have got if you traded 3 months prior!

 

Wow! That whopping $2,500 - $4,000 mark up the dealer has added to the trade amount they gave you doesn't seem like much now, does it?

 

If you or a dealer gets LUCKY and sells the car within two - three weeks then you make more. After that the spread on the mark up of $2,500 - $4,000 starts to diminish quickly in holding costs.

 

Also, a NEW 07 SGT can be had in the low $30's right now.

 

So if you can buy a NEW one for $33k, then what would someone be willing to pay for a USED one with 6,000 miles on it???

 

Be honest with yourself and ask yourself....what would YOU realisticly pay for a USED one with 6,000 miles when you can buy a brand new one for $33,000????

 

I would estimate retail would be about $26K tops. Which means trade in should be in the $22K - $23K tops range. $20K is low!

[mywickedshelby]

Interesting Sdude, thanks.

[racephan]

I don't think anything is unusual about the resale value of the Shelby GT's. Any car you buy is going to lose $$thousands$$ in value once it leaves the showroom and especially in the first couple of years. Hopefully as time passes and these cars become highly desireable used cars, the prices will bottom out at a good level then hopefully rise. I'll let you know how this turns out in 10 or 15 years.

 

 

well said.

[Pastor Passum]

I think your statement ("I mean these cars list for 41,000. I bought this car is October and it depreciated 20,000? That can't be right") is the problem here. Like ShelbyDude stated, anyone can buy a new '07 now for $33,000 or less. I bought mine new in Sept. for $37,000 and change, turn key, taxes & all. Having said that, I would still think you could get close to $30,000 if you sold it yourself. I surely wouldn't take low 20's for mine, but then mine's not for sale either. I love it plus...I'm overjoyed with my gas mileage. Just saying...

 

Jim

[willyumm930]

As stated above, the car's vin is listed as a GT. I received my car tax bill and sure as sh*t, the car was listed at a Mustang Gt with a tax value of $22,000. Even my car insurance is listed the same. I had to take out an extra policy to cover the Shelby upgrade. My insurance is still lower than the insurance I had on my '04 Cobra 'vert.

 

Sell it on your own if you must; you'll regret it if you don't.

[JeffIsHereToo]

I had Carmax offer me 7K for a car I had once and I was able to sell it on ebay a few weeks later for $12K and the guy flew from PA to pick it up!

 

In short you look at your options and like buying a car you make your best deal given your situation. Car dealer has to make money too and don't forget they have to fix anything broken the trade-in dude didn't catch in his 10 min drive and walk around as well as often offer a 30 day warranty. I can see why dealers need to lowball...

 

However I suspect you're right and the person used the VIN that returned a "GT" and not an "SGT". If you go to the KBB web site you will find that an 07 GT with 6000 miles is worth....you got it! $20,500!

 

Nice to see Carmax has such a in-depth and robust trade-in evaluation process.

[mffarrell]

I think your statement ("I mean these cars list for 41,000. I bought this car is October and it depreciated 20,000? That can't be right") is the problem here. Like ShelbyDude stated, anyone can buy a new '07 now for $33,000 or less. I bought mine new in Sept. for $37,000 and change, turn key, taxes & all. Having said that, I would still think you could get close to $30,000 if you sold it yourself. I surely wouldn't take low 20's for mine, but then mine's not for sale either. I love it plus...I'm overjoyed with my gas mileage. Just saying...

 

Jim

 

I know the market is different, but when I purchased my Shebly in June at $500 below invoice (around $38K), I traded my 06 Mustang GT with 5K miles, and got $23K for it. How can our cars be worth less than a Mustang GT? I'd say our cars would sell in the high $20'sK, maybe $30K, if has really low miles.

 

I don't care if it goes to $0, b/c I'm not selling. lol Same thing happened when I bought my 66 GT350, now my car is probably worth $175K - $200K. Of course, past performance is not a indicator of future value...but who knows?

[TheKurgan]

"STEALERSHIP";

 

HMMMmmmmmm, Wonder if that had anything to do with the original new car price????????????

 

That would mean Rule #2-Only buy a used Shelby??????????????????

 

 

 

 

Had nothing to do with the new car price. I got mine on ebay brand new for $1000 under sticker in May 2007 and am very happy with the deal. "Stealerships" comes from having to deal with the guys around here in LR, Arkansas where I did NOT buy.

 

I'm proud to say that Greenville Ford right outside of Dallas, Tx did me right and also gave me bluebook in value on my 05 Mustang. I drove down there in 4 hours, did the deal with no hassles, and arrived home before dark. Needless to say they got 100% on the survey.

[ShelbyDude]

I had Carmax offer me 7K for a car I had once and I was able to sell it on ebay a few weeks later for $12K and the guy flew from PA to pick it up!

 

In short you look at your options and like buying a car you make your best deal given your situation. Car dealer has to make money too and don't forget they have to fix anything broken the trade-in dude didn't catch in his 10 min drive and walk around as well as often offer a 30 day warranty. I can see why dealers need to lowball...

 

However I suspect you're right and the person used the VIN that returned a "GT" and not an "SGT". If you go to the KBB web site you will find that an 07 GT with 6000 miles is worth....you got it! $20,500!

 

Nice to see Carmax has such a in-depth and robust trade-in evaluation process.

 

 

$20,500 is very low.

 

I just gave $21K for a 07 Mustang GT Deluxe with 12k miles on it that I took in trade. This was a buyer that got X-Plan on the new stang he bought.

 

So I would say the SGT with the $7390 SAI package should bring $25K - $26K trade right now.

 

I also think these SGT's will creep up somewhat in value after they have all been sold and no more are available.

 

Look at the T-Bird for example. First year dealers were getting $5K over. Before they were done building them they had rebates and dealers couldn't give them away. Now they are bringing what invoice minus rebates were on used ones. They are creeping up in value because more people are wanting one and they don't make them anymore.

 

It's just a cycle things go through.

[gofastguy]

I love my car. But with gas prices, I had been entertaining the idea of maybe getting something a little more fuel effient.

On a side note, the fuel economy of these Shelby cars IS really quite amazing. I can't seem to break 20 mpg, but others are reporting low to mid 20's. My 4 cylinder honda CR-V has averaged 20.3 mpg the last 2 tanks without all the fun!!

[frydguy79]

sgt's are a car that is kinda like a conversion van and a cargo van vin is the same but,

the ammenities are way different

ford and shelby should give them a different vin number or the value will stay close to gt value's, and that is one reason the 07 's are still sitting on the lot

 

and it will be one reason later on to not help the kr's when they come up for resale

when you add the upcharge of 3 times what a sgt's is not counting any adm's

it will be to easy to CLONE a base car into a TOP line shelby and hard to tell the difference

[ShelbyDude]

sgt's are a car that is kinda like a conversion van and a cargo van vin is the same but,

the ammenities are way different

ford and shelby should give them a different vin number or the value will stay close to gt value's, and that is one reason the 07 's are still sitting on the lot

 

and it will be one reason later on to not help the kr's when they come up for resale

when you add the upcharge of 3 times what a sgt's is not counting any adm's

it will be to easy to CLONE a base car into a TOP line shelby and hard to tell the difference

 

 

You mean like this one???

 

BTW, my wife just SOLD this yesterday! :happy feet: :happy feet: :happy feet:

 

 

 

 

 

 

 

 

[khogle2]

sgt's are a car that is kinda like a conversion van and a cargo van vin is the same but,

the ammenities are way different

ford and shelby should give them a different vin number or the value will stay close to gt value's, and that is one reason the 07 's are still sitting on the lot

 

and it will be one reason later on to not help the kr's when they come up for resale

when you add the upcharge of 3 times what a sgt's is not counting any adm's

it will be to easy to CLONE a base car into a TOP line shelby and hard to tell the difference

 

 

i think the upfitter option gives the vin unique character for shelby. 1ZVFT vs 1ZVHT

 

somebody else may know more than me on this

[ShelbyDude]

i think the upfitter option gives the vin unique character for shelby. 1ZVFT vs 1ZVHT

 

somebody else may know more than me on this

 

 

There are 1ZVFT vins on both reg mustangs without the SGT Upfitters package as well as some with that have it.

 

They are NOT distinctive from each other

[ShelbyDude]

The difference between the F and H are as follows:

 

 

 

F - Active Belts (all designated seating positions), Driver and Passenger Air Bags - Applies to all Passenger Cars

 

H - Active belts (all designated seating positions), Driver and Passenger Air Bags plus Driver and Passenger Side Air Bags, Curtains, or Canopies

 

 

Also, ALL 2008 mustangs should have the H because side air bags come standard on 08 mustangs where they were optional on 07's.

[khogle2]

The difference between the F and H are as follows:

 

 

 

F - Active Belts (all designated seating positions), Driver and Passenger Air Bags - Applies to all Passenger Cars

 

H - Active belts (all designated seating positions), Driver and Passenger Air Bags plus Driver and Passenger Side Air Bags, Curtains, or Canopies

 

 

Also, ALL 2008 mustangs should have the H because side air bags come standard on 08 mustangs where they were optional on 07's.

 

 

got it. it was just something i noticed. thanks for the info.

[khogle2]

The difference between the F and H are as follows:

 

 

 

F - Active Belts (all designated seating positions), Driver and Passenger Air Bags - Applies to all Passenger Cars

 

H - Active belts (all designated seating positions), Driver and Passenger Air Bags plus Driver and Passenger Side Air Bags, Curtains, or Canopies

 

 

Also, ALL 2008 mustangs should have the H because side air bags come standard on 08 mustangs where they were optional on 07's.

 

 

...you would think they would have blocked out a certain sequence of vins from the factory for the shelby cars (or something)

 

the 54U is unique right, just not in the vin?

[ShelbyDude]

...you would think they would have blocked out a certain sequence of vins from the factory for the shelby cars (or something)

 

the 54U is unique right, just not in the vin?

 

 

 

All mustangs order with the 54U GT Upfitters Package are all SGT's.

 

The GT Upfitters package on 07 SGT's consist of:

 

GT UPFITTERS PACKAGE 2,140

.235/50/ZR18 TIRE

.REAR SPOILER DELETE

.FRONT SEAT SIDE AIRBAGS

.3.55 RATIO LIMITED SLIP AXLE

.18" POLISHED ALUMINUM WHEEL

 

 

 

This is also why you noticed the H in the vin on SGT's because the side air bags come as part of the SGT package.

 

 

On the 2008 the GT Upfitters package consist of:

 

 

GT UPFITTERS PACKAGE 2,140

.235/50/ZR18 TIRE

.REAR SPOILER DELETE

.3.55 RATIO LIMITED SLIP AXLE

.18" POLISHED ALUMINUM WHEEL

 

 

Notice it doesn't show the side air bags on the 08 as part of the package? That is because side air bags became standard on ALL 08 mustangs.

[csm198]

sgt's are a car that is kinda like a conversion van and a cargo van vin is the same but,

the ammenities are way different

ford and shelby should give them a different vin number or the value will stay close to gt value's, and that is one reason the 07 's are still sitting on the lot

 

and it will be one reason later on to not help the kr's when they come up for resale

when you add the upcharge of 3 times what a sgt's is not counting any adm's

it will be to easy to CLONE a base car into a TOP line shelby and hard to tell the difference

 

I would recommend. Getting a super charger ( paxton) installed as soon as possible. I easily get 30.5 miles per gallon when I set the cruise control to 55-60. Around town I can get 24-25 easy.

This way u can keep the car and get the milage and not give your car away.

Since it is the dry season now I parked my hemi charger in favor of the great fuel milage of the shelby gt.

[JeffIsHereToo]

I would recommend. Getting a super charger ( paxton) installed as soon as possible. I easily get 30.5 miles per gallon when I set the cruise control to 55-60. Around town I can get 24-25 easy.

This way u can keep the car and get the milage and not give your car away.

Since it is the dry season now I parked my hemi charger in favor of the great fuel milage of the shelby gt.

 

With ADMs coming down or gone and 07 GT500s selling used with low miles in the low 40s I don't see an SGT with a super charger as worth it anymore especially if you're looking at an 08.

 

Am I wrong?

[JeffIsHereToo]

$20,500 is very low.

 

I just gave $21K for a 07 Mustang GT Deluxe with 12k miles on it that I took in trade. This was a buyer that got X-Plan on the new stang he bought.

 

 

I'm just quoting the KBB with an Excellent condition and 6000 miles. I only added leather, premium wheels, and Shaker sound system, as if I thought it was a GT and got $20,500. I think it's low too but funny how it matches the Carmax quote.