Trade-in advice

zvx22
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zvx22
Edited Date/Time 1/16/2012 9:25pm
I'm getting back into Motocross and am going to trade-in my WR250F for a new MX 450 bike. My dad bought me that bike in 06, and having just finished college I want to get back into riding.

I have never traded in or bought a bike from a dealership before, so I just wanted to know if you guys have any advice to give regarding the process. Is there anything I should be aware of when getting a quote and what kind of questions should I be asking? I'd ask in the other new-rider forum but this Moto-Related section gets all the action... any advice/stories/pointers would be appreciated!

Thanks Cool
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TripleFive 10/31/2011 6:28pm
10/31/2011 6:28pm
Get a quote, add a few hundred dollars to it and post an add on Craigslist. It's free and easy.
eThug
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eThug 10/31/2011 6:29pm
10/31/2011 6:29pm
sell it privately, buy the new bike in cash $$$$$
sesker15
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sesker15 10/31/2011 7:35pm
10/31/2011 7:35pm
I always wanted to know about trad ins also.
pitbike502
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pitbike502 10/31/2011 7:55pm
10/31/2011 7:55pm
Dirt bike trade ins suck. They're only good if you need the bike NOW. If not, craigslist it. Used dirt bikes have the absolute worst market value right now, especially at this time of year.

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crashnburn11 10/31/2011 7:57pm
10/31/2011 7:57pm
pitbike502 wrote:
Dirt bike trade ins suck. They're only good if you need the bike NOW. If not, craigslist it. Used dirt bikes have the absolute worst market...
Dirt bike trade ins suck. They're only good if you need the bike NOW. If not, craigslist it. Used dirt bikes have the absolute worst market value right now, especially at this time of year.
yup, you want a used dirt bike or a jeep right now is the time to buy, everyone wants money for christmas and is willing to lower their price
Roscoe33
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Roscoe33 10/31/2011 7:58pm
10/31/2011 7:58pm
you might save on your taxes with a trade in, but the dealer has to make some money on your bike,

so do you want to move it today for less ( at the dealer )

or wait 2 weeks or more and get more cash selling private ?
zvx22
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zvx22 10/31/2011 8:11pm
10/31/2011 8:11pm
I've been scanning and keeping up with used bikes from pretty much everywhere online the past few weeks, and there is just not a lot of newer bikes out there (2009 and newer) anywhere near me. Since I'm already shelling out quite a bit of money, I figured I might as well go the extra mile and just buy a new bike. All the 2010-2011 used bikes are going for within ~1k of brand new bikes, so that's kind of why I figured I'd just go for new. JMHO

I like the idea to get a quote and then try and sell on craigslist for a few hundred more. Would the extra money gained via selling on craigslist counteract the money saved on taxes by doing a trade-in? I have no idea what taxes look like on purchases like these, like i've said, it's my first-time doing something like this so any opinions/perspectives are helping me out Smile
backinthesaddleagain 10/31/2011 8:39pm
10/31/2011 8:39pm
watch out re the tax benefit. here in RI there is NO credit on taxes paid on the bike being traded in (street or dirt). its quite a ripoff as cars get the tax benefit with a trade but not bikes. buy a bike here and pay sales tax. trade that bike next year, pay full sales tax on new bike. RI sucks like that.
CamP
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CamP 10/31/2011 8:47pm
10/31/2011 8:47pm
Put it on Craigslist. NADA book retail for a 2006 WR250 is between $2175 and $2865.
pitbike502
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pitbike502 10/31/2011 8:48pm
10/31/2011 8:48pm
Never knew that ^ that sucks
mxtech1
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mxtech1 11/1/2011 6:23am
11/1/2011 6:23am
There's a alot bigger difference between a few hundred dollars between the trade-in value and private sell value. If the dealership buys your bike, they are probably going to price it on their used showfloor over the high price given by KBB or NADA. This gives them the wiggle room to "knock $500 off" or "throw in that helmet" with the deal. That being said, they are probably going to offer to buy the bike below the low side of estimated value of the bike.

When I worked at a dealership, we did our off-road bike quotes in the service dept because we could tell the bike condition better than the salesperson. When the used bike came in for a quote, we would inspect it and then figure a price that we felt the bike would bring at most. The salesman would take this dollar amount, subtract 10% and tell the owner this is the amount he could probably sell the bike for at most. He would then usually start a buying offer for 50% of the quote he gave the customer. 50% gave him some room to come up in price with his offer, but usually in no cases would they ever offer over 70% of the bikes estimated wvalue. If we did end up duying that bike, it's floor price would be the quote we originally gave in the service dept + 10% to create that wiggle room I talked about earlier.

In your case, a dealership can probably sell your 2006 WR for around $25-2800. I suspect they would offer no more than $1600. Sell your bike privately and walk into the dealership with a solid amount of cash. If you can pay in all cash, do so, because it's so much easier for the dealership if they don't have to deal with financing and you will end up getting the bike cheaper.
maicocd
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maicocd 11/1/2011 6:42am
11/1/2011 6:42am
Years ago I would trade in an old bike with the stipulation that once it sold I would apply the trade towards a new bike. This helped to motivate them to sell my old bike in quick time frame and gave me the funds for the new bike.

However, that was 20+ years ago before Craigslist and all of our current technology that makes selling things so much easier now. I also think that with everyone watching their wallets more carefully, that a potential buyer that sees your old bike for sale at the dealership would still probably end up seeing if he could find a better deal on Craigslist for the same or similar model bike.

I'm with everyone else that would suggest that you just sell it outright on your own and walk into the dealer with money in hand. I think you will also have a few extra dollars in your hand if you go this route that if you weren't using directly for your new bike, that you could use towards some deal on a set of new tires or other goodies for your new bike.
zvx22
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zvx22 11/1/2011 7:31am
11/1/2011 7:31am
mxtech1 wrote:
There's a alot bigger difference between a few hundred dollars between the trade-in value and private sell value. If the dealership buys your bike, they are...
There's a alot bigger difference between a few hundred dollars between the trade-in value and private sell value. If the dealership buys your bike, they are probably going to price it on their used showfloor over the high price given by KBB or NADA. This gives them the wiggle room to "knock $500 off" or "throw in that helmet" with the deal. That being said, they are probably going to offer to buy the bike below the low side of estimated value of the bike.

When I worked at a dealership, we did our off-road bike quotes in the service dept because we could tell the bike condition better than the salesperson. When the used bike came in for a quote, we would inspect it and then figure a price that we felt the bike would bring at most. The salesman would take this dollar amount, subtract 10% and tell the owner this is the amount he could probably sell the bike for at most. He would then usually start a buying offer for 50% of the quote he gave the customer. 50% gave him some room to come up in price with his offer, but usually in no cases would they ever offer over 70% of the bikes estimated wvalue. If we did end up duying that bike, it's floor price would be the quote we originally gave in the service dept + 10% to create that wiggle room I talked about earlier.

In your case, a dealership can probably sell your 2006 WR for around $25-2800. I suspect they would offer no more than $1600. Sell your bike privately and walk into the dealership with a solid amount of cash. If you can pay in all cash, do so, because it's so much easier for the dealership if they don't have to deal with financing and you will end up getting the bike cheaper.
That's kind of what I thought -- yeah, that is quite a loss on my end. Trading in seemed appealing because it eliminates the hassle of finding a buyer, but you guys are right, you lose way too much money because the Dealership has to make money off the bike.

I think I'll just get a good estimate on the bike and do what I can on craigslist / cycletrader etc, thanks for the opinions everyone!
Eatmydirt03
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Eatmydirt03 11/1/2011 8:25am
11/1/2011 8:25am Edited Date/Time 11/1/2011 8:30am
Trading in can be done & you may take a small hit, but showing up with cash in hand & a bike can be good buying power as well to get the cost slashed. I walked into a dealership in 09 I offered them my 06 kx250f & 2500 cash & told them I would like to get that 09 kx250f for this in my pocket & that bike in the back of my truck. My leverage was no dealership wants to finance they lose out in the end as well. They would rather get cash in hand & a bike , then allow anyone to finance. All dealerships & business like cash money talks. Anyhow I walked out of the dealership with my brand new 09 kx250f for 5500 after it was all said & done in 09. I also just told them that if they didn't want to deal I'm sure one of the very many dealerships would & the 1st one took my bait. I could have maybe made about 500 bucks more by trying to sell it, but anyone also knows it's not always fun trying to sell one with all the scams & wasted time that can go into one. SO it depends both are worth trying.
zvx22
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zvx22 11/1/2011 9:01am
11/1/2011 9:01am
Eatmydirt03 wrote:
Trading in can be done & you may take a small hit, but showing up with cash in hand & a bike can be good buying...
Trading in can be done & you may take a small hit, but showing up with cash in hand & a bike can be good buying power as well to get the cost slashed. I walked into a dealership in 09 I offered them my 06 kx250f & 2500 cash & told them I would like to get that 09 kx250f for this in my pocket & that bike in the back of my truck. My leverage was no dealership wants to finance they lose out in the end as well. They would rather get cash in hand & a bike , then allow anyone to finance. All dealerships & business like cash money talks. Anyhow I walked out of the dealership with my brand new 09 kx250f for 5500 after it was all said & done in 09. I also just told them that if they didn't want to deal I'm sure one of the very many dealerships would & the 1st one took my bait. I could have maybe made about 500 bucks more by trying to sell it, but anyone also knows it's not always fun trying to sell one with all the scams & wasted time that can go into one. SO it depends both are worth trying.
This is kind of what I was originally hoping -- that I could have some bargain power simply because I have cash ready to throw down.
TeamGreen
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TeamGreen 11/1/2011 9:06am
11/1/2011 9:06am
zvx22 wrote:
I'm getting back into Motocross and am going to trade-in my WR250F for a new MX 450 bike. My dad bought me that bike in 06...
I'm getting back into Motocross and am going to trade-in my WR250F for a new MX 450 bike. My dad bought me that bike in 06, and having just finished college I want to get back into riding.

I have never traded in or bought a bike from a dealership before, so I just wanted to know if you guys have any advice to give regarding the process. Is there anything I should be aware of when getting a quote and what kind of questions should I be asking? I'd ask in the other new-rider forum but this Moto-Related section gets all the action... any advice/stories/pointers would be appreciated!

Thanks Cool
Sell it privately jus' like folks in here have said.

Go find a good deal on a clean used bike...

Pointers:

A clean used bike is "smart-money"...learn which bikes are known for running good and lasting.

Good luck!
Sheriff245 11/1/2011 9:09am
11/1/2011 9:09am
Do your research on the tax thing before deciding to sell it yourself. I recently traded in a bike. I was asking $4500 for it, with some room to negociate ($200-300 at most). The dealer offered me $3600 for it. Add in the 14% sales tax, I was up to $4100. Not worth selling it yourself for $100 IMO.
Eatmydirt03
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Eatmydirt03 11/1/2011 9:13am
11/1/2011 9:13am
Eatmydirt03 wrote:
Trading in can be done & you may take a small hit, but showing up with cash in hand & a bike can be good buying...
Trading in can be done & you may take a small hit, but showing up with cash in hand & a bike can be good buying power as well to get the cost slashed. I walked into a dealership in 09 I offered them my 06 kx250f & 2500 cash & told them I would like to get that 09 kx250f for this in my pocket & that bike in the back of my truck. My leverage was no dealership wants to finance they lose out in the end as well. They would rather get cash in hand & a bike , then allow anyone to finance. All dealerships & business like cash money talks. Anyhow I walked out of the dealership with my brand new 09 kx250f for 5500 after it was all said & done in 09. I also just told them that if they didn't want to deal I'm sure one of the very many dealerships would & the 1st one took my bait. I could have maybe made about 500 bucks more by trying to sell it, but anyone also knows it's not always fun trying to sell one with all the scams & wasted time that can go into one. SO it depends both are worth trying.
zvx22 wrote:
This is kind of what I was originally hoping -- that I could have some bargain power simply because I have cash ready to throw down.
Well list it on CL & such & try to go down to one of the dealerships... you never know until you try... if you don't like the deal leave. I didn't even bother unloading my bike until I felt we were making headway in the deal I was looking for. I'm not sure where you live but in these parts right now I would take a hit trying to sell a bike in this season.

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TeamGreen
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TeamGreen 11/1/2011 9:13am
11/1/2011 9:13am
Sheriff245 wrote:
Do your research on the tax thing before deciding to sell it yourself. I recently traded in a bike. I was asking $4500 for it, with...
Do your research on the tax thing before deciding to sell it yourself. I recently traded in a bike. I was asking $4500 for it, with some room to negociate ($200-300 at most). The dealer offered me $3600 for it. Add in the 14% sales tax, I was up to $4100. Not worth selling it yourself for $100 IMO.
But, what did you pay for the new bike? (The 'trade-in' often affects the New bike price)
nytsmaC
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nytsmaC 11/1/2011 9:56am
11/1/2011 9:56am
Another option is consign the bike at the shop for a while. Trying to sell shit privately can be a real nightmare. I've had excellent luck doing this in the past with more than just motorcycles.
Sheriff245 11/1/2011 10:07am
11/1/2011 10:07am
Sheriff245 wrote:
Do your research on the tax thing before deciding to sell it yourself. I recently traded in a bike. I was asking $4500 for it, with...
Do your research on the tax thing before deciding to sell it yourself. I recently traded in a bike. I was asking $4500 for it, with some room to negociate ($200-300 at most). The dealer offered me $3600 for it. Add in the 14% sales tax, I was up to $4100. Not worth selling it yourself for $100 IMO.
TeamGreen wrote:
But, what did you pay for the new bike? (The 'trade-in' often affects the New bike price)
The price on the new bike was agreed on before I told them about the trade-in.

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