gr8smiles

I have found a dealer nearby that has an 06 GX with the color and the options that I want. It has 5700 miles. Assuming that one can get a new one for 500 or so over invoice, how much should the 'pre-owned' sell for? I would assume that it would have 1000-1500 depreciation....is that too low...too high...thanks

Rick

lexbuddy

Hello,

The moment you drive a car off the dealers' lot you loose 5% of its value.. As far as the pricing, you should check www.kbb.com (Kelly Blue book) with the options the vehicle has and milege/condition which will give you the car's approximate retail value. Dealers use a "black book" for whole sale pricing (which is what care is REALLY worth) but of course they will sell for the Blue book price... if it is a lease you are interested in then a NEW car would be a better option since most leases are heavily subsidized by Lexus (during the right months, but almost always anyway). If the price they want for the vehicle is too close to the prie of a brand new car then you are better off getting a new car.... or negotiate them down.. as I said the moment the vehicle is driven off of the lot it losses at LEAST 5% of its value if not more.... from the quick search I just did I have a feeling that the dealer is probably asking pretty much ALMSOT as much as for a NEW vehicle... if that is the case you should probably negotiate a better price on a NEW car then on a used one, this way you are the ONLY owner and you will have an easier time selling.... to be honest, I would only LEASE a Lexus (and any other vehicle) selling is not really a feasible option these days... from personal experience I have not made a penny selling one of the few Lexus I actually owned surprisingly they don't hold their value (at least not the GX) quite as good as one might think (at least an 03 did not but from what I understand 05-06 are doing better).

thanks

GXPrado

edmunds.com has a pretty good valuation for used vehicles. New is new, used is used. There is no such thing as "kind of" new so just think of it as a used car period.

JWS3

of the vehicle as equipped, add $500 for dealer profit then deduct $4000-$5000 for it being a "used" car.

CVsIS250

Rick:

If it were only a 1000-1500 depreciation, you should buy a new ride. Why take a used car for only a grand or two discount? I agree with some that a 5% reduction is appropriate.

CV

jugdish

One question I would have is why is the car not "certified Pre-owned?" See if they can certify it, take the 5-7% discount and you walk with a great barely used car with a 3 year bumbper to bumper 100K warranty.

V8_Fan

Certifying it costs the dealer like $1.5-2K, which would put it at nearly the same price as a new vehicle, plus the used vehicle is still under factory warranty including alignment (first year or 12K mi). For what I've seen in CA, 1-2 yr old Toyotas sell for the same price as new ones on sale (end of model year discounts), so to me, it makes no sense to buy a used vehicle w/ 5K mi. There's always the question lingering in one's mind that maybe it clunks or something is wrong, or the guy drove it like a race car. You can trust what the salesman says and hope it's true, but for me, if I were going to pay $45K for a used GX, I'd pony up the extra $3-5K for a new one...it's only 10% of the purchase price more.

GrdnRxR

I'd also be real careful about used at this point, we do have to think about the "Katrina cars". Yeah there's Carfax and such, but I still think Id' go new just to be safe...............

rklages

I would buy new, they won't really give you enough off the price to make it worth while, even when I looked at a 2 year old GX, the price didn't make sense - $10000 less, but 30000 miles are gone, it was really worth the extra to go new and know what I got instead of someone elses abuse. If you think about it, it is nearly half a year of average milage and each year is costing you about 6-8k in depreciation when you go to trade it in, so a reasonable deal would need to be 3-4k less than new and at that I would rather have it brand new exactly the way I wanted it! I would not even look at it unless it saved me $5k