Best place to sell my R

[Leader]

That's NOT the way taxes work in California.

 

[gtowngovernor]

thanks

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[cb1111]

You may already be aware of this, but sharing it for others: When you trade the car in, that same dealer is able to offer you the tax savings on the car you are purchasing. So if you trade in a $20k car, that would be an additional $1500 at a 7.5% tax rate, for example. If you sell the car outright to a private individual, Carmax, etc..., you do not get those tax savings on the new car you are purchasing.

That is true is SOME states and NOT most. Certainly not in California where the OP is.

 

[Dan00Hawk]

Most of the 50 states allow for a tax credit when trading a car in. So yeah, MOST do.

Here are the one's that don't (excluding states that don't charge tax on cars) :
California
District of Columbia
Hawaii
Kentucky
Michigan
Montana
Virginia

Google it for yourself, fellas:

http://www.realcartips.com/selling/010-states-that-allow-trade-in-tax-credit.shtml
https://finance.zacks.com/calculating-sales-tax-new-car-purchase-tradein-9018.html
https://smallbusiness.chron.com/sales-tax-work-tradeins-58914.html

 

[vj123]

Most of the 50 states allow for a tax credit when trading a car in. So yeah, MOST do.

Here are the one's that don't (excluding states that don't charge tax on cars) :
California
District of Columbia
Hawaii
Kentucky
Michigan
Montana
Virginia

Google it for yourself, fellas:

http://www.realcartips.com/selling/010-states-that-allow-trade-in-tax-credit.shtml
https://finance.zacks.com/calculating-sales-tax-new-car-purchase-tradein-9018.html
https://smallbusiness.chron.com/sales-tax-work-tradeins-58914.html

Yes many states do offer some sort of credit and also dont forget about the cap. For example in MI, trade in value is capped at $5000. Multiplying it with sales tax, the max credit is only $300. And most people would have come across the links you posted and some are pretty old (from 2011).

 

[TheProfessional]

All I know is that here in Texas, I traded in my R two weeks ago for a GTI and payed almost zero sales tax. Don't remember caps when I lived in FL and PA either, so usually ended up trading in there as well.

 

[Dan00Hawk]

Yes many states do offer some sort of credit and also dont forget about the cap. For example in MI, trade in value is capped at $5000. Multiplying it with sales tax, the max credit is only $300. And most people would have come across the links you posted and some are pretty old (from 2011).

Thanks for clarifying the additional information for Michigan, as I didn't post the intricate details for every individual state. People can read up on that for themselves, as I indicated.

I just want the good folks here to be aware that there may be tax credits available (depending where they live) when they trade in a car versus selling it privately and to consider all the information when making their decisions on how best to proceed.

 

[ssaylor]

You may already be aware of this, but sharing it for others: When you trade the car in, that same dealer is able to offer you the tax savings on the car you are purchasing. So if you trade in a $20k car, that would be an additional $1500 at a 7.5% tax rate, for example. If you sell the car outright to a private individual, Carmax, etc..., you do not get those tax savings on the new car you are purchasing.

That IS the way it works in AZ too. You only pay state sales tax on the DIFFERENCE between your trade in and the new car two (since, in theory, you've already paid tax on the first one). The same goes for private party purchases - no sales tax.

As a CA ex-pat native, I can safely say there are MORE tax reasons NOT to live in CA than almost any other state.

 

[cb1111]

Most of the 50 states allow for a tax credit when trading a car in. So yeah, MOST do.

Here are the one's that don't (excluding states that don't charge tax on cars) :
California
District of Columbia
Hawaii
Kentucky
Michigan
Montana
Virginia

Google it for yourself, fellas:

http://www.realcartips.com/selling/010-states-that-allow-trade-in-tax-credit.shtml
https://finance.zacks.com/calculating-sales-tax-new-car-purchase-tradein-9018.html
https://smallbusiness.chron.com/sales-tax-work-tradeins-58914.html

Hmmmm, you're right, but add Maryland to your list along with the states that cap the sales tax credit.

I've bought cars in California, DC, MD, VA and KY - I guess I was unlucky, since the cars I bought in AR, NM and TX didn't have trades.

 

[Bdurrell]

My dear comrades, I’ve had the utmost honor of driving my 2016 Stick R for the past 3 years and boy do I love this car. That said, it’s time for me to try something new and I’ll be parting away with this bad boy after 36,000 miles.

Do you have any recommendations for how to go about selling it? Trade-ins will cost me ~ $4,000 at the minimum and I’m hoping to sell at it KBB estimate.

Side note, I live in NorCal if anyone is interested.

I’ve posted on Craigslist but there has got to be a better way to go about this.


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Its worth about $26k to $27k. If you price it accordingly, it will sell.

 

[gtowngovernor]

The KBB price is around $29-30K, I’ve listed it for $28K but won’t negotiate lower. I received one serious offer for $25K which I turned down. If I am unable to sell the car for what I think it’s worth I think I’ll end up keeping it.

Thank you for all your help!


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[wildstar87]

I've sold a couple cars on Tred.com, it's not bad, as always ymmv.

 

[MonkeyMD]

Stating the obvious, but have you listed on here and on Vortex.
See quite a few listed then sold. Not sure if there're sold to someone on forums or not, but can't hurt.

 

[The Fed]

I haven't heard what the honest condition of the car is, and if it's tuned.

One other issue, it's 3 years old with 36,000 miles. You would have had an easier time if you sold it while it still had a few months of basic warranty left.

What are you thinking of buying next?

 

[gtowngovernor]

The car was never tuned, never hit track. In all honestly excellent condition other than minor rim scratches. I really took great care of it.

Looking at G70 3.3T, S4, 440i, but the Germans are not playing ball with me. Hesitant to go Genesis but the car looks good.


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