I don't have plans to trade my maxima ever, but was jusr wondering how that worked. What happens if you trade a car that you still owe? How does that work? Is it better to sell your car on the side instead of trading it in? Wha are some tips or advice t oget the most out of your trade? Reasons to trade in besides not liking car anymore?
Thanks!

Personally, I would go with selling it outright. I did that with my previous Max when I bought my newer one. I just couldn't get much out of it with a trade. By selling it, I made back at least half of what I paid for it. Maximas just don't hold their value.

You definetly better off selling it yourself, as the dealer will NEVER give you as much money as a private buyer. Plus, if you find a right buyer you can get a good $$ for it.

If you decide to trade in a car that you sill have a lean against, there are two options:
1. The dealer will pay off your car and if the amount you got on trade is more then you owe - that will go towards your new car or
2) if the amount you get for your trade is less then you owe - you can either pay the dealer cash for the difference or roll that into your new car loan. (this is called being upside-down on the loan from the start).

If you do decide to trade, don't tell the sales person untill the very end. First negotiate the best "CASH" deal you can. No "how much a month you would like to pay MR... bull$hit. Get everthing in writing, start walking to the closing manager's office and then say .... "You know, I think I will trade my car in after all..." See what they offer you on trade. If they come up with new worksheet...check it over, chances are they tweaked some earlier numbers.....beware. Work off the original worksheet.
Basically, this is a big game . I just negotiated a deal for may parents on a new 2004 Solara Convertible, which are hard to find. I was at the dealer from 6pm ... till 11:45pm when we drove out in a new Solara (the only one in that color/option package withing 150 mi radius) with $300 over invoce.

Good luck whenever you do it.

What a sign of the times. Not only can a person drive a car that costs more than their annual salary, they can swing it so they have negative equity and still upgrade their vehicle.

We were at lunch and this single mom was telling us how good her son is, drives an Evo, pays $1100/mo in payments + insurance, and how because his friends are bad he got caught with 5.2 g of a white substance, so he got charged with possession and intent. About the only good news that I could give her is he's 17. Oh, and no, I don't handle matters like that.

Someone answer two questions for me. First, how do you end up owing more than a vehicle's wholesale value, at any given point of time, and secondly, if the former is true, why would you purchase another new vehicle?

Someone answer two questions for me. First, how do you end up owing more than a vehicle's wholesale value, at any given point of time, and secondly, if the former is true, why would you purchase another new vehicle?[/QUOTE]

Well,
The first on is pretty easy. Say you bought a lovely piece of equipment called Kia Sportage about 4 years ago all loaded up, at not very good price - close to sticker plus you got raped on the loan rate (say about 12-14%). Now the resale value of your POS is barely there, dealers don't want them (but will take it) and you still owe a lot .... plus maybe you were a "slow-pay" or missed payments and got slammed with late fees by "Beavis and Butthead company"....

The second one beats me.....i guess people just don't think.........

When I just bought my new Max the dealer actually gave me more off after I said I wasn't going to trade than what they offered for my car. I didn't want to get rid of it, but I can't afford to fix it to pass inspection. So my grandfather is fixing it and I'm giving it to my sister. Worth far more than the few $100 the dealer offered.

I agree with Schernov .... he has the process down correctly. Never never never tell the salesman that you are going to trade in the car until you are just about to sign the deal .... then do a Columbo on them ..... oh.. you know I've reconsidered and perhaps I will trade in my car.

Mr.P