I know that a car's trade in value has as much to do with negotiating than the car's so called book value and things like big repairs and even minor accidents, even if they've been repaired, can make a difference if they show up on a CarFax, But does whether I paid cash or if financed the car I want to trade when I bought it new actually make a difference as far as its trade in value goes?
I'm asking because dealers always ask if there's a loan and so do some independent appraisers. Dealers always say the just want to know so when they make me an offer they know how much they need to pay off instead of putting it toward the new car. I know they do this to jumble all the numbers together to make it harder to tell exactly what price they want for the new car and how much they want to give in trade and I always tell them no and make sure we've negotiated the price for the new car before even telling them I have a trade in the first place, but does the bank lien actually matter when it comes to how much the trade in is worth? Would it be different if I just paid off the loan before going to the dealer?
The only reason I ask is because an online appraisal service that's not affiliated with any dealer also asks if there's a loan or not before giving an estimated trade in value. I know the dealer would just as soon have the title immediately so it can sell the car right away without having to pay off the loan and wait for the title to come, but do they really look at this as something that impacts the car value?
Thanks for any help anybody who knows first hand can give.
I'm asking because dealers always ask if there's a loan and so do some independent appraisers. Dealers always say the just want to know so when they make me an offer they know how much they need to pay off instead of putting it toward the new car. I know they do this to jumble all the numbers together to make it harder to tell exactly what price they want for the new car and how much they want to give in trade and I always tell them no and make sure we've negotiated the price for the new car before even telling them I have a trade in the first place, but does the bank lien actually matter when it comes to how much the trade in is worth? Would it be different if I just paid off the loan before going to the dealer?
The only reason I ask is because an online appraisal service that's not affiliated with any dealer also asks if there's a loan or not before giving an estimated trade in value. I know the dealer would just as soon have the title immediately so it can sell the car right away without having to pay off the loan and wait for the title to come, but do they really look at this as something that impacts the car value?
Thanks for any help anybody who knows first hand can give.