Advice on trading in a bike

[MustangGuy]

Hey group,

I'm thinking of trading in my Ninja 650 for a new Ninja 1000. I've been doing a lot more long freeway trips than I ever thought I would and now I want a bigger, stronger bike. In any case, I owe something in the neighborhood of $4000 on my 650. I can pay it off outright, trade it in and still have $X for a decent deposit -OR- I can trade it not paid off but with a larger deposit for the new bike equal to the $4000 + X. Which scenario would make things easier for me? I'm concerned that if I pay it off before I trade it in, I might get stuck waiting for the title, but I'm not sure how that works. Any advice would be welcomed!

 

[Sirius815]

I'd talk to a dealer and see what they can do for you. I think they'll just give you X amount for the bike whether it's paid off or not. They usually could care less.

 

[Noobuel]

I'd sell it private party, have the buyer meet you at your bank, and the bank should be able to give them the title, or assure them that it will be sent to them and not you. You'll get more private party than any dealer will offer on trade.

 

[Sirius815]

Very true - always more on private party [up]. I've never dealt with leans so I can't comment on that.

 

[MustangGuy]

Yes, selling to a private party gives you the most $ in your pocket, but that would be a last resort for me. In the recent past, I've sold a car and another motorcycle privately. It took months, lots of BS from people and a lots of time. If the dealership is willing to give me at least book trade-in value and negotiate a little on the new bike, I would be happy with that. If not, I'll go to a different dealership. I can't buy the new bike outright, but I will have a nice chunk of change on hand. I think that may work in my favor.

 

[arikam]

I've also considered trading in my 650r on the new 1000 ninja. But now I have a xb12r too. So if I get rid of the ninja then I'll have to get rid of the buell to so I can afford it. After riding the xb the ninja feels like a little bitch. Have you rode the 1000?

 

[MustangGuy]

No, I haven't ridden the Ninja 1000. Based on the reviews though, it would be what I want: a bit larger, a bit heavier, optional hard bags, quite a bit more power, ABS, traction control. Love my XB9R but that's even less of a long distance bike than the Ninja 650.

 

[MustangGuy]

I've also read that some people get better deals by negotiating an "out the door price". The question is though, how do you know if it's a good OTD price unless you know what it would "normally" cost?

Another scenario I've heard recommended when buying a car: negotiate the vehicle price and THEN ask what they'll give you on your trade-in. Has anyone tried that?

 

[Fatty SS]

Hammer out a deal first, determine trade in value and decide on a price for new bike. Negotiate as though your bike is paid off and you have zero down payment. After trade in and new purchase numbers are agreed on, them mention you owe $4k on the trade in and that you have $X available as a down payment. Ask if paying off the existing loan or reading it in with a lien would get you a better price out the door.

Sometimes, when your loan is upside down and you have cash, they can fudge the numbers around (making trade in amount higher and down payment amount lower) when submitting papers to the state to reduce the amount of sales tax you pay.

 

[yellowcarbon]

If you want easy, trade in the old bike and ride out with the new bike. It will cost you $2000 to $3000 for the convenience. Dealerships are there to rightfully make money (they have to pay salaries, sales commissions, rent, etc.). You'll pay on the new bike: title, tax, set up fees, freight, etc. On the old bike, they will give you low trade in. As you know, there is a difference between the retail and trade in value of a bike. So you will get the minimal for trade in and the max for the new one. But it will be easy, so decide if it is worth it to you .

Now, if you want to make the most money on the deal (or I should say, lose the least amount of money). Sell your bike privately. Price your bike on the lower end of the market and it will sell faster than trying to get full retail on it. If you want to sell it fast, price it close to your pay off as long as you are not upside down on your loan. Then get a new loan and buy a used Ninja 1000. I have seen a few 2012 for under $7000. I saw a 2013 for just over $7000 and it had some extras added to the bike. That is getting close to half of a new one when you include tax, title & freight. Another thing to consider is that you can get a very nicely set up used bike for significantly less than a new one and it comes with thousands in extras that you may have wanted yourself.

On the down side, as you mentioned, selling and buying used can be a pain in the ass. While you will save money buying used, it will take time and money. Bikes are easier to sell if it is the riding season and you are near a large city. It can work against you if you are buying. It is also harder out of season and in rural areas. Good luck with what ever you decide.

 

[MustangGuy]

Thanks guys! I'm going to mull your advice over before I do anything. I can pay off the 650 and still have enough for a good downpay on the 1000, so that does give me some options. I'll update this post in the near future.

 

[MustangGuy]

Well, I did it - traded in my 650 for the Ninja 1000. I worked an out-the-door price that was really good. I did my homework though. I worked up an OTD price that was full retail for the bike plus the hard luggage (which alone go for $1275), trade-in book value for my bike, the loan payoff, taxes and the various fees. I was able to reasonably estimate the fees (prep charge, doc fees, CA DMV fees, etc), because I still had the paperwork from the 650. Then I worked up a second set of numbers that would represent a real killer deal. The second set being realistic, but too good to ever happen - unless maybe you had all the cash in your pockets... 10% off, no fees except DMV, trade-in value equal to payoff, etc. I offered them a number slightly above the low figure and they took it! I saved about $2500 and didn't have to once get up and head for the door. Now I'm thinking I might have saved more if I was a little more aggressive - LOL - but it was a fair deal and they didn't piss me off. I may have gotten an even better deal selling my 650 privately but again, I really didn't want to deal with selling a fairly new bike privately. Had it only been worth like $2000 like my old 250, or a special bike like a Buell, it would have been a different story. On paper, they gave me the exact amount of my payoff (I was upside down of course) but I didn't care how they wrote it all up as long as I got the OTD I wanted. Happy camper here.

Arikam, yeah, my 650 was like a little bitch compared to my 'bolt. The 1000 is a big bitch - LOL! Freaking tons of power and really smooth and refined - both mechanically and in power delivery. It is a substantial bike. The 650 was heavier than the XB9R and the 1000 is even more so, but it is well balanced, so it is very manageable. I haven't had it up in the mountains yet, but I'm not having any problems navigating it around town. I'm lucky I could get this amazing bike without having to give up my Firebolt or my Hawk GT... I wouldn't have done it. I get too attached to my machines! I love the Buell, but it's nice to have something smooth and refined with an upright riding position. My back doesn't like me taking long rides on the Buell (but I do it anyway sometimes!)