trading in the gas hog?

[Mickijune]

I think I have a good idea here, but would like to know if anyone has any experience doing the same thing.

We got into an accident in January this year. Our dodge neon was totalled and we bought a Dodge Intrepid mostly because of the price ($4500) and low miles. I was thinking about it and it only gets approx. 19-20 mpg. I would like to look around for a more efficient car without spending any extra money and thought of the idea of trading in the Intrepid at a dealership. Just a straight trade. I have never done anything like that before...any thoughts?

[chucklesmcgee]

How much do you drive annually?
Did you buy your Intrepid from a dealer or a private party?

Dealers always have a pretty hefty markup so you'll probably get way less car for a $4500 trade-in, maybe something in the $2500-3500 range.You might be able to find a toyota echo that gets 33mpg or so, and that would save you about 200 gallons per 10,000 miles, or $600-$1000 per 10k depending on how gas prices go. Still that could also will have lower maintenance costs.

But inventory at a single dealer is going to be very limited and I imagine you'll be picking over some 25mpg cars with higher mileage and questionable maintenance, which probably won't be worth it.  You might have more success selling the Intrepid and then buying a new car on craigslist.

[Matte]

I would try Craigslist.  Especially if it is in good condition, low miles, desirable color and options.  Since its domestic resale sucks. Dealerships usually want at least a grand on every transaction in profit so keep that in mind on trades, although they can be favorably tax wise depending where you live.  It is a shame how some mid size cars are such pigs, my dad has a 300m and I have borrowed it a few timed and know all too well how hard those v6s are on gas.

[Mickijune]

Thank you for the replies. I didn't take into consideration the dealer markup and it makes total sense. I'll have to talk to the hubby and see what we can come up with.

[gdborton]

Pick a number that you'd be OK with letting it go before taking it to a dealership.  Then have them quote you a price, get it in writing if you can.  If it isn't at least close to what you were hoping for just sell it on CL, the process is simple and it should move quickly.