Used Taycan prices

[whitex]

There are just no new models for sale right now outside of a few markets, and builds with desirable features are still selling at retail or more just because demand is so high. It's like this with many cars.

I've noticed on car sites like Vroom and Carvana, Jeep Wrangler 4xe, which get a good federal tax break are selling for at or just above retail with basically no miles on them as used. My guess is buyers or the companies themselves get ahold of the car and immediately flip it with the intent of claiming the EV tax credit. A cool 6k profit with no effort.

The math doesn't add up. You buy a $100K+ car, you pay registration and sales tax. Even if you skip the registration, sales tax is due on sale. Then next year you get a $7,500 tax credit, which is probably less than the sales tax you paid and will never get back.

There are always cars which people sell soon after getting them for a number of reasons (life situation change like new kids, divorce, loss of employment, death, losing driver's license, realizing the monthly payment and/or insurance is too much of a financial burden, etc). I think the only difference today almost new cars will fetch a higher dollar than in the past because of new car shortages. Heck, old used cars are fetching 30%+ more than usual too.

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[riburn3]

The math doesn't add up. You buy a $100K+ car, you pay registration and sales tax. Even if you skip the registration, sales tax is due on sale. Then next year you get a $7,500 tax credit, which is probably less than the sales tax you paid and will never get back.

There are always cars which people sell soon after getting them for a number of reasons (life situation change like new kids, divorce, loss of employment, death, losing driver's license, realizing the monthly payment and/or insurance is too much of a financial burden, etc). I think the only difference today almost new cars will fetch a higher dollar than in the past because of new car shortages. Heck, old used cars are fetching 30%+ more than usual too.

My example was specifically for a much cheaper EV and different states have different taxing laws. If I bought a 4xe just to flip it for the tax refund I would still profit a few grand.

 

[whitex]

My example was specifically for a much cheaper EV and different states have different taxing laws. If I bought a 4xe just to flip it for the tax refund I would still profit a few grand.

Jeep 4xe starts at $51K, so you're looking at a couple of grand of profit maybe, if you get the base model. Furthermore, the less expensive the car, the less people are willing to overpay just to get it now. Often times, to them is get base car now, or fully loaded one in few months for the same price. There is also the chance that the incentives will be going up next year too, some people consider that too.

All that said, if you can in fact flip them and make money, all the power to you. You're providing a valuable service to those who need instant gratification. Perhaps you can flip enough of them to earn yourself a free Taycan.

 

[Mr.Smith]

Something to consider when we see a used car being listed for more than MSRP.
Only cars that are selling for more than MSRP as new will go over MSRP for used.

The example I always use is the Mercedes G Wagon. They are selling from $50k to $100k over MSRP new, so seeing them listed for $40k over MSRP used makes sense.

 

[Chris8536]

Something to consider when we see a used car being listed for more than MSRP.
Only cars that are selling for more than MSRP as new will go over MSRP for used.

The example I always use is the Mercedes G Wagon. They are selling from $50k to $100k over MSRP new, so seeing them listed for $40k over MSRP used makes sense.

This isn’t true. You just don’t see the orders selling at MSRP. But for those sitting on the lot yes.

 

[Mr.Smith]

This isn’t true. You just don’t see the orders selling at MSRP. But for those sitting on the lot yes.

Yes, but like the example of the new, inventory Turbo that is selling for 5% off means you wouldn't see a used Turbo selling for over MSRP.
With EVs you also factor in the $7500 FIT rebate.
So when looking at used Taycan prices, that $7500 isn't really considered the depreciation


I still have my wholesale license and work with dealers. I'm seeing this all the time

 

[hkarthik]

That's an SF Bay Area dealer. Out here (and in LA) the demand for Taycans is so high that dealers can charge higher than MSRP for new inventory, and closer to MSRP for a used one. And they'll still move it within a few weeks.

I ended up purchasing a demo Taycan 4S delivered from a dealer in Alabama for slightly off MSRP and CPO warranty added for 2 years. Even with the extra shipping cost, I came out ahead compared to the local dealers.

 

[R Benny Waered]

Agreed.

on an unrelated note how does the Rapide and Taycan play together in your stable? I had always wanted one but the Taycan came along and I waited for that instead.

I wonder that too The Rapide is truly beautiful and a superb handling 203mph car - its quite a well kept secret really! Its also exclusive - less than 1000 in UK. And that V12 - makes the hairs on your arm stand up. But the Taycan is going to disrupt all that as it is a better car in all respects except range, interior (well unless you throw away an extra £20k on the interior - £2400 for coloured STITCHING!?) and noise... Hmmm! 17mpg v 5pkWh too! Hmmm???

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