Yes you can certainly ask for a match and if not a check to pay vroom any difference owed

@@Kryptic1046 so its kind of like I sell my car to dealership B with the help of their money so I can use the total money to buy a vehicle back at dealer A the one that gave me a check?

@@erikceniceros119 - Correct.

@@negotiationguides hey Ari I live in Massachusetts Haverhill Mass.. I have a 2019 Toyota Camry SE nightshade edition.. I leased it my lease is up in July I owe 15 g's and change on it I got a quote from CarMax they offered me $20,800 for it... So I got about five grand of positive equity, my question is I wanted to get in to like an affordable Lexus or even that Kia K5 GT... Even with putting four grand down it seems like my car payments are still going to skyrocket I only play two 10 a month for my 2019 Toyota Camry and they tried to rape me and make my payments 3:30 something and I talked them all the way down.... I just want to get into something a little sportier and more bells and whistles with three to four grand down and keep my payments in the 200s at least is this feasible?

@@benjaminbenson8914 just go to the dealer and ask. Or go directly to the bank or union and ask for the loan and negotiate the payments directly with them. Payments are based on your credit, the amount your asking for, and your history with debt and paying it. A down payment of a few grand isn't really going to make much of a difference.

Yea they do. Don't trade your car in

No. Im in that position. Just got a car 4 months ago been in the shop 3 times. It’s still under warranty so it’s getting fixed and not quite hit my state’s requirements for lemon law. Meanwhile, the car has now severely depreciated and I have negative equity on a crap car.

​@@tingtaijiyep I agree. I still have 10,000 and probably more due to interests but I've only had it for a year and I will have spend about 2,000 in repairs. I have a 2012 Chevy Cruze and I don't want it anymore lmao

This is a bad example

Yup…just got a charger..had it for About 2 yrs…wanted to trade for a challenger and they wanted 10k down

Great advice

@@Billyy.c_ - How is it a bad example?

Car dealership the biggest rip off

Thank you for this info.😊

Do they want you to pay the 5k upfront? I’m in the same situation but I’m only looking to sell

No tax credit. Sales tax is not refundable. You pay the sales tax rate in your state every time you purchase a vehicle.

I’ve done this a few times and it can be in some instances. I was able to get $4K over trade value on a car. The dealer agreed to pay off my loan completely and I got out from under it with no negative equity

@@1LElife omg that’s amazing! I hope that happens for me. May I ask now much you were upside down?

@@MsMalina24damn he never answered lol

To add to this I felt the same way as I’m at the bank trying to figure exactly that!!

@cj reyes Greetings, I am currently seeking to make a purchase of a new luxury sedan automobile. I would kindly request your guidance in determining the comparative merits of select vehicles, namely those of the Cadillac, BMW, Audi, and potentially the Mercedes-Benz. Specifically, I am interested in evaluating factors such as their liability, maintenance cost, and comfort amenities, among others.

That's exactly what I'm thinking about doing I currently drive a 2018 Nissan Altima and I currently want to trade it in for a 2008 Buick Lacrosse

You positive equity will go to the new car for smaller monthly payment

Right now I got a 2020 SUV and I wanna downgrade at least to a 2016. This was a very impulsive purchase 😅

essentially, yes.

This is great for people that bought a car and the car appreciates in value. If it depreciates trading in a car is a waste of money and time. Trade in is a what of money especially, if you have negative equity.. I thought different lol. But I’m so glad your comment broke it down to make way more sense. I’d rather pay my loan off and run the miles up for 4+ years and then sell it and get all or at least more than half of my money worth.

@@tallkekepink95 makes a lot of sense. I’m in between right now I only owe 4000 left on my car that I bought brand new. I need a bigger car and was going to trade it in for a down payment . I’m So up and down

What year/model is the nissan

Very interested information to know

What did you end up doing?

What did you do I’m in this EXACT position down to the Nissan & the 8k I have to trade asap but I’m not sure which way is best

Or just pay in cash lol

Used cars that are 2 years old are almost the same cost as a new one. I saw a 2020 camry le going for 37500 with 18k miles and a 2022 with 16 miles brand new going for 38900. Two grand difference with warranty and peace of mind is worth it.

Unless you get on cargurus! I was able to find a used SUV with 12k miles and I paid 20k for it. Of course they gave me a mandatory 1k VIP package. If it wasn’t for it being mandatory I would’ve just paid 19k

I plan on riding my SUV miles up! And then selling for at least half what I paid for it. Hoping it can last me for 4+ years. And afterwards I’m downgrading and getting a car all in cash. At the moment in this crisis It made absolutely no sense to buy a Toyota or Honda with very high mileage. They want 2015-2016 Toyota for 25k with 100k+ miles

What did you end up doing?

Definitely for real

You subtract how much your car is worth from how much you owe then add that sum onto your new loan

Can you give us an update? Sounds like really bad timing with the insurance policy.

What did you end up doing?

Sorry to hear that. If you trade now you will take a big loss 20% or more plus your taxes and fees.

Lord, why didn’t you rent it first? Turo etc... your going to take a huge loss

@@justshady honestly that is some good advice.

The huge loss people are talking about with buying new and driving it off the lot and instantly losing a lot of resale value is dependent on the vehicle. For example, I bought a fully loaded 2020 Subaru Ascent Touring in July of 2020 for 47,099 (not including taxes and fees), and I have my appraisal and will be selling this vehicle to CarMax tonight for $43,200 after 9 months of ownership and like I said I bought the car brand new.

@@firnameweren5311 Good for you. You happen to have an in demand model in a market that has very low inventory/ high demand for used vehicles. It's all about timing, how much you paid and your interest rate. You lose on processing fees and sales tax.

Or have it stolen 😅

Literally

my daughter's car was just total loss for a 5mph fender bender and it wasn't even that bad 🤣🤣🤣

Wouldn’t recommend an intentional crash. But my RAV4 was totaled after a hit and run while it was parked. Owed $9k on it, but settlement was $15k.

Same

@@elijahmanard5180 thats with your interest rate. Contact your loan company and ask for a payoff quote

The payoff quote is different from your actual loan

I just commented the same thing I think you’d walk away with about 7k for using towards the new car, not sure though

I wanna downgrade too.. lol but right now I’m in negative equity. I want a Toyota or Honda with less miles though. Right now these cars are selling high with very high mileage. What you end up doing?

I ended up selling back owed nothing on the car but didn’t make anything off of it and downgrading using cash. Never taking out a car loan again.

I’m trying to figure this out right now in the current climate. My car is worth $29k and I’ve paid $20k into it. I still owe $18k and have a $525 monthly. Problem I’m having is getting into something that’s not over priced. I don’t want to get hammed. Ideally I’d just like a short term lease. Idk what exactly to do 🤷🏻‍♂️

You would have to pay the difference for the “new” car which is $5k They pay u $17k, you pay off the rest of the $10k you owe. Then the $7k youre left with deducts from the $12k price of the “new” car.

It all depends on how much your current vehicle is valued. If your car is valued at 13k and you want something that's 10k then yes you'll have positive equity of 3k but if it's worth 9k then you'll be in negative equity

@@giobarajas3654people really buy cars and don’t understand depreciation?

Use that amount as a down payment

Sell it privately (fb marketplace, online websites) and pay the bank the remainder payoff balance out of pocket… you’ll get more money from a private buyer than what a dealer would normally offer.

@@byroncortezmusic1327 what about the title ?

@@M0DFATH3R as soon as you pay off the loan the title will be released to the buyer. You have to make sure to pay off the balance first before taking this big step… may need to match up the end price with your own out of pocket money.

I’m wondering the same thing. Toyota is offering me $15k on my 2017 Corolla and I owe $4,776 left on it so it’s way higher than what I owe. I can’t figure out what happens the money I owe since it’s not negative equity?

No. SUV market is very strong especially on used.

Either .. I’ve seen both

The equity can be used as your down payment.

@@kate60 - Sometimes, yes. Some lenders will still want a down payment regardless of your trade equity.

@@Kryptic1046 Correct

Based upon Ari's knowledge passing in the video: I would get a pre-qualification for the car that you're looking to purchase. Ideally you can push the payments out to anywhere from 60 to 72 months with 0% interest. I would then sell the truck to the highest bidder (Carmax, some other dealer, whoever...) to payoff as much as you can on that loan. Then, I would ask the lender for your truck to refinance that remaining balance (18k or whatever it is) for a few years without a ridiculously high interest rate. This would reduce your monthly payment on the truck from 1k to something more reasonable, most likely between $250 and $300 per month. Assuming you can get a $30k new car loan at 0% interest for 72 months, that would bring your new car loan payment to around $417. Remember, if you want to achieve the *lowest* monthly payment while extending the duration of the loan, you *must* put as much down payment on the loan with the *highest* interest rate. If the new car dealer will give you a loan that will roll in your equity at really low interest (1.99 for 72 months, for example) it would still make sense to separate out the loans to get that 0% on the new car, unless you just want the convenience of a single loan payment. But, I always have auto-draft on my payments so I never think about it until it's done. A simple equation to look at regarding when you should take a negative equity carry-over into a new loan at whatever interest rate is: [(OldCarResidualLoanValue) / (OldCarResidualLoanValue + NewCarLoan)] = PercentOfLoanFromOldCar PercentOfLoanNewCar * NewCarInterestRate = Effective Interest Rate Proportional to Loan Ratio (If new car is 0% interest, effective interest rate is 0) PercentOfLoanFromOldCar * RefinanceTruckInterestRate = Effective Interest Rate Proportional to Loan Ratio Scenario1: If bank will refinance your truck carrying a balance of 18K with an interest rate at 3.49% for 72 months (About $277/month) and... If new car loan is 72 months at 30K with 0% interest (About $417/month). Scenario2: OR, New Car Dealer says they will pay off your truck AND finance your new car, but with an interest rate of 1.99% for 72 months, then you're probably better off keeping them separate as the payment would be $708, which is $14 more you're paying per month, at $168/yr, with $1008 over 6 years. Your example could be: (18000 / (18000 + 30000)) = 0.375 (Truck Loan Ratio) (1 - 0.375) * 0% = 0 (This is the New Car Loan Ratio * interest rate) 100 * 0.375 * 3.49% = 1.30875% That means if the new car dealer says they'll carry over your entire balance of your truck and they charge you an interest rate greater than 1.31% then you're better off keeping the loans separate. This is just a quick/dirty example, but it'll be much easier to navigate if you have a car payment calculator accessible to you when you start negotiating. I would probably call your lender and ask what rate they would refinance you at if you had a residual balance of 18k (or whatever the remaining balance would be to the highest bidder). It probably depends upon the duration of the loan as well. Obviously it's cheaper to pay off earlier unless they give you 0% interest. That way you have an idea of what your negative equity payment would be and it will help you navigate the second step, which is would it make sense to let the dealership cover your remaining loan if they're willing to do so. At least then you'll have all the numbers at your disposal and you can see if you're going to be taken for an extra $30, $40 or $50/month for however many years. I would probably look at a good CPO if any dealerships offer 0% on CPOs, as they're usually a bit cheaper than new, but that 0% helps a lot, unless the sales price on a pre-owned is much lower. Hope that helps. Good luck!

I'm im the same boat

You are already hosed on a 50K car and now you want to buy a 30K one? Your best bet is to try and scrape together 10K, get a personal loan for 10K, and buy something under 10K. I make 100K a year and drive a 4K car because my finances were about messed up as yours. And I'm not going to end up back there again.

Good lawd. Who the heck gets into a truck for a $1K a month payment anyways? Unless you are make $250K annually, you have no business in that much vehicle. Then you state that you’d be more comfortable in a 6-7 hundred a month payment? Well, there’s your problem. You’re worried about falling behind on payments and you even considered buying a BRAND NEW car? Dude, you’re broke. Do you not get that? You’re sacrificing your financial future over a flipping car. I just bought a brand new Honda CR-V with an MSRP of $31K. Guess what- I used my PAID FOR 2104 Acura TL as trade in and wrote a check in full for the difference. I could do this because I’m not over my head in cars. If you don’t change your behavior with regards to cars, you’re pretty much doomed financially.

@@aeromedical6750 you’re not helping. He asked for help not judgment after the fact.

What did you do

If your credit allows it they will add that charge to the current car you want to get assuming it's worth that amount of 19k

You can most certainly bring your own rate

@@negotiationguides thanks, just found you today. Earned my sub

Why would you buy another car and take a hit on the trade in? That’s ignorant. That’s why everyone in America is broke

Ikr! Lol

Following

Right that’s what I wanna know. Because I know my car is worth $13,000 but my payoff is $21,000 and the car I want is about $14,000 brand new with a couple rebates on it as well

@@MsMalina24 so what you going to do?

Damn what you end up doing? I know my car is worth 17-18k and my pay off is 24k. But I told them to take my warranty and GAP insurance off so I’ll be at about 20k. So I’ll be 2k under water. I do wanna downgrade to a Toyota or Honda 2016 or 2017. But I need positive equity. If I can find a Toyota at 30k miles selling for 15k I’ll be willing to trade but I need to be at a positive equity. Right now my SUV is at 13k miles. I’m gone run my miles up at least until 60k miles. I see the same SUV online for 18k 64k miles

You never need a down payment… you will just have higher monthly payments. The dealership will always want money now if you have it.

No

"Trashing" your car doesn't hurt your credit it just hurts the value of your car.

yes

Similar issue here.. 😣

@@stephensmith6727 well trading is pretty much out of the picture as i’ve gone around dealerships so unless i have an extra 5k to cough up i have no choice but to refinance, stick with the car, or make extra payments that are interest free

I have a 20 Camaro SS and I'm ready to trade in mine too 😩

You should get a 5k used car, save money, and stop trying to flex

@@monkeys123lolHey this the best thought process ever seen since researching this lol. I felt the same way. That roll over loan amount is gonna be a monster unless the car is super cheap.

you had the altima for 1 year and still owed 30k ??? how ??

@@Brian-nn1tf it was 35k when i got it i traded another car before I got the 21 Altima.

I hate them I deal with them, you miss a payment they called you 4 times a day

I’m in the same boat with 2013 but I owe 10k n I’m tryin to get a 2019 but my credit is good

If that's what you want make it happen but shop around for a better deal