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Is it true that car dealerships get 600 to 800 dollars per vehicle if it is traded in by a private party to make repairs and detail?
Wiki User
∙ 12y ago
Your statement is neither true nor false. First of all you need to understand that when you trade in a car you are selling that car to the dealership and the dealership will not pay you retail for the car because their objective is to make money on every car that passes through their dealership. A car dealer will try to get the traded in car for as little of an investment as possible so they will have room to cover any unforeseen issues. Example.... you trade in a car that has a current wholesale value of $10,000. The dealership offers you $8,000 trade in value and you accept that amount. You just sold them your trade in for less than it's worth. They will then do one of three things with the car. They may inspect and repair any minor issues, detail and then place the car on their lot for sale. They may decide to not do anything to it and sell the car to a wholesaler for more than they paid you. Lastly they may send your trade directly to an auction.
Wiki User
∙ 12y ago
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