akirby Posted December 14, 2012 Share Posted December 14, 2012 (edited) Dupe Edited December 14, 2012 by akirby Quote Link to comment Share on other sites More sharing options...
transitman Posted December 15, 2012 Share Posted December 15, 2012 (edited) Rumors are that Ford will be offering a $2500.00 rebate if you want to trade in your 1.6T Escape or Fusion. What a great deal for dealerships and Ford. The "sky is falling" crowd trade in their perfectly good, very low mileage 1.6L Escapes and Fusions, the dealership pays the Blue Book value, sells them again at a huge profit and Ford gets another sale of a new vehicle. All they had to do is offer a $2500 discount, which is about the same amount the dealership would be willing to sell the car for after negotiation. It's genius I tell ya. Edit: Black Book retail value for a 1.6L SEL, AWD no options is: $31175, trade in value $27150 = $4025 difference. 1.6L SE, AWD no options: Retail $29675, trade in $25150 = $4525 difference. Of course, most won't get the maximum trade in value, so I'll say it again, genius. Edited December 15, 2012 by transitman Quote Link to comment Share on other sites More sharing options...
ffdemoss Posted December 15, 2012 Share Posted December 15, 2012 Think about it. How is Ford going to structure this type of customer rebate? Rebates are on the new vehicle, not the old vehicle. So they can't just put an across the board rebate on every new vehicle. They could send every affected consumer a coupon of some kind worth $2500 towards a new Ford vehicle but that takes time. This type of dealer cash is the quickest way for Ford to get this rebate to consumers. So even though it is possible for a dealer to keep some of it I wouldn't say that this is a bad thing at all. Exactly the email i got from dealer yesterday...$2500 trade help if i purchase a 2012 or 2013 Ford and you own a1.6l. I want an ESP coupon. Quote Link to comment Share on other sites More sharing options...
rscalzo Posted December 16, 2012 Share Posted December 16, 2012 trade in value $27150 My local dealer is selling Escape SEL's with stickers of 31K at 27K. Why would they give you a trade in at that amount. That's a 2.0 vehicle. If Ford doesn't give the dealers a rebate, why would they take vehicles they are stuck with for some time to come? Quote Link to comment Share on other sites More sharing options...
transitman Posted December 16, 2012 Share Posted December 16, 2012 My local dealer is selling Escape SEL's with stickers of 31K at 27K. Why would they give you a trade in at that amount. That's a 2.0 vehicle. If Ford doesn't give the dealers a rebate, why would they take vehicles they are stuck with for some time to come? Exactly, they will offer $20,000 to $22,000 in trade and sell it for $24,000 to $25,000. I don't think they would be stuck with any of these vehicles and the average buyer would jump at the opportunity to get a 2013 Escape SEL with 5000 miles or less for $24,000 versus $27,000 or more. The average buyer is probably not aware of this recall and if it's fixed, my guess is the dealership doesn't have to tell them. It's a used car, that's what a carfax is for. Or, they will send them off to the auto auction and get sold on the used car strip in a town near you. Quote Link to comment Share on other sites More sharing options...
rscalzo Posted December 19, 2012 Share Posted December 19, 2012 My dealer is selling 4x4 SEl's for 27k with stickers of 31k. It would take more than 2k to get me to buy a used Escape with only 2k off. At 25K I'd still be paying more than the street value would be as 20 percent depreciation the first year is the norm. Secondly the first think I'd wonder is why the first owner dumped it so quickly. The dealer is making a profit on the new vehicle sale. The used sale should be almost at cost. Quote Link to comment Share on other sites More sharing options...
transitman Posted December 19, 2012 Share Posted December 19, 2012 What ever, who cares anymore? Quote Link to comment Share on other sites More sharing options...
fordmantpw Posted December 19, 2012 Share Posted December 19, 2012 The dealer is making a profit on the new vehicle sale. The used sale should be almost at cost. Newsflash...dealers make more of their profit on used car sales than they do new car sales. Quote Link to comment Share on other sites More sharing options...
rscalzo Posted December 20, 2012 Share Posted December 20, 2012 (edited) What they make is immaterial. What they price it at is what concerns the consumer. I don't see anyone buying what amounts to a used car at only 2k less than the normal selling price. Especially one that was bought back because of reliability concerns and is going to be one model year old in a few months. They would be doing great if they held back the 2.5K. Either way I don't see the buyer being very happy with the dealer if they didn't disclose it was a buyback car. Even worse if a large number of barely used Escapes come on the market, what's that do to new car sales? The more I think about it, seems the 2.5K only covers the increased cost of the 2.0 and the buyers aren't that far ahead of the game with payments. Stoppped by my local dealer today. They have 99 Escapes in stock. I was really surprised to see eight 2013's on the used car lots here. Most under 10k in mileage and surprisingly, most 2.0. Most likely I'm thinking rentals Edited December 20, 2012 by rscalzo Quote Link to comment Share on other sites More sharing options...
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