Summertime Car for Internship

anomander
Tue, 14 May 2024 14:03:26 +0000

MMRose:

Any thoughts on a percentage loss for on a car that is bought and sold within 3 months? He’d sell it back to the dealer – he likely wouldn’t have time to sell it to a private party.

The dealer would want to make a profit both ways (on the sale then the buyback), so I’d guess at least 10% loss plus taxes and fees on the initial purchase. So maybe closer to 20% overall.

I math it out in my head like this. Totally made up numbers but seems superficially reasonable to me:
20k for the car
1.6k taxes (8% ballpark)
$500 fees (doc fees, tags, etc)
18k buyback
Total out of pocket: 4.1k

Plus 3 months of insurance.