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Mopartial to Challengers
2015 SRT Hellcat
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Discussion Starter · #1 · (Edited)
I just received a vehicle valuation from my partner-in-crime (my credit union) assessing the value of my Challenger at $31.5k. My CU does this quarterly for vehicle insurance purposes. I checked their valuation against cargurus.com, kbb.com, and nadaguides.com. All three sites value my R/T Classic between $31-$32k, which is rare especially since Kelley Blue Book (kbb.com) tends to undervalue vehicle resale value.

It took me only 3 months to go rightside-up on my Challenger in terms of what I owe and what the vehicle is worth, and not only did I finance the whole thing but I re-fi'd the loan back in December! I have remained rightside-up for the last 6 months and it looks like I will continue to do so, or at least stay within break-even valuation, until the valuation and debt cross lines for good in a couple more years. This is the first time I have ever been in this position for any vehicle I have financed!

For those of you on the fence about buying or financing a Challenger and still have concerns about depreciation, take this into consideration :smileup:
 

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Some folks I know won't purchase a car unless they pay for it outright. Most people can't pull that off, so finance is the only option. I myself pay for most of my rides in cash, but I have financed. It's a hard pill to swallow knowing your upside down in either a car or a house or whatever, but sometimes to get what you want....it's the only way. If you keep your car long enough John and pay it off, down the road you'll get part of that back. I personally wouldn't sweat it. You work hard and deserve it. Enjoy your beautiful ride!
 

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Waiting for beautiful fall colors!
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John, that was very interesting to read. I guess I didn't realize the CU does that. I have been lucky recently to not finance, but before I just drove a lot of old rust buckets!! Don't let Carl see this, he will give a full fledged accountant view! Ha! Actually he will probably love your post! Thanks for the interesting info!
 

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"Z" member since 2009
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IMO, being upside down in a car loan is only significant if you decide to trade it in well before payoff or where the vehicle is in an accident and declared a total loss early in the loan period.
 

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Mopartial to Challengers
2015 SRT Hellcat
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Discussion Starter · #5 · (Edited)
Some folks I know won't purchase a car unless they pay for it outright. Most people can't pull that off, so finance is the only option. I myself pay for most of my rides in cash, but I have financed. It's a hard pill to swallow knowing your upside down in either a car or a house or whatever, but sometimes to get what you want....it's the only way. If you keep your car long enough John and pay it off, down the road you'll get part of that back. I personally wouldn't sweat it. You work hard and deserve it. Enjoy your beautiful ride!
Oops...
Made a mistake on my terminology. :doh: I meant to say I have been right-side up, not upside down, for the last 6 months. If anything, I am stoked that my car has been holding value since I bought it. The first five months of payments essentially paid for the tax and license, meaning that my Challenger is still worth as much today as what I paid for it 9 months ago.

Sorry folks, this was meant to be a positive thread, not a negative one. Mods, could you please change the title of this thread to Rightside up for the 6th consecutive month?
 

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I hear ya!
My 2009 SRT8 listed for $43K (plus $4700.00 in GG and Sales tax) in Nov of '08 when I took delivery. She has a current KBB value of $31K (24,000 miles, if she were stock - but she's no-where near stock anymore). She'll be paid off in less than a year.
I'll never consider getting rid of her at any price, but it's nice to know how well she's held her value.
72% of her MSRP at 5 1/2 yrs old is pretty good! :smileup:
:hah: Try getting that with a 2010 Camaro 2SS with 20000 miles (similarly equipped, currently values at $27K - and that's a year newer!).
 

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I think mine still books for about $29k, I owe nothing and paid a lot less than that for it. First car i've had that i was in this good of shape with. Usually upside down.
 

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Oops...
Made a mistake on my terminology. :doh: I meant to say I have been right-side up, not upside down, for the last 6 months. If anything, I am stoked that my car has been holding value since I bought it. The first five months of payments essentially paid for the tax and license, meaning that my Challenger is still worth as much today as what I paid for it 9 months ago.

Sorry folks, this was meant to be a positive thread, not a negative one. Mods, could you please change the title of this thread to Rightside up for the 6th consecutive month?
That's what I thought you ment John...but I wasn't about to say anything....LOL:D
 

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Seeing red
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Oops...
Made a mistake on my terminology. :doh: I meant to say I have been right-side up, not upside down, for the last 6 months. If anything, I am stoked that my car has been holding value since I bought it. The first five months of payments essentially paid for the tax and license, meaning that my Challenger is still worth as much today as what I paid for it 9 months ago.

Sorry folks, this was meant to be a positive thread, not a negative one. Mods, could you please change the title of this thread to Rightside up for the 6th consecutive month?
Lol. I thought that's what you were getting at. It's understandable because we all used to seeing cars plummet in value so much. It's refreshing to see the Challenger holding its own.
 

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Andy
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thanks for clearing that up John because my little brain was confused!!!

the most important part of it all....you're driving a hot hot car....the fact that it's holding value is a sweet bonus!
 

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Too late Betty, I've found the thread! Haha!

That's a bummer man. But as long as you're planning on paying the car off and keeping it, in reality it doesn't matter all that much.

I've actually noticed the opposite in general, where Challengers seem to be holding their value longer than other cars out there (i.e. Camaros and Mustangs). My car has never gone upside down since I bought it and I only put $2K down on it. I did 5 years 1.9% financing. If you put nothing down and did a 6 year loan at 3.9% or 5.9% then I could see how you might end up upside down at some point. If you re-finance and don't shorten the term of the loan to what you had left on the old loan, then you just drag it out even longer which can also cause this to happen.

It sucks, but if you keep the car and love it, it will be paid for soon and then it really won't matter all that much.

In the future you can always try to look for financing deals through the dealership such as 0% or 1.9% since you hardly pay any interest or with 0% you pay no interest. You actually make out better as the time value of money is in your favor since you're paying back the debt with depreciated dollars over the long term.

If you feel yourself starting to get down about it, just go outside, start your car up, get out onto a nice open stretch of road, come to a complete stop, and light the tires up for about 10-20 seconds. Then you won't care about it anymore. :)
 

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Oh ok now I just finally read that last part, so now it's flipped and you're right side up. That's cool. Either way you're driving an awesome car!

When I first saw this thread I thought, wow this guy keeps flipping his car over? What is he doing? Hahaha!
 
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Dash Cam Guy
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I am about 10 grand in the black on my car loan versus car value. Sometimes I think about selling it to my wife so I can pocket that cash and then transfer the title back to me and put a supercharger on it. :D
 

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"Turn on, tune in, drop out"
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Many people do buy new and trade in every 3-4 yrs. Those are the folks that take the hardest hit driving off the showroom floor and then trading it in for a loss. Like others said, if you intend to keep the car for a very long time, then depreciation value is of no concern.
 

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Oops...
Made a mistake on my terminology. :doh: I meant to say I have been right-side up, not upside down, for the last 6 months. If anything, I am stoked that my car has been holding value since I bought it. The first five months of payments essentially paid for the tax and license, meaning that my Challenger is still worth as much today as what I paid for it 9 months ago.

Sorry folks, this was meant to be a positive thread, not a negative one. Mods, could you please change the title of this thread to Rightside up for the 6th consecutive month?
John, I was wondering what you were smoking in your first post! LOL!

I'll change the title.
 
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Waiting for beautiful fall colors!
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All those earthquakes have shook up John's brain!! Ha! Just kidding John!
 

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Mopartial to Challengers
2015 SRT Hellcat
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Discussion Starter · #18 · (Edited)
Rightside up for the 18th consecutive month

Just ran a quick check on my Challenger's KBB value and I'm stoked that my Challenger's value remained rightside up for the18th consecutive month, worth $100 more in current value than what I have left on my loan. And this even after I re-financed my original Chrysler loan with a better rated loan from my credit union, which allowed me to skip a payment when the transaction occurred a year ago, and I skipped another payment last month, which my credit union allows every December to help out with Xmas expenses if your loan is current and in good standing.

But this is the year where the financial x and y lines finally cross. By this time next year, my Challenger should be $6500 rightside up versus my loan. Definitely the best valued car I have ever owned! :smileup:
 

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Once it's paid for it won't matter, it'll be free and clear then!
 

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When you say they valued at 31.5k, is that wholesale/trade in value or retail? That seems high to me. I could only find @kbb my '14 @+28k trade in value. Private was 29.5k. Just wondering what value they mean?
 
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