So you want to unload that General Motors (GM) or Ford (F) land yacht of yours? It may be eating your paycheck, destroying the environment and just plain embarrassing to have around, but don’t make rash decisions. Marketwatch on why it might be better to wait than to sell your SUV at a deep discount:
The cost of a replacement vehicle:
Buying a hybrid may seem like a financial lifesaver, but not if your gas guzzler is paid off or soon will be…Taking on a $400 monthly car payment may put a far more severe crimp in personal cash flow — nearly $5,000 annually for five or six years — than the higher annual fuel costs for a large vehicle.
If you’re in a household with two vehicles and one gets reasonably good gas mileage, you’ll save on gas spending by driving that one primarily and leaving your larger vehicle parked as much as possible.
Sell off your other vehicle:
If one of your household’s vehicles is a midsize sedan or similar fuel-efficient vehicle, consider selling or trading it in instead. You’ll get good money for that car rather than taking a massive hit on your larger vehicle’s value, and you can use the proceeds to buy a top mileage producer to replace it.
Weather The Storm:
If gas prices fall or even just level off in the next few months, dealers say the large-vehicle values will likely recover by $1,500 to $2,000 with an easing in our collective anxiety level.
Plus, some dealerships may not even take your gas guzzler.