Reg Martin wrote:
> I got a letter from the local high volume Honda dealer where I bought
> my new 1998 Accord LX. The car is in very good shape with about 70,000
> miles. The dealer has a year end sale that ends Dec. 20. They said
> they may offer 80% of MSRP from the trade in on a 2005 or 2006. I was
> think about maybe getting a new one. I paid about $15,500 in 1998. So
> my trade would be worth about $12,400.
>
> What should I expect to pay on a 2005 or 2006 Accord LX. I was
> thinking of sticking with the 5 speed. I would guess the end of Dec
> would usually be a pretty good time to get a good deal. Any
> suggestions? There was a web site where you could get a price but I
> lost the URL. Not a site to post my phone number and have a
> salesperson call me.
>

www.carsdirect.com is one place you can get an online price.

I don't think that you are going to get the inflated trade-in value and
a low price on the new vehicle. If anything your stealership is going
to bump up the price of the new car to give you a "high trade-in" on
your old one.

Financially you are usually better off selling your vehicle in a
private-party sale at about the midpoint between actual trade-in value
and the price the dealer would be reselling it at. Use www.kbb.com and
www.edmunds.com to get a good idea of the actual trade-in , private
party sale and dealer used retail pricing on your current vehicle.

Buy you replacement vehicle for cash at the best price you can
negotiate. If you must finance, compare the rates and fees from the
dealer/Honda Credit with your personal bank and/or credit union.

Don't buy ANY add-on stuff from the stealership. No extended warranty,
paint protection mumbo-jumbo, etc.

Note also that Honda has bumped up the powertrain warranty on 2006
models to 5 years/60,000 miles from the 36/36,0000 warranty on 2005 and
earlier vehicles.

John