To trade in or to sell

[4MoJoe]

I was offered $14,000 for the 2004 X5 on trade-in. I sold it privately for $22,000 so that more than made up for sales tax benefit. In Idaho you deduct the trade-in from the selling price and pay tax on the result.

[sasquatch]

The dealer will typically rape you on trade in value. They will most likely give you fair market trade in value which is substantially less than private party value. You are much better off selling it private party regardless of tax benefits.

Go to Kelly Blue Book to compare values, although, the dealers typically use NADA book values instead. KBB values tend to be "inflated".

I use to be a salesman at several dealers in town so I have pretty good experience.

[Gixxerboy63]

Trading in is certainly more convenient, but you will come out with far more coin in your pocket by selling your vehicle privately. Plus, this will also allow you to negotiate a better deal on the new one without a trade.