So here is the story (kind of long)...
I was having problems with my 2018 XLT, way too many since bought new two and a half years ago. With trade-in values nuts right now, I traded it in on a new RAM 1500 Laramie. I test drove some locally, would have preferred the regular HEMI (non-etorque), but drove the etorque and thought I'd be OK with it. I worked many dealers against each other, ended up buying an etorque truck two and a half hours away. After driving the etorque locally on the roads I drive every day, I'm not liking how it drives. Also, the 20s are much more firm that I would prefer (but not a deal breaker) now that I'm on the roads I drive every day.
I am only considering changing it out because I got such a good deal, and the market is such, that I won't lose my @$$. It was $55,055 MSRP, I paid about $43,550 which is at least $2000 cheaper than most dealers were at, and I got $35,500 on my trade and most dealers were at least $1000 less (and those that were good on the new truck price were typically not good on trade, and vise versa).
For reference, my old F150 payment was $650.
So I have some options:
1. Keep it for probably 2-3 years and in the mean time not love how it drives.
After 2 years the RAM is expected to be worth 70%, so probably $30-32k on trade in a normal market. My loan would be down to about $18k by then if I went a 5 year (about $550/month) for a net positive equity of about $12-14k. This would be around $5k/yr ownership cost depreciation, which I like to be at or under $3500.
2. Trade it in and purchase a different one.
The in-town dealer has offered me $41,157 on trade (or just buying it from me). Without going into details on the math, I would lose about $2200 to purchase a vehicle that is much more what I want (no etorque, no 20s, has nav, 33 gal tank, anti spin diff). This includes paying doc fee twice, title twice, etc. This would be a comparable deal as to if I just went with this dealer to begin with, since they were at $33,500 on my F150 trade. I could also with another truck that is about $2300 cheaper MSRP that is bench seat, no nav or anti-spin, not my ideal color, but does have the 33 gal tank.
3. Sell it and lease.
Another local used car dealer has offered me $42,000 to just buy it from me. It would be a somewhat expensive lesson learned, but not too bad. I would lease either a RAM (still waiting on numbers) or Chevy ($615 per month for 15k mile lease, $32,400 residual). I would pocket the difference of about $12,700 between the loan and the $42,000 (maybe a slightly less pocketed amount than under scenario 1, but I wouldn't have that equity under scenario 1 for two years).
Then in three years I could reevaluate my needs or the truck. I like the flexibility of either just turning in the keys on the lease and being done with it, or trading it in (if the market is nuts like right now), or buying it out. The only thing is I may be changing careers in the next 18 months so I'm not sure of my commute distance after that, so I would probably go for the 15k/yr lease.
I like the RAM better than the Chevy, but the Chevy does seem like a better build quality (which is expressed in the resale value of the two brands: also I see quite a few older Chevys on the road but not many RAM or Ford).
I am leaning toward the lease option. Not sure what I'm going to do yet, and a lot depends on the RAM lease price. But just looking for thoughts.
I was having problems with my 2018 XLT, way too many since bought new two and a half years ago. With trade-in values nuts right now, I traded it in on a new RAM 1500 Laramie. I test drove some locally, would have preferred the regular HEMI (non-etorque), but drove the etorque and thought I'd be OK with it. I worked many dealers against each other, ended up buying an etorque truck two and a half hours away. After driving the etorque locally on the roads I drive every day, I'm not liking how it drives. Also, the 20s are much more firm that I would prefer (but not a deal breaker) now that I'm on the roads I drive every day.
I am only considering changing it out because I got such a good deal, and the market is such, that I won't lose my @$$. It was $55,055 MSRP, I paid about $43,550 which is at least $2000 cheaper than most dealers were at, and I got $35,500 on my trade and most dealers were at least $1000 less (and those that were good on the new truck price were typically not good on trade, and vise versa).
For reference, my old F150 payment was $650.
So I have some options:
1. Keep it for probably 2-3 years and in the mean time not love how it drives.
After 2 years the RAM is expected to be worth 70%, so probably $30-32k on trade in a normal market. My loan would be down to about $18k by then if I went a 5 year (about $550/month) for a net positive equity of about $12-14k. This would be around $5k/yr ownership cost depreciation, which I like to be at or under $3500.
2. Trade it in and purchase a different one.
The in-town dealer has offered me $41,157 on trade (or just buying it from me). Without going into details on the math, I would lose about $2200 to purchase a vehicle that is much more what I want (no etorque, no 20s, has nav, 33 gal tank, anti spin diff). This includes paying doc fee twice, title twice, etc. This would be a comparable deal as to if I just went with this dealer to begin with, since they were at $33,500 on my F150 trade. I could also with another truck that is about $2300 cheaper MSRP that is bench seat, no nav or anti-spin, not my ideal color, but does have the 33 gal tank.
3. Sell it and lease.
Another local used car dealer has offered me $42,000 to just buy it from me. It would be a somewhat expensive lesson learned, but not too bad. I would lease either a RAM (still waiting on numbers) or Chevy ($615 per month for 15k mile lease, $32,400 residual). I would pocket the difference of about $12,700 between the loan and the $42,000 (maybe a slightly less pocketed amount than under scenario 1, but I wouldn't have that equity under scenario 1 for two years).
Then in three years I could reevaluate my needs or the truck. I like the flexibility of either just turning in the keys on the lease and being done with it, or trading it in (if the market is nuts like right now), or buying it out. The only thing is I may be changing careers in the next 18 months so I'm not sure of my commute distance after that, so I would probably go for the 15k/yr lease.
I like the RAM better than the Chevy, but the Chevy does seem like a better build quality (which is expressed in the resale value of the two brands: also I see quite a few older Chevys on the road but not many RAM or Ford).
I am leaning toward the lease option. Not sure what I'm going to do yet, and a lot depends on the RAM lease price. But just looking for thoughts.