Keystone RV Forums - View Single Post - Beware of the "Blind Appraisal" or "Blind Offer"

**JRTJH** · 07-28-2021, 06:54 AM

It's "underhanded" to offer someone a "blind trade purchase" and then back out of the deal once the customer pulls the trailer onto the lot (assuming no glaring defects were hidden by the customer).... I personally wouldn't trust that dealership to be trustworthy after that "bait and switch".... As for "picking decals off the sidewall, that salesman would be having his fingers reattached at the hospital unless he had already paid me for my trailer.....

That said, most dealerships work on a "profit per transaction" basis. They know what they need to make on the sale of YOUR new trailer and they know what they'll need to make on the sale of your old trailer. They have "two negotiating windows" when selling to you. The discount on the new trailer and the trade value on the old one.

If their wholesale/MSRP difference is the average 38% on new trailers from the factory and the MSRP is $60K, then that trailer likely cost them around 37K. The dealer can sell it to you for MSRP and make 20K in profit or "give you a great deal at 45K" and make 8K in profit.

On the "other end of that great deal" he can give you 12K for your trade and charge you 48K for the new one (to make up the difference on your trade's "real value") to he can give you 7K and make another 2 grand on the new trailer.....

What I'm getting at is there are two values in every trade. What the dealer gives you and what you give the dealer. It's all the "same pot of money" so depending on what numbers are put on each of the trailers is not important when it comes to how much the total transaction "end number" is....

Smoke and mirrors, just like the payload, maximum trailer capacity, tongue weight and shipping weight numbers that all the "advertising departments" play games with.....

It really boils down to "my trailer and XX dollars for that new one"... What the numbers on the sales contract really do is "deflate to save you sales tax or inflate to make money for the state treasurer....

It's all a "big magic act" until you get right down to "actual dollars that change hands.

07-28-2021, 06:54 AM	#7
JRTJH Site Team Join Date: Mar 2011 Location: Gaylord Posts: 26,996	It's "underhanded" to offer someone a "blind trade purchase" and then back out of the deal once the customer pulls the trailer onto the lot (assuming no glaring defects were hidden by the customer).... I personally wouldn't trust that dealership to be trustworthy after that "bait and switch".... As for "picking decals off the sidewall, that salesman would be having his fingers reattached at the hospital unless he had already paid me for my trailer..... That said, most dealerships work on a "profit per transaction" basis. They know what they need to make on the sale of YOUR new trailer and they know what they'll need to make on the sale of your old trailer. They have "two negotiating windows" when selling to you. The discount on the new trailer and the trade value on the old one. If their wholesale/MSRP difference is the average 38% on new trailers from the factory and the MSRP is $60K, then that trailer likely cost them around 37K. The dealer can sell it to you for MSRP and make 20K in profit or "give you a great deal at 45K" and make 8K in profit. On the "other end of that great deal" he can give you 12K for your trade and charge you 48K for the new one (to make up the difference on your trade's "real value") to he can give you 7K and make another 2 grand on the new trailer..... What I'm getting at is there are two values in every trade. What the dealer gives you and what you give the dealer. It's all the "same pot of money" so depending on what numbers are put on each of the trailers is not important when it comes to how much the total transaction "end number" is.... Smoke and mirrors, just like the payload, maximum trailer capacity, tongue weight and shipping weight numbers that all the "advertising departments" play games with..... It really boils down to "my trailer and XX dollars for that new one"... What the numbers on the sales contract really do is "deflate to save you sales tax or inflate to make money for the state treasurer.... It's all a "big magic act" until you get right down to "actual dollars that change hands. __________________ John 2015 F250 6.7l 4x4 2014 Cougar X Lite 27RKS