Finance / Trade-In Question

[Gsxr150]

Hey guys/gals,

I thought someone out there might have an answer to this!

Let's say my Rivian is $80,000, and I trade in a paid-off Tesla Model Y valued at $60,000. The remaining balance due would be $20k (for easy math). If I wanted to pull out some cash, could I tell Rivian I want a check for $30,000, and only $30,000 of that (trade-in) balance to be applied towards the Rivian purchase?

Make sense what I'm asking? Would they allow that?

Thank you much!!

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[Aroohoo]

The current Rivian Trade in process doesn't appear to allow for this. Perhaps there is a way to do it, but I would be very surprised. If you want to tap your used car equity, you'd likely have to go elsewhere.

For what it is worth, Rivan valued my trade in 5-10% less than what I was seeing from Driveway, vroom, etc.
In WA, we get sales tax relief based on the trade in value lowering the top number that the sales tax is calculated against. Even with that benefit/incentive, it made more sense to go 3rd party for my trade in.

 

[Gsxr150]

Ahhh...v

The current Rivian Trade in process doesn't appear to allow for this. Perhaps there is a way to do it, but I would be very surprised. If you want to tap your used car equity, you'd likely have to go elsewhere.

For what it is worth, Rivan valued my trade in 5-10% less than what I was seeing from Driveway, vroom, etc.
In WA, we get sales tax relief based on the trade in value lowering the top number that the sales tax is calculated against. Even with that benefit/incentive, it made more sense to go 3rd party for my trade in.

Ahhh...very interesting.

 

[GHuff]

I'll add that my Rivian trade in offer was 15% less than Carmax.

And like previously stated, if you want to capture any equity from your current vehicle, I think you will have to sell it to a 3rd party. They will write you a check for the full $60k amount. Then, you just put down whatever amount you want for the Rivian. It's not ideal for timing purposes because it's going to be very difficult to match up the sale with a 3rd party the same time you take delivery of your Rivian. But, going without a car for a day or two is probably worth the additional cash you are getting from the 3rd party. Or, if you don't need the funds from the sale of your plaid to purchase the Rivian, you can just take delivery of the Rivian first, then sell your plaid a few days later.

 

[SmorOfNaivir]

FWIW, my Tesla MY trade in value was exactly the same between Rivian and Carvana - $61k for a 2020 MY LR w/ 22k on the odo - this being back in June however.

 

[HeresRonnie]

I might be an outliner, Rivian gave me more for my Tesla Model Y than anyone else and it was almost a straight trade for my R1T. I must have got a value on a good day.

 

[SASSquatch]

I've had very good offers from Carmax over the years. Once your delivery date starts to materialize you can take it to Carmax and they will give you an offer that lasts 7 days so you can continue to shop around.

Depending on what Rivian offers, you should weigh the tax benefit since, depending on your state, the trade-in value offsets the taxable amount of the R1T and the tax savings (taxed on the difference between the value of your trade and the price of the R1T) can be substantial.

 

[zonehawk]

Definitely +1 on shopping around. Rivian was about 25% less than what Carmax offered me.

 

[Gsxr150]

Definitely +1 on shopping around. Rivian was about 25% less than what Carmax offered me.

Wowza!!

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