Resale value of a used 2016 Spark EV 2LT (MSRP $27.1k)?

[bro1999]

I'm in a position of acquiring a Spark EV lease for cheap and then potentially flipping it for a profit, but I wanted to get a feeler for what a basically brand new Spark EV 2LT w/QC port with <100 miles would be worth as a private sale? There is pretty much 0 info on used '16s out there. Thanks.

 

[SparkevBlogspot]

How do you flip a lease?

If you bought it, you can see 2015 prices at autotrader and other sites as a guide. I saw roughly $16K, not much different from new SparkEV after fed + CA subsidy.

 

[bro1999]

How do you flip a lease?

If you bought it, you can see 2015 prices at autotrader and other sites as a guide. I saw roughly $16K, not much different from new SparkEV after fed + CA subsidy.

Well, if it's a leased Smartcar, it's pretty easy actually.....just need a couple of drunken frat boys. :roll:

Seriously though, pretty similar to selling a purchased car and having the loan paid off upon trade-in. Just instead of a bank/credit union being paid off, it is a leasing company. I sold a leased Chevy Cruze through Beepi, and managed to pocket almost $4k in the process.

I got a quote from an MD dealer on the unit above, and it came out to 0 down, $169.71/month for 36 months/10k miles. Buyout price is $10,484 (so 38% residual?? ouch), so $10,484 + 169.71 x 35 payments (1st payment waived) comes out to $16423. If I were to do a single pay lease, the total lease payments + buyout price costs would be around $15.5k.

And I'd be eligible for a $2,300 MD EV rebate, so that'd be icing on the cake. If I could flip this Spark for at least $16k, it'd be worth it.

 

[SparkevBlogspot]

You should make sure MD rebate doesn't come with caveats. For CA rebate, you must keep the car for 3 years, otherwise you have to pay it back. That's why CA leases aren't typically 24 months.

 

[emv]

I may be mistaken, but I believe the tax incentives require you to keep the car for a certain length of time.

 

[bro1999]

Only caveat is that the vehicle is not being leased or purchased for resale...which it's not. It would be a lease for personal use, then a change of heart into selling it. =P

No minimum time period the car needs to be possessed.

"I/we certify this vehicle is owned or leased by an individual(s) and an excise tax credit of this type has not been
previously granted to me on another vehicle (if two plug-in electric vehicles are jointly owned by individuals,
each individual is entitled to receive excise tax credit for one of the vehicles). I/we certify the plug-in electric
vehicle is owned or leased by a business entity and the business entity is limited to receive excise tax credit on
no more than 10 plug-in electric vehicles. I/we further certify the vehicle meets the qualifications stated above
and the battery capacity of the vehicle has been provided above."

I'm not a business, so I'd be in the clear.

 

[SparkevBlogspot]

Many are advertised for $16K and more, but not sure if any sell at that price. Given that post subsidy in CA and MD would result in about $16K new, it would hardly make sense to buy used. In MD and OR, some are selling for as low as $18K new before subsidy. With subsidy, that might take it down below $10K. I suppose there are some who cannot take subsidy, but I think what you're trying to do is a gamble.

I wrote about ridiculously low pricing in my blog post. Scroll to bottom for latest post.

http://sparkev.blogspot.com/2016/02/sparkev-pricing-and-depreciation.html

 

[bro1999]

Many are advertised for $16K and more, but not sure if any sell at that price. Given that post subsidy in CA and MD would result in about $16K new, it would hardly make sense to buy used. In MD and OR, some are selling for as low as $18K new before subsidy. With subsidy, that might take it down below $10K. I suppose there are some who cannot take subsidy, but I think what you're trying to do is a gamble.

I wrote about ridiculously low pricing in my blog post. Scroll to bottom for latest post.

http://sparkev.blogspot.com/2016/02/sparkev-pricing-and-depreciation.html

Whelp, I got an initial quote from Beepi.com......$10-11k! I mean that's the same as a gas Spark! That is just nuts....even with incentives, I don't think it should be that low.

 

[SparkevBlogspot]

SparkGas 1LT is MSRP $15.1K, so SparkEV is actually cheaper in many instances in CA, probably MD as well. That's been known for a while. As I point out in my blog, brand new 2016 SparkEV can be had for $7400 in certain circumstances. I don't think there's any deal possible that would result in new car selling so low. As such, trying to sell used for profit is probably a huge gamble.

 

[bro1999]

Whelp, I got my brand-spanking new Spark EV with 133 miles on it appraised at Carmax a couple of days ago out of curiosity. A $27,135 MSRP 2LT Spark EV is worth.....$12.5k as a trade-in (another $750 if you trade in for a new vehicle at the same dealership due to tax savings).

I emailed Beepi about the Carmax offer, as they have a "we'll beat any brick and mortar dealership's quote!" guarantee on their website. After initially saying they would not be able to match Carmax's offer, due to the Spark EV being "primarily a West coast market car", I mentioned their "beat any dealer offer" guarantee. They came back a little later offering $12.6k.

So as a trade-in, it seems $12.6k might be the ceiling for a '16. If you consider a brand new '16 Spark EV 2LT can be had for at least $4k off MSRP, 27.1k - $4k dealer discount - $7.5k fed credit - $2.3k MD credit = $13.3k, the $12.6k trade in offer makes sense.

 

[SparkevBlogspot]

I just checked autotrader and some dealers in OR are offering new SparkEV for $16K! I don't know if they're honest or they include tax credit, but if that's pre-subsidy, post fed subsidy would be $8.5K! Include CA rebate of $2.5K, and it's $6K! If you're low income who also owe high tax in CA and qualify for $4K rebate, that's $4.5K. New car for $4.5K?

It seems $12K for trade in is way too high! ;-)

 

[bro1999]

I just checked autotrader and some dealers in OR are offering new SparkEV for $16K! I don't know if they're honest or they include tax credit, but if that's pre-subsidy, post fed subsidy would be $8.5K! Include CA rebate of $2.5K, and it's $6K! If you're low income who also owe high tax in CA and qualify for $4K rebate, that's $4.5K. New car for $4.5K?

It seems $12K for trade in is way too high! ;-)

I'm still not trading it in. That was the original plan, but since there is no money in it for me, I'm just gonna flip my Cruze lease instead. Should be able to break even on that one. Plus the Spark is fun to drive, and it can hold me over till the Bolt arrives.

That does bring up another question: if/when the fed/MD tax credits disappear, so that suddenly make our Spark EVs (and other EVs) worth 7.5k-9.8k more overnight? Maybe not that much, but I have to think their used values would go up once the credits are gone.

 

[Casualsurfer]

Whelp, I got my brand-spanking new Spark EV with 133 miles on it appraised at Carmax a couple of days ago out of curiosity. A $27,135 MSRP 2LT Spark EV is worth.....$12.5k as a trade-in (another $750 if you trade in for a new vehicle at the same dealership due to tax savings).

I emailed Beepi about the Carmax offer, as they have a "we'll beat any brick and mortar dealership's quote!" guarantee on their website. After initially saying they would not be able to match Carmax's offer, due to the Spark EV being "primarily a West coast market car", I mentioned their "beat any dealer offer" guarantee. They came back a little later offering $12.6k.

So as a trade-in, it seems $12.6k might be the ceiling for a '16. If you consider a brand new '16 Spark EV 2LT can be had for at least $4k off MSRP, 27.1k - $4k dealer discount - $7.5k fed credit - $2.3k MD credit = $13.3k, the $12.6k trade in offer makes sense.

This.

I had my CPO '15 with 11k miles listed for months and only a few inquiries. The Silver Surfer will be sold tomorrow though. If you think you can flip a '16 which is essentially the same car, good luck.