Private Sale Buyback?
Posted by Fairytale_Phenomena@reddit | askcarguys | View on Reddit | 5 comments
Long story short, needing some thoughts on how much to buy back my old car. “Sold” my 2017 Subaru Crosstrek to my niece about 1.5 years ago due to her car being totaled after it was stolen and now, due to financial constraints, she is needing to sell it. I bought the car for $12k (salvage title/30k miles) back in 2020 and I had loved owning it. We agreed to $8000 no interest ‘loan’ to me where I would transfer ownership so she could get her own insurance. She is now needing to sell because she cannot afford the $150/mo payment to me (which is crazy, I know). I am 100% willing to buy the car back, but needing to determine how much to give. She has $4600 paid and I’ve been throwing around $4000 to buy it back, but almost feel like that is still too much (but I can afford it so maybe it helps her out a bit?). Recently replaced brake pads and rotors, but not sure on other maintenance completed. I plan on immediate oil change and detailing when I get it back. Any thoughts on the situation is welcome.
Gunk_Olgidar@reddit
I'd give my niece whatever she paid less any catch-up maintenance and repairs that should have been done, or are due.
Money matters far less to me than family.
do2g@reddit
Why are you buying back a car that you're still owed money on, especially when you discounted it so much when you sold it to her?
I'd offer to pay her back what she's paid (18 mo x $150 = $2700). She gets made whole and got free use of car for 18 months; you get your car back without a double pay situation. It'll be as if you loaned the car to her for 18 months.
Glittering_Bar_9497@reddit
Since she is family I would give her the 4k so she can get ahead. I would also explain depreciation and let her know that you’re hooking her up with an extra1k-2k so she can get back on her feet.
_f00lish_@reddit
Given your unique arrangement, I think $4000 isn't outrageous, but it's definitely more on the generous side.
Now, if you wanted to be exact, you could factor in depreciation. If the car was worth $8000 when she bought it, and it's now been 30 months, assuming 10% depreciation a year, the car is now worth $6156. Subtract what she still owes you ($3400) and you'd be paying her $2756.
I would say anywhere from $2700 to $4000 is fair. $4000 being the "she's family so I'm feeling generous" side and $2700 being the "this is fair market value" side.
zaxfee@reddit
Buy it at what the market would. Look up what recent sells are of non rebuilt and then cut the price in half. If you can find comps from rebuilt then great but I doubt you will.