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Renegade's Resale Value is Extremely Poor...!!!

104K views 174 replies 91 participants last post by  Omahawk 
#1 · (Edited)
Hey, everyone. I bought a 2016 Jeep Renegade Latitude 4X4 9-Speed Automatic back in June. The MSRP was 29.5K and I paid 26K before tax/title/reg/doc. With only 7000 miles on it, I decided that I wanted to trade it in because I could no longer live with the transmission and the limited cargo space. Also, driving as conservatively as possible, the best tank I've gotten is 27.5 mostly highway. Hand calculated it. Anyway, I love the looks of the Renegade, I needed something a little bigger and more refined, so I looked at the Mazda CX-5 and Honda CR-V... the Mazda dealership was only willing to give me $16,500 for my car while discounting the CX-5 by only $1,500?!? Things were worse at Honda... $15,000 for my Renegade and a meager $1,200 off of the BASE CR-V LX AWD. These were FIRST and FINAL OFFERS. I didn't even get to play the "I'll go somewhere else" game.

WHAT?!?!?!

Has anyone else tried to trade their Renegade in? What kind of numbers are you seeing?
 
#153 ·
Here's an interesting counterpoint, yet compelling, reason to buy new instead of used (which in and of itself may be depressing the used Renegade market). According to AutoBlog, the difference in fair market value between a new Renegade and a used one is less than $3,000 USD. Add in the end-of-model-year incentives and a new Renegade could easily cost less than a one-year-old used Renegade.

See this article: https://www.msn.com/en-us/autos/autos-suvs/9-cars-to-buy-new-not-used/ss-BBISLkS?li=BBnb7Kz#image=1
:|
 
#173 ·
Hey, everyone. I bought a 2016 Jeep Renegade Latitude 4X4 9-Speed Automatic back in June. The MSRP was 29.5K and I paid 26K before tax/title/reg/doc. With only 7000 miles on it, I decided that I wanted to trade it in because I could no longer live with the transmission and the limited cargo space. Also, driving as conservatively as possible, the best tank I've gotten is 27.5 mostly highway. Hand calculated it. Anyway, I love the looks of the Renegade, I needed something a little bigger and more refined, so I looked at the Mazda CX-5 and Honda CR-V... the Mazda dealership was only willing to give me $16,500 for my car while discounting the CX-5 by only $1,500?!? Things were worse at Honda... $15,000 for my Renegade and a meager $1,200 off of the BASE CR-V LX AWD. These were FIRST and FINAL OFFERS. I didn't even get to play the "I'll go somewhere else" game.

WHAT?!?!?!

Has anyone else tried to trade their Renegade in? What kind of numbers are you seeing?
I love my Renegade Sport. I can't imagine life without it. I started with my last Jeep - a Patriot and moved to this one. It is Colorado Red and everyone notices me when I drive by. I love the sporty way it handles - and definitely am a fan of the Italian styling. I think it's the best thing that happened to me last year! The Patriot did have a good resale value - but I never did give in -drove it into the ground. Wouldn've gotten another but they stopped making them. The Renegade is my new best friend - wouldn't part with it for the world.
 
#5 ·
You should have checked cargo capacity as your 1st shopping point. Would you think trading in less than a year old vehicle would give you back the amount you paid or something? Depreciation is a integral part of new cars, but like GSO_Kyle said, theres worse out there. If you wanted a fuel efficient 4X4 you got it. For example, I paid about 32k on my fully loaded TH. I looked at BB a month ago and laughed. but I also knew what I was buying, and am not looking to trade it in less than 4-6 years. Also I get 21.9 mpg if Im lucky, and if I do get highway travel, my BEST was 25.8.
 
#7 ·
I thought the cargo capacity would be enough until I loaded it w/ camping gear (I go glamping, so I bring a ton of stuff). Not a huge issue, but the transmission is. Also, the fuel economy is unacceptable in how much off it is from the EPA rating. I really baby the gas pedal and don't go above 60 on the highway.

As far as depreciation, obviously I expected to take a hit... but not a MASSIVE one. I was expecting 20K and probably would have settled for 19K. The tumble would have been $9,500 (Mazda) or $11,000 (Honda). My friend traded in his 2015 Subaru Impreza 2.5i base hatchback with 15K miles that he paid $19,500 for from an MSRP of $20,700 and got $17,500 to get into a 2016 CRV LX AWD. That's only a 2K loss from what he paid for the car almost 2 years ago. He's the reason I wanted a CRV because I drove it a few times and loved the livability of the CRV (quiet, refined, real world MPG of 33 on the highway).

I can't deal with this transmission anymore... they've reflashed the ECU or whatever controls the engine and it has fixed nothing. Sometimes when I go from reverse to park, there's a 2-3 second delay before it moves. This can be dangerous in certain situations. Also, the AC wasn't very cold (my dad's last generation Cruz blows frigid temps) and it really taxes the engine.
 
#6 ·
I bought the new Jeep eyes wide open knowing the depreciation could be £1,000 a month in the first year (hence risk negative equity at first), and get better thereafter. It's the same with all new vehicles though, just different is how bad it is. If I wanted lower depreciation would have got second hand. But I bought new to get the full warranty, full tax and longer time until MOT is due. And also as I like to be the first and only owner, and know all its details (good or bad) - nothing worse than buying a second hand to realise it had faults that the prior owner would have known about - learnt that lesson when I was young. At least if there's any faults I get them fixed on my terms and using the warranty. In line with @GSO_Kyle I hope I never have to trade it in (nor scrap it!). This ones a keeper and hope to pass down the family, as I got the 75th version and hope it will be wanted in the future.

Sorry it's hard for you to get out of. People who hold these Jeeps until they are paid off will get some residual value, but not going to happen in a few months. The trouble is with trade in is the dealer have to make a profit on it too, and they risk not selling them due to excess stock and people wanting new vehicles, so the dealers are never going to offer a fair market value and could be ultra cautious. The fair market value is almost certainly more than what they offer.
 
#11 ·
The dealer is only looking to make money on the car, as others have said. If you really want to get rid of the Renegade sell it privately. We sold a car for $4,000 that the dealer would only give us $1,000 for.
 
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#16 ·
Could you have bought an ex demo Renegade with a few miles on the clock? Save a chunk off the list price. The first owner of a brand new vehicle always takes the biggest hit, unless you have something exotic and desirable available in very limited numbers.
I got a 1.4 and my real world isn't too far off the official figures (UK model). Here in the UK Jeep didn't test the mpg but the Ministry of Transport did, which is why my figures are close.
How many go camping? If only two, fold down rear seats. The boot space could do with a bit more space with the rear seats up, but it ain't that bad. If I need to take my wheelchair and there are four of us, the wheelchair will disassemble, but if only two or three of us, usually the case, I fold down the smaller of the 60/40 rear seat and the wheelchair goes in complete. I did have a washing machine in the boot with the rear seats in place, which surprised me. I have had the rear seats folded and the back packed with more boxes than I expected. I came from a 2013 Renault Scenic to the Renegade and I knew there would be a trade off in cargo space, but it ain't that bad.
Personally I would hold out with the Renegade unless you really are desperate to part with it. You could get a CRV or whatever and be out of the frying pan and into the fire, so to speak. Sometimes the grass isn't always greener on the other side.
 
#17 · (Edited)
I'll add my spin on this. In June 2015, I paid $22,500 for a new Sport Model Renegade auto 4x4. Now 1.5 years later, you can pick up a new 2016 Latitude auto 4x4 for $19,000-22,000. Don't heckle me, I am not kidding, Jeep is discounting $5-7,000 off MSRP now. This same kind of pricing and discounting is typical of the Jeep brand, but not typical of let's say Subaru. I way over paid for the Sport Model 1.5 years ago.


Go easy on the OP, I get his point. The loss in value is steep. Here's a link, these people are ruthless and would trade in their own mothers to make a deal.


http://www.quirkjeepchrysler.com/ne...urce=Nav&utm_medium=Nav&utm_campaign=Specials
 
#18 ·
Sorry you are unhappy with the purchase.

Like others have pointed out, the first owner of a vehicle takes the depreciation hit.
If you want to avoid that, buy a vehicle that is 2 years old. Depreciation has happened and it's more than likely still under a manufactures warranty. I know that doesn't help you at this point.

The cargo space issue, possibly buy a cargo carrier for the roof???
The MPG issue, 27.5 doesn't sound all that bad to me. I just got back from a 2500 mile road trip and the trip from Detroit to Orlando then back again and the odometer showed I hit 28.5 overall. I was going between 74-77 "most" of the time. So your real world MPG is right there with mine.

I don't have the automatic so I'm no expert but when I did test drive the auto it was the Fiat 500x not the Renegade. I didn't notice any issues while driving it, so I am not sure what you are experiencing.

I almost hate to suggest this as I love my Jeep, but since this vehicle is new have you considered looking into a Lemon Law case?
I don't know the criteria or all the in's and out's but if the transmission is that bad, isn't this what that Law is supposed to do?
 
#19 ·
I'd also suggest adding a hitch and rear cargo carrier. The Renegade can definitely handle that.

As far as the transmission, I'd keep bringing it in until they actually fix the problem. I went manual, but from what I'm seeing, most Renegades don't have the issues you are seeing. Software fixes have been good. Consider trying a different dealer, maybe your service department is just bad?
 
#20 ·
Renegade's Resale Value is Extremely Poor
Thank God. Sincerely. All that is good in the world came together finally.

Look, I bought the cheapest level trim of an entry level model of a first-year Jeep. Base engine and manual tranny. And I knew I'd be treated as a Pariah by my supposed Jeep family. The worse-than-expected depreciation could be an ongoing insult.

But, the Renegade is perfect for all my needs, has not given me one second's problem, and I can handle any issues that pops up from an Italian made utility vehicle.

So let its resale value fall to zero. If something so simple, basic, and helpful has no value to anyone else, then that just increases its value to me.
 
#26 ·
If it was not for the really bad depreciation of the Renegade I would not have one. When I originally looked for one last year not long after they had hit the UK roads I could not afford one. 13 months later I got myself a Limited for less than a new Fiesta as it was a 1 year old ex rental with 13 000 miles on the clock and and £8000 off the price tag. Its a bitter pill for anyone trying to trade in / resell for sure and its just a fact of life now for new car owners. But for a second hand buy there are some fab deals around.
 
#31 ·
Keep your Renegade another year, make your payments and keep your mileage low. It`s way to soon to try and trade it in. I`m adding an extra 50 dollars a month to my payment in case I want to trade it in sooner than later.
 
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#35 ·
All new vehicles take a shocking loss in value over the first 2 years. When I purchased my new Renegade there was a used one at another car dealership, however, I learned that much of the warranty does not transfer to the used vehicle and with the newer vehicle I got the 0% interest. I have done some car swapping over the last 5 years and repeatedly taken a major hit in the wallet for my troubles. I am now very happy with my Jeep Renegade, is it perfect? nope but then no vehicle is.
 
#42 ·
my transmission smoothed out after about 2,000 miles. No more shifting clunks. The transmission computer is supposedly self-calibrating, takes a thousand miles or so to figure itself out (that's what I read anyways). I haven't taken mine to the dealership for the shifting, lazy, and the shifting didn't bother me, and at 7,000 miles the oil change light hasn't turned on yet. So no need to bother with the car dealer....

I go on massive road trips to endurance races. Load up my jeep with 2 racing bicycles, ice chest, gear, etc.... that's what roof racks are for. As for MPG... terrible from what was advertised. best i've seen has been 24mpg hwy at 55mph, loaded with racing gear. Usually I get 21mpg at 75mph. give and take, want 4x4? take a hit on MPG. Want a roof rack? take a hit with MPG.

so, in short i'd say wait it out and enjoy the renegade. Get your money's worth on the depreciation hit you are taking.
 
#43 ·
Most dealers (at least in the US) will give you what they can get a similar Renegade at an auction. So if they can get a similarly equipped Renegade for $17,000 in an auction thats about all you'll get for it. Why would they pay you $20,000 for it when they can get one just like yours for $17,000? They typically don't care about all the bells and whistles usually as that doesn't increase the resale value (to a point). It also depends on the area too. Here, people don't necessarily care whats on the vehicle, they just need it for a specific purpose. So if it happens to have the Beats Audio great, but if not then they couldn't care less. A sunroof however may be one of the exceptions. There are people who specifically look for vehicles that have a sunroof in it.

The first year of ownership you can lose $5,000 on the resale value. The resale value will slowly continue to go down. This is why its VERY expensive to buy a vehicle and try to trade it in within the first year or two. Unless you have deep pockets its not recommended. The only real good way to get out of it is to have some cash on hand to put down, and look for a vehicle you want that has a bunch of rebates on it. I was in a situation where my car was giving me issues and I was tired of paying monthly for the vehicle and paying to fix it (out of warranty) at the same time. So I happened to stumble upon a new vehicle like it with $6,000 in rebates plus I had a voucher from Dodge to get an additional $500 off, plus the trade of the vehicle I was currently using at the time. The rebates and trade value basically negated the payoff of the vehicle and I ended up getting the newer vehicle for a similar price as I paid for the one I was getting rid of and it was a better model with more features. So you can get out of it, you just need to find the correct situation. If you can wait until around Christmas time, or early January and find a previous model year still on the lot it will typically have a good amount of rebates on it and the dealership just wants it off their lot so they'll be willing to negotiate more than normal.
 
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