Depreciation

[ProfessorBlinks]

Hello,

How much do you all pay for your S4s and are you concerned about depreciation?

I purchased my 2012 S4 Prestige Sport-diff CPOed in March 2014. 45k miles $38300. A few thousand down, 72 month loan, $602 monthly. Absolutely loved the car for the past 2 years. No accidents, great condition, etc. Loved the car and took great care of it.

Car currently has 81000 miles, current buyout is $26,800, CPO warranty is up in September of this year. I began to look into trading it in for the next adventure. Quite shocked and appalled at the depreciation. Two non-Audi dealers offered me KBB value for the car which is a laughable $19K.

I went back to the Audi dealership who originally sold me the car (Lagan Audi now Audi Albany). First time (End of March) they offered me 23.5k on the car towards a new A3 premium lease. 15k/36 lease, 3411 down (Fees and tax only), $580 monthly. I told them I would shop around and be back. I went back today (April 11), they said the dealer incentives have changed. They offered me 21500 for the car, 4050 down (Fees, taxes, the rest as what they said was a cap cost reduction once I called them out on the higher down payment), and $621 monthly. I want to walk away from this, but I feel stuck as I feel like I am going to take such a bigger hit on the trade by going to a different dealership.

I just feel very frustrated at Audi right now. I never expected to be put in this position, and having much less of a car under a lease with a huge initial cost and a higher monthly payment just blows my mind. If I knew I was going to be thousands upside down, I would have leased back then and have avoided this problem. I just feel completely taken advantage of.

I don't know if this post even belongs in this forum, but I just feel the need to vent and to see what others have experienced... Anyone else been in this position besides me? Any advice or tips for me?

Thank you and regards.

[Jv218]

Didn't know you could lease a cpo car


Sent from my iPhone using Tapatalk

[ProfessorBlinks]

Edited... wrote lease instead of purchase at one point.

[mr shickadance]

leasing a CPO is a reletively new thing, and gaining a bit of traction. not the smartest move for the person taking the lease imo.

Thing is, high mileage sports cars depreciate faster than the average cow. Main reason is because for every car you see properly driven, there are 4 more that have been garage queens.

so when there is a market of a low mileage cars out there, your high mileage ride is going to need something more attractive to the market (lower price)

I am practically giving away my S4, but I am hardly getting nibbles. we all got problems.

[joediesel]

How much is an A3 fully loaded?? 580-600 seems like a ton of money for an A3 lease, but I could be wrong. I got my S4 brand new in Aug 2014 (2015 model year), traded in my gti, paid the taxes and fees and put the rest in my pocket, and I pay $540/mo for 12/36

[kcrunch]

Hello,

How much do you all pay for your S4s and are you concerned about depreciation?

I purchased my 2012 S4 Prestige Sport-diff CPOed in March 2014. 45k miles $38300. A few thousand down, 72 month lease, $602 monthly. Absolutely loved the car for the past 2 years. No accidents, great condition, etc. Loved the car and took great care of it.

Car currently has 81000 miles, current buyout is $26,800, CPO warranty is up in September of this year. I began to look into trading it in for the next adventure. Quite shocked and appalled at the depreciation. Two non-Audi dealers offered me KBB value for the car which is a laughable $19K.

I went back to the Audi dealership who originally sold me the car (Lagan Audi now Audi Albany). First time (End of March) they offered me 23.5k on the car towards an A3 premium lease. 15k/36 lease, 3411 down (Fees and tax only), $580 monthly. I told them I would shop around and be back. I went back today (April 11), they said the dealer incentives have changed. They offered me 21500 for the car, 4050 down (Fees, taxes, the rest as what they said was a cap cost reduction once I called them out on the higher down payment), and $621 monthly. I want to walk away from this, but I feel stuck as I feel like I am going to take such a bigger hit on the trade by going to a different dealership.

I just feel very frustrated at Audi right now. I never expected to be put in this position, and having much less of a car under a lease with a huge initial cost and a higher monthly payment just blows my mind. If I knew I was going to be thousands upside down, I would have leased back then and have avoided this problem. I just feel completely taken advantage of.

I don't know if this post even belongs in this forum, but I just feel the need to vent and to see what others have experienced... Anyone else been in this position besides me? Any advice or tips for me?

Thank you and regards.

That sounds like some crazy lease terms - 72 month lease on a 2-3 year old car with 45k miles on it? The residual assuming 10-12k miles a year must be 0, in which case why not just finance it? Or is that what you did, and just mis-typed?

If you financed it, a 38,300 loan, 3k down, 72 month term and $602/mo means you are paying 7% interest on a car loan...which sucks. Especially with a 72 month term like that much of your payments have been towards interest. So that's primarily why you are underwater. Next time around you either need to improve your credit rating, get better financing terms or both. Depreciation is what it is, but I don't think low 20s for a 2012 S4 with 81k on it is too unreasonable. You could always try to sell it yourself and see if you can do better.

[ProfessorBlinks]

The S4 was *purchased* with a 72 month *loan*. You can't lease a CPO used car. I did not lease my S4 two years ago, I purchased it with a 72 month loan. I am trading in the purchased S4. I am now looking at leasing an A3.

I purchased my S4 for 38,300 in March 2014 with 45k miles. Now, after 2 years, I am trying to trade it in and I am finding that it is worth only 19000-21000. The buyout is 26800 and I am upset because I became upside down on the car.

I am also upset because, instead of at 2 years ago when I purchased my used S4, I *could have* leased a brand new S4 for not much more money and not had this problem.

[ProfessorBlinks]

How much is an A3 fully loaded?? 580-600 seems like a ton of money for an A3 lease, but I could be wrong. I got my S4 brand new in Aug 2014 (2015 model year), traded in my gti, paid the taxes and fees and put the rest in my pocket, and I pay $540/mo for 12/36

My research shows that a similar A3 Premium with options would lease out around 480. They appear to be rolling in my "upside-down-ness" from my trade-in into the monthly payment. My total overall cost appears to be about 3-4 thousand dollars more than the lease without my trade-in.

[jlaudio]

i bought a 2010 with 47k on the clock in Feb 2014 for $28,500

i think your first mistake was taking 6 year year loan on a used, high performance sedan. your payments indicate that the interest rate used is crazy high.. most of your payment was paying interest and not principle.

/edit -krunch said it better than i did

[Seattle996]

If you financed it, a 38,300 loan, 3k down, 72 month term and $602/mo means you are paying 7% interest on a car loan...which sucks. Especially with a 72 month term like that much of your payments have been towards interest. So that's primarily why you are underwater

Like kcrunch said, your on a 6 year loan.. after 2 years if you didn't apply any more towards principle, your buyout is what it is. Dealers are never going to give you what you want and I don't think that trade in value is all that bad to be honest. Did you have a look on Manheim.. I'm sure prices are somewhere similar.

You can go for a lease and apply the negative equity into it.. eventually it will burn off quicker than if you were to apply it towards new financing. I could be wrong here..

Good luck.

[ProfessorBlinks]

In retrospect, I wish I did take the 60 month loan. But at that point I would have just leased a new S4. I didn't expect to go under so far with the 72 loan.

39000 and change financed. 2.9% Audi rate. 600 per month.

[mr shickadance]

The S4 was *purchased* with a 72 month *loan*. You can't lease a CPO used car. I did not lease my S4 two years ago, I purchased it with a 72 month loan. I am trading in the purchased S4. I am now looking at leasing an A3.

I purchased my S4 for 38,300 in March 2014 with 45k miles. Now, after 2 years, I am trying to trade it in and I am finding that it is worth only 19000-21000. The buyout is 26800 and I am upset because I became upside down on the car.

I am also upset because, instead of at 2 years ago when I purchased my used S4, I *could have* leased a brand new S4 for not much more money and not had this problem.

http://www.edmunds.com/car-leasing/y...-used-car.html

http://www.lexus.com/lcertified/financing

http://www.consumerreports.org/cro/2...sing/index.htm

http://www.bmwusa.com/standard/conte...financing.aspx

you can lease a used car, it's not the best idea, but you can do it.

as for yourself, you should have done better research, and you should have made a smarter financial decision. I am shocked to find out you are under-water on a car purchase after 2 years of payments only due to the fact that you shouldn't be unless you put nothing down on the car at all.

assuming a down payment of 20% which would have been $7,660, which would have put your principle down to 30,640, with a residual of 26,800 puts your total monthly payment principle reduction at $160 a month?

i mean i am assuming a lot but did you really not expect to be underwater paying ~$160 a month?

[ProfessorBlinks]

Year to date I have paid $201 interest and $1608 principal. Where are you getting $160?

[13jfp]

Sounds like you overpaid and definitely took out too long of a loan. For the miles u put on a car u should just lease. If u cant swing 800 or so per month then u need to look at an A3 or S3. Sorry to say u just made a poor purchase. Learn from it and move on. You could just keep the S4 and drive it until its ready for the junk yard. Your upside down now anyway. Ur gonna have to pay that price one way or another. Realistically if u finance a car here is a good rule of thumb. Take the price of the car and divide by the miles left on the odometer to get to 100,000. That $/mile is what u need to put on principal for each mile u drive. If u cant do that then u cant afford the car in the first place. Good luck.

[mavz]

not exactly on topic for your post but I went to Lagan to try to get a S4 and had a terrible experience. I do enjoy being lied to my face especially when I stated I had proof minutes earlier. Good times were had

[roadawg]

I've stopped flipping cars for this reason. You will lose unless you drive an Evo, air cooled, 911 or other car that has unusually high resale. Depreciation always cracks me up, sometimes I look around at car values and it does not match what my initial thought of what the car is worth.

In general german sport sedans are a losing proposition resale wise.

I see the value of certain cars and just laugh. For example, a 2013 freaking WRX is worth about what my car is worth. Go take both cars for an honest drive and tell me with a straight face my car isn't worth 10K more. For that reason alone I won't sell it. There is no way in hell I'd trade it in or sell it for $25K, its a joke. Plus I like it a lot so I don't really care : )

I was very close to buying a WRX Sti just so I wouldn't lose much money on it, but I'd rather get something I like and eat the cost.

[BDP]

Considering the S4 is the 5th VAG car I've owned since 2003, I knew resale was a moot point in my decision to buy it. I bought my 2013 Subaru STI for I want to say 36k new out the door and traded it in for 32k a year later...pretty amazing if you ask me.

You'll never see that kind of resale on an Audi.

[14S4GWM]

Considering the S4 is the 5th VAG car I've owned since 2003, I knew resale was a moot point in my decision to buy it. I bought my 2013 Subaru STI for I want to say 36k new out the door and traded it in for 32k a year later...pretty amazing if you ask me.

You'll never see that kind of resale on an Audi.

I bought an 09 WRX new for 26k and traded it 5.5 yrs later and got 16k for it on the Audi at an Audi dealer. It didn't even make it to auction, lot boy bought it and called me a lot asking questions. They hold their value well and that was a selling point for me when I bought it.

[BDP]

I bought an 09 WRX new for 26k and traded it 5.5 yrs later and got 16k for it on the Audi at an Audi dealer. It didn't even make it to auction, lot boy bought it and called me a lot asking questions. They hold their value well and that was a selling point for me when I bought it.

Yeah it's pretty amazing at how much they hold their value. I had a 5spd World Rally Blue Forester XT Sport also that I sold for maybe 1k less then what I bought it for over a year earlier also. If you want resale buy a Subaru or Toyota...not an Audi or any luxury brand really. The red flags should go off on depreciation when you buy a car that stickers for nearly 60k, for nearly mid 30's two years later.

I'm fully prepared to eat some depreciation when it comes time to sell mine...hopefully I can keep it long enough to not worry about it.

Oh and yes...I'm a car whore....lol.

[GTItoS4]

OP should just keep paying down the S4 for a another year or two. Why the need to get out? The mileage? If it's been reliable, it will likely continue. There's no way I'd trade down to an A3. F that. They are terrible.

[timzcat]

The real problem is 72 month loan, it's generating negative equity. 72 month loans in most cases don't keep value in line with remaining balance.
I'd imagine he's concerned with the mileage which is just making the problem worse because it accelerating the depreciation.

I'm considering selling my '15 S4 with 3000 miles on it. haha. I have an itch for a used R8.

[DannyDeez]

Hello,

How much do you all pay for your S4s and are you concerned about depreciation?

I purchased my 2012 S4 Prestige Sport-diff CPOed in March 2014. 45k miles $38300. A few thousand down, 72 month loan, $602 monthly. Absolutely loved the car for the past 2 years. No accidents, great condition, etc. Loved the car and took great care of it.

Car currently has 81000 miles, current buyout is $26,800, CPO warranty is up in September of this year. I began to look into trading it in for the next adventure. Quite shocked and appalled at the depreciation. Two non-Audi dealers offered me KBB value for the car which is a laughable $19K.

I went back to the Audi dealership who originally sold me the car (Lagan Audi now Audi Albany). First time (End of March) they offered me 23.5k on the car towards a new A3 premium lease. 15k/36 lease, 3411 down (Fees and tax only), $580 monthly. I told them I would shop around and be back. I went back today (April 11), they said the dealer incentives have changed. They offered me 21500 for the car, 4050 down (Fees, taxes, the rest as what they said was a cap cost reduction once I called them out on the higher down payment), and $621 monthly. I want to walk away from this, but I feel stuck as I feel like I am going to take such a bigger hit on the trade by going to a different dealership.

I just feel very frustrated at Audi right now. I never expected to be put in this position, and having much less of a car under a lease with a huge initial cost and a higher monthly payment just blows my mind. If I knew I was going to be thousands upside down, I would have leased back then and have avoided this problem. I just feel completely taken advantage of.

I don't know if this post even belongs in this forum, but I just feel the need to vent and to see what others have experienced... Anyone else been in this position besides me? Any advice or tips for me?

Thank you and regards.

Ok, everyone seems to be a bit harsh here, so I'm going to be helpful. I really don't think you're in that bad of shape. First off, screw the dealer trade in offers. Dealers rip you off all the time anyway. Dont waste anymore of your time.

Your KBB for private sale is over $26k. I can't get a real number without knowing color and transmission, also if you have B&O or not, but its still over $26k regardless. Your best bet is to sell the car privately so you won't have to take that huge hit. Break even if you have to, but it'll get you out of the car without costing you thousands.

Also, how is your CPO up in this september on a 2012 model year car? Even if the car was built in 2011, it still wouldn't end until next year. You might be confused about how it works, the person I got my car from was as well. The CPO warranty is good for 6 years from the in service date. So as long as you don't go over the mileage, you have longer on the CPO than you think.

For reference, I bought my 2012 S4 Prestige, CPO until Dec 30th 2017, with 52k miles, 6 speed man, sports diff, B&O a couple months ago for $32k. The KBB on it was over $33k. Even with your higher mileage you should be able to at least get your buyout amount.

[SportVier]

I see the value of certain cars and just laugh. For example, a 2013 freaking WRX is worth about what my car is worth. Go take both cars for an honest drive and tell me with a straight face my car isn't worth 10K more.

On a used car that is out of warranty or will be soon, buyers will be factoring in the cost of maintaining the car. That will really close the gap between a used Subaru and an Audi. I've owned two Subaru's past 100k and they needed nothing outside regular maintenance, which was cheap. I owned one Audi past 100k and it was a steadily intensifying black hole after 70k.

[SportVier]

Your best bet is to sell the car privately so you won't have to take that huge hit. Break even if you have to, but it'll get you out of the car without costing you thousands.

This

[ProfessorBlinks]

Ok, everyone seems to be a bit harsh here, so I'm going to be helpful. I really don't think you're in that bad of shape. First off, screw the dealer trade in offers. Dealers rip you off all the time anyway. Dont waste anymore of your time.

Your KBB for private sale is over $26k. I can't get a real number without knowing color and transmission, also if you have B&O or not, but its still over $26k regardless. Your best bet is to sell the car privately so you won't have to take that huge hit. Break even if you have to, but it'll get you out of the car without costing you thousands.

Also, how is your CPO up in this september on a 2012 model year car? Even if the car was built in 2011, it still wouldn't end until next year. You might be confused about how it works, the person I got my car from was as well. The CPO warranty is good for 6 years from the in service date. So as long as you don't go over the mileage, you have longer on the CPO than you think.

For reference, I bought my 2012 S4 Prestige, CPO until Dec 30th 2017, with 52k miles, 6 speed man, sports diff, B&O a couple months ago for $32k. The KBB on it was over $33k. Even with your higher mileage you should be able to at least get your buyout amount.

Thank you for your helpful reply. 6MT, white, B+O/Sport Diff/Carbon Fiber Inlay.

CPO is described as starting at the end of the manufacture warranty and extending it 50k or 2 years. Car came out of warranty September 2014 when the dealer did routine maintenance on it and the computers detected that it was over 50k miles. I verified it through the service guy, he showed me the computer program which shows when the warranty is calculated to be up.

It looks like you have purchased a similar car to what I have now, with the exception of less miles.

After sitting around, stewing, and doing a bunch of math I have figured out the following. I had to fish through allot of math but it looks like Audi Albany is giving me the trade-in for 21530 and selling me the A3 at around MSRP. They piss me off having to make me do this math in the first place instead of giving me the actual numbers outright. The total cost of the 3 year lease, including my trade-in/including tax/not including fees, is about 24577.

Tomorrow I am going to go back to the Subaru dealership. If they can give me the 19K KBB value for the trade-in, and a base WRX around MSRP, my comparable total cost of the 3 year lease, including my trade-in/including tax/not including fees, would be about 21596. I would get 3124 more trading into Audi, but they have really turned me off with their shady practices and I really don't feel enthusiastic about paying a total of 2981 more overall to get into a base A3 vs a WRX.

[ProfessorBlinks]

On a used car that is out of warranty or will be soon, buyers will be factoring in the cost of maintaining the car. That will really close the gap between a used Subaru and an Audi. I've owned two Subaru's past 100k and they needed nothing outside regular maintenance, which was cheap. I owned one Audi past 100k and it was a steadily intensifying black hole after 70k.

The Audi *terrifies* me owning it past the warranty. The thermostat went a month or two ago, it would have been impossible for me to fix, and it would have been a $600 job via the dealer if it wasn't covered under warranty.

[DannyDeez]

Thank you for your helpful reply. 6MT, white, B+O/Sport Diff/Carbon Fiber Inlay.

CPO is described as starting at the end of the manufacture warranty and extending it 50k or 2 years. Car came out of warranty September 2014 when the dealer did routine maintenance on it and the computers detected that it was over 50k miles. I verified it through the service guy, he showed me the computer program which shows when the warranty is calculated to be up.

It looks like you have purchased a similar car to what I have now, with the exception of less miles.

After sitting around, stewing, and doing a bunch of math I have figured out the following. I had to fish through allot of math but it looks like Audi Albany is giving me the trade-in for 21530 and selling me the A3 at around MSRP. They piss me off having to make me do this math in the first place instead of giving me the actual numbers outright. The total cost of the 3 year lease, including my trade-in/including tax/not including fees, is about 24577.

Tomorrow I am going to go back to the Subaru dealership. If they can give me the 19K KBB value for the trade-in, and a base WRX around MSRP, my comparable total cost of the 3 year lease, including my trade-in/including tax/not including fees, would be about 21596. I would get 3124 more trading into Audi, but they have really turned me off with their shady practices and I really don't feel enthusiastic about paying a total of 2981 more overall to get into a base A3 vs a WRX.

You're welcome. Ok, so the original warranty expired early due to mileage. That still should not change the CPO warranty on the car. I would call Audi of America and verify.

A CPO car is 6 years or 100k miles from the vehicles first in service date. You can get this date by calling AoA. They're 24hrs if you want to call now. Ive spent quite some time on the phone with them over the years and most recently when inquiring about the car I just purchased.

Owning an Audi outside of warranty is terrifying for me too. Mostly because I've done it twice, and both times I paid over $9k for repairs. Call Audi of America and verify your CPO warranty.

[Vanimal]

I have been shopping for possibly trading my 2010 B8 S5 for a B8 S4. Going back to a 4 door would be nice, as well as the 3.0T motor. My buyout is only about $19k. When i traded my Hummer H3 in for my 2010 B8 S5, i got them to give me NADA trade value which is usually more than KBB, have you tried asking them about NADA value? KBB is a bit harsh. That is how i ended up with my S5 with their gracious trade in, been loving it since.

[Vanimal]

You're welcome. Ok, so the original warranty expired early due to mileage. That still should not change the CPO warranty on the car. I would call Audi of America and verify.

A CPO car is 6 years or 100k miles from the vehicles first in service date. You can get this date by calling AoA. They're 24hrs if you want to call now. Ive spent quite some time on the phone with them over the years and most recently when inquiring about the car I just purchased.

Owning an Audi outside of warranty is terrifying for me too. Mostly because I've done it twice, and both times I paid over $9k for repairs. Call Audi of America and verify your CPO warranty.

That last sentence is what is stopping me from switching to my B8 S5 coupe, to a B8 S4 in the price range i am looking at. My S5 has been a rock solid car, not a single problem cost wise besides oil changes. With the "possible" DSG problems and no warranty could be a nightmare.

[Vanimal]

OP should just keep paying down the S4 for a another year or two. Why the need to get out? The mileage? If it's been reliable, it will likely continue. There's no way I'd trade down to an A3. F that. They are terrible.

+1 on that, honestly id rather have the used S4 over that new A4 hands down. S4 will be a great looking timeless car for years to come, on top of all the things you get in the S model.

PS: Sorry couldn't group my quotes i am on mobile

[GRUMPY-S4]

Subaru's hold their value even more after the Tsunami hurt their production numbers. In 2012 I wanted an STI and could not find one without waiting months. Add to that the fact that the dealers will only sell for MSRP... No discounts at all... That tells you why they hold their value. I got my 2015 B8.5 for 12K under MSRP (new car).

[KRp220]

no one here (unless i missed it) has pointed out how many miles you've driven over 2 years. you've added 36,000 miles over 2 years, whcih is 18k a year. that is a) more than the average of 12k and b) going to depreciate your car faster. had you taken a 60 month term, your payments would have been closer to keeping up with the depreciation. it was just a bad combo

regarding your comment about "shoulda leased it" you would have been a similiar situation being over your miles at 18k a year

with that being said, i'd sell it privately (unless there is a tax benefit to trade?) or just keep it another year and get a little farther down the depreciation curve

[GRUMPY-S4]

To the OP... Never ever go off payment amount when buying a car. I always ask for sale price. Residual value and trade-in allowance. Then ask for payment options.

That way you can do the numbers and see what they are truly doing

[The Fat Kid]

They offered me 21500 for the car, 4050 down (Fees, taxes, the rest as what they said was a cap cost reduction once I called them out on the higher down payment), and $621 monthly.

Audis are generally bad for leasing, but your A3 deal is TERRIBLE! Look at BMWs if you want to lease; guys were getting F80 M3s for under $700/month.

[MrFunk]

no one here (unless i missed it) has pointed out how many miles you've driven over 2 years. you've added 36,000 miles over 2 years, whcih is 18k a year. that is a) more than the average of 12k and b) going to depreciate your car faster. had you taken a 60 month term, your payments would have been closer to keeping up with the depreciation. it was just a bad combo

regarding your comment about "shoulda leased it" you would have been a similiar situation being over your miles at 18k a year

with that being said, i'd sell it privately (unless there is a tax benefit to trade?) or just keep it another year and get a little farther down the depreciation curve

Exactly this... You are looking to sell it before you've paid much down however you've put on more than average miles...

If you want to get value out of the car then pay it off and enjoy a few years of no payments motoring. That should balance you out a bit.
But remember - you are getting a lot of value out of the car given the miles you put on it. It's only fair that it depreciates at a higher rate. For comparison my 12 has 34k miles - you are more than double the miles. Increase your payments if you want also... I did that and paid off quicker which ultimately reduces your effective interest rate.
Cars are not investments though.

BTW - why go from an S4 you love to an A3?? Yikes!

[Senseless]

It's the mileage you're doing. Does anyone know the depreciation per mile for this car? I know the govt allows 55¢ per mile for write-off, but that includes insurance and gas.

[jimrobbington]

This is why you don't buy new cars if you are worried about this sorry of thing. Cars are the worst investment you can make, unless you are Jay Leno. I bought a 2 year old S4 for about -$0.74 per mile...

I still technically couldn't afford it if it makes you feel any better. Lol

[jimrobbington]

Audis are generally bad for leasing, but your A3 deal is TERRIBLE! Look at BMWs if you want to lease; guys were getting F80 M3s for under $700/month.

Also this. You can get a brand spanking new 335 for $500/month ish. They even build to order.

[jimrobbington]

It's the mileage you're doing. Does anyone know the depreciation per mile for this car? I know the govt allows 55¢ per mile for write-off, but that includes insurance and gas.

Mine was about -$0.74 per mile when I purchased.

[shoe3k]

The S4 was *purchased* with a 72 month *loan*. You can't lease a CPO used car. I did not lease my S4 two years ago, I purchased it with a 72 month loan. I am trading in the purchased S4. I am now looking at leasing an A3.

I purchased my S4 for 38,300 in March 2014 with 45k miles. Now, after 2 years, I am trying to trade it in and I am finding that it is worth only 19000-21000. The buyout is 26800 and I am upset because I became upside down on the car.

I am also upset because, instead of at 2 years ago when I purchased my used S4, I *could have* leased a brand new S4 for not much more money and not had this problem.

It is hard to say if you should keep your car. It looks like you drive 18k miles a year and once it is past 60k miles it will take another hit on depreciation. That 72/mths. financing will keep you under forever unless you start adding more towards the principal per month. This is only going to get worse the longer you wait, so you should decide if taking a financial hit is worth it. I would compare the pro/cons of each car when it comes to cost, such as:

1. insurance
2. gas
3. tires
4. brakes

I'm sure those items would eventually make you break even.