Resale value of extended warranty plans?

rickinAZ

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Let's say you buy a 8 year/zero deductible plan when your Jeep is new. After nearly three years you are itching for a change and sell your Jeep and buy a new one. The 8-year plan has full value, in fact you haven't even used it because you are still under the factory plan.

Is there a school of thought that there is dollar value placed on the extended warranty and the buyer will receive more for their vehicle? Or is it simply icing on the cake for the buyer? [That seems to be the case with aftermarket modifications - even when high quality parts are used.]

 

viper88

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Let's say you buy a 8 year/zero deductible plan when your Jeep is new. After nearly three years you are itching for a change and sell your Jeep and buy a new one. The 8-year plan has full value, in fact you haven't even used it because you are still under the factory plan.

Is there a school of thought that there is dollar value placed on the extended warranty and the buyer will receive more for their vehicle? Or is it simply icing on the cake for the buyer? [That seems to be the case with aftermarket modifications - even when high quality parts are used.]
It is pro rated and you can get a refund for the portion you do not use minus a small cancellation fee. Read the actual contract. Some extended warranties start from the original factory bumper to bumper start date. They run concurently to each other.

I think it's a good selling point to differentiate your vehicle from others on the market. The buyer has a choice. You can charge the buyer of your JL for the value of the warranty if they want it. Otherwise just cancel and get a refund for whatever is left.

Or wait and buy the extended warranty later. There is no rush to buy. You can buy before the 36K/36 month expires. It might go up in price by a $100 or so but not much. Plus it's usually a LOT cheaper buying from one of the forum vendors who sell Mopar warranties. The only advantage of buying it when you buy the JL is if you want to roll in the cost if you get a 0% loan. That is only a advantage if you get the warranty for a discount that matches one of the discounted vendors.

There is one additional benefit of buying the warranty when you buy the JL. You get the coverage for the key FOBs. The Mopar Max Care Warranty covers the FOBs if you break or loose them.
 
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