I've had a 2016 Latitude for 6 months. It seems like this vehicle has to be on sale with heavy incentives to sell. I have not seen in for sale with less than 3K in incentives. it is also the rental leader in its class. Right now the 2017's are 4500 to 5500 off msrp. I got my Latitude for 6000 off msrp. this is why the resale value is so low. The real price of the average Renegade is much lower than msrp compared to other vehicles in its class. Not a good sign for the longevity of the model. I think the compass will be the price leader of the 2 BU based vehicles since it looks like a small Grand Cherokee. While the Renegade is the low cost value model priced like a Kia or Hyundai. Sent from my SM-G930V using Tapatalk
Obviously new here, first post. Your assessment is likely correct. I'm a new Renegade owner, purchasing a new 2016 Latitude one month ago. We were looking for a 1.4L, manual transmission, and 4x4. We were not absolutely set on options other than we did not want MySky. The dealers around here had two vehicles that met the basic criteria we were looking for. Their bottom line price was in the $21 to $22K price range. Those two vehicles had an MSRP of about $25K. I got fed up trying to deal with them and turned to cars.com in an effort to separate the wheat from the chaff. I'm glad I did. I purchased my brand new 2016 Renegade Latitude in Solar Yellow and equipped exactly as we wanted for $16,890.00 (MSRP $24,390.00). I had the vehicle delivered to my driveway from a dealer on Omaha, NE. A very pleasant experience in my opinion. So, $7,500.00 off of MSRP is possible. Resale won't affect us because we will drive it until the wheels fall off. Sent from my iPad using ToasterJeep mobile app
The Renegade is heavily incentivised these days, but nearly every vehicle is, too. The average incentive in the US market across all vehicles is currently over $4,000 on 2017 models and $5,000+ on past model year vehicles (closer to $6,000 in Canada). Incentives for new, prior model year vehicles run much higher because any remaining 2016 models are about to become two-year old inventory. Then they will be even harder to sell without give-away pricing. There's currently $4,500 in factory incentives on 2016 Renegades in my area, plus $1,000 more if you have a competitive lease, plus $1,500 if you have a low credit score and finance with Chrysler Capital (now that one is simply crazy!). So that's as much as $7,000 off before the dealer sweetens the deal. As an earlier post noted, getting $6,000 of a new 2016 Latitude is quite likely. I got over $9,000 off (34% less than MSRP) on my 2016 75th Anniversary model just three weeks ago. That's insane, but the dealer really wanted the 2016 inventory gone. Is this a Jeep Renegade problem? Not entirely. It's a problem in the whole market as manufacturers try to maintain high sales volume, clear out past model year inventory and avoid costly plant shut-downs. As far as the Renegade is concerned, FCA is trying all they can do to support overall Jeep volume. That means high incentives, and high fleet sales, on almost everything except Wrangler and Grand Cherokee. In the case of Renegade it helps to remember that they are built in Italy with a cost basis in Euros. Since the Euro has tumbled with respect to the dollar, it's more cost-effective to incentivize the Renegade since new inventory comes at a lower dollarized cost to FCA. That's a key reason why Renegade incentives can be way out of proportion to their list price. In a year where Jeep sales in the US are down 11%, Renegade sales are actually higher. And remember, with an inventory of old Patriots and Compass models, leftover 2016 vehicles, and slow-moving Cherokees, FCA needs to clear the decks for the new Compass and other products in the pipeline. Is all this damaging Renegade resale value? You bet. But to buyers who buy at today's discounted prices, that matters less because their purchase price is pre-depreciated. The people who suffer are those who bought earlier at prices much closer to MSRP. That sucks. I would expect that once the old Compass/Patriot models are gone, and once the new Compass is launched, followed by the new Wrangler, there will be a much more rational price ladder in the Jeep business. Currently the Renegade, Patriot and old Compass are tripping all over each other at a similar price point. Prices should even out and incentives should be lower with a more rational product lineup. Of course, all this could go back down the toilet if the industry, or FCA, continues an incentive war to preserve market share and volume in a softening market.
Thank you for your response. That makes a lot of sense. I got mine in December for $6000 below MSRP, but thought it was end of year only discount. I can see this lasting well into summer with all the old Patriots & Compasses with the Renegade & Cherokee pulled in. I think the new Compass & Cherokee are too similar in size and overlap too much as far as interior volume. The Cherokee does have the V6 option which helps differentiate it. Sent from my SM-G930V using Tapatalk
