Hey guys! Well, unless you live under a rock, you probably heard about the big Apple announcement yesterday. Apple unveiled that on September 12th, you can begin pre-ordering the latest version of the iPhone. The 2 new flavors of iPhone will be released on September 19th.It was announced that the bigger iPhone 6 and much bigger iPhone 6 Plus will be $199 and $299 for the 16GB model w/ a 2 yr contract.
Why are we blogging about the latest technology on our Frugal Living blog? Simple! With a little patience and planning, we’ve never paid to upgrade our phone devices and usually come out ahead. Sell Your iPhone 5 to Buy iPhone 6 or iPhone 6 Plus.
So, you want a new iPhone 6 or iPhone 6 Plus… Of course you do… Apple makes good stuff. Of course the wireless providers heavily subsidize the actual cost of the phone (usually $600-$800). They offset this by locking you into a 2 year contract and knowing they’ll suck the financial life from you for the next 2 years.
Like or hate Apple, their products hold their value well on the re-sale market. They are the Honda of phones. As of this post, I’m seeing sold prices on eBay for a 16GB iPhone 5 at $275 to $380 depending on varying factors. At worst, you make all the money back you originally paid for the iPhone 5 with a contract ($199), plus a little extra. If eBay is not your thing, then you can trade in your device at Gazelle for a little less than you’d get on open market. They’ll even let you keep your phone till the new one arrives!
Why does a 2 year old phone still fetch such a high price you ask? Well, it’s the fact that their retail cost is so high and 66% of the phone cost was covered by your wireless carrier when you renewed your contract.
We’re using the iPhone as an example, as that’s what we use, but this can be applied to most devices and brands. A little eBay research just might blow your mind.
Take care of your device! It’s an investment you can earn a return on.
Don’t leave your phone in your back pocket when you use the restroom (fall in toilet catastrophe) or even take your phone into the bathroom if you’re helping a small child use the potty. This is a disaster waiting to happen. If you drop your phone a lot, get an OtterBox for goodness sake and stop holding your phone when you’re not physically talking on it:-) No one wants to buy an old cracked phone.
Sell your old phone on the Open Market – Don’t trade in to your Wireless carrier.
You’re almost always better off selling your phone directly via eBay, Craigslist, Gazelle or some other avenue versus trading it in with the wireless company or retail store. You will make more money on it, which you can use to purchase a new one. Smartphones and their data plans are not cheap, but many of us rely on them, so at least save where you can.
Have you been able to recover any of your costs when selling an old phone or device? Have you made a profit like us? Let’s hear your experience and other ideas!
Disclosure: Post contains affiliate links, although all thoughts and opinions are our own.