Other Yearly Upgrades: Selling Your Phone vs. Apple Upgrade Program vs. Carrier upgrade?

[NJRonbo]

I buy a top-of-the-line iPhone Pro Max (or equivalent) every year. This year is no different.

My strategy is to take advantage of the online resale value of my current phone to put towards a new one.

In this case, I was able to get approx. $642 for my iPhone 11 Pro max. Now, I did get offers of up to $100 more, but doing some research, these were from companies that had a mixed bag of reviews. I went with SellYourMac which I have dealt with countless times before as I also do a yearly upgrade on my laptops and watches.

My math skills are pretty bad which is the reason I am posting this thread for feedback.

So, I estimate I am getting a 47% return on my iPhone purchase each year towards a new phone.

Of course, there's more work involved with this process.



I could go with the Apple Upgrade Program. There's no hassle there. You get a new phone every year.

However, the downside is, you are also paying more for Apple Care which for me, is a complete waste. I keep my iPhone in a leather folio case. Even when it drops, it's protected. I have never experienced a broken iPhone and I don't anticipate that within a year of ownership I am going to run into any hardware issues either.



Finally, I could go with the carrier (in my case Verizon) upgrade program. That's cheaper as they don't force Apple Care on you. My only issue with that is having extra monthly charges on my phone bill. I would rather keep my phone and hardware bills separate.


In the long run, I still think I am better off buying a phone outright and then selling it for approx. 47% of its original value towards the next iPhone release.

Thoughts?

 

[JulianL]

At least in the UK we have some pretty good price comparison web sites where you can enter details of your phone and it searches multiple companies and displays the best prices you can get for your old phone; I assume the USA has similar sites. For some reason I had it in my mind that the Apple trade in program offered really low prices for trading in your old phone as part of the purchase process when ordering a new one but I did a price check on my planned iPhone 12 Pro Max purchase on the Apple web site using the "View Pricing" link and was amazed to see that Apple was only offering £20 less than the best price I could get from any other company. Apple was offering me £560 to trade in my 64GB iPhone 11 Pro Max (which I paid £1,099 for) against a 12 Pro Max purchase vs only one third-party company in the price comparison search results being able to beat that and then only by £20. Maybe the amount Apple offers plummets on the day the new model is released but in that case why let the user do a price check on the new iPhone 12 prices now and show him/her a trade-in value against a phone they can't even purchase yet? I'm hoping/assuming that the £560 Apple is still showing (I checked again just now) is still valid when I place my order on 6th Nov.

This means that by going the simple, safe and convenient route of surrendering my old phone to Apple as part of the 12 Pro Max ordering process I get a £560 (51%) discount applied to my £1,099 purchase and only have to settle up the difference when I place the order so that's quite nice from a cashflow perspective as well. From looking at the "How long do I have to send my device to you?" FAQ (https://www.apple.com/uk/shop/trade-in) I have 14 days after placing the order so, with the week between orders and when the 12s start shipping that still gives me 7 days to transition to my new phone and according to the FAQs it is possible to extend that automatically for another 7 days to give me 14 days to transition.

So long as the price calculations don't get worse close to first-orders day I plan to go that route. I have no idea whether the pricing calculations are similar for the USA, as I said I'm strictly looking at UK pricing, but it might be worth exploring that option.

 

[NJRonbo]

Hi Julian!

Here in the U.S. Apple is only offering $500 for the iPhone 11 Pro Max. Significantly less than other online sellers.

 

[JulianL]

Hi Julian!

Here in the U.S. Apple is only offering $500 for the iPhone 11 Pro Max. Significantly less than other online sellers.

That sucks! I think we are £ for $ pricing i.e. the baseline 64GB 11 Pro Max cost $1,099 in the USA? If correct then the Apple trade-in price in the UK would be equivalent to Apple offering $560 for a 64GB 11 Pro Max in the USA. We both talking about the smallest storage 64GB iPhone Pro Max aren't we? If your price is for a higher capacity model then that is a heck of a lot less that you're being offered in the USA vs the UK which seems strange.

If you can get a lot more elsewhere it sounds as if the USA third party buyers are more generous than the UK ones because the best price I was seeing if not trading it in with Apple was £580, equivalent to a $580 offer for a phone originally purchased for $1,099 in the USA. I'm sure I could get more if I went for a private sale via eBay but I just don't want all that hassle and worry that the transaction might go wrong. Life is too short for that.

 

[GloriousAndrew]

Every single year, I resell my iPhone on Swappa, Craiglists or eBay. If you keep your phone in mint condition by using a screen protector and a case, that is the way to go. Especially if you have a new color like Midnight Green. I will do the same this year as a mint condition 256GB iPhone 11 Pro Max in Midnight Green will net a pretty penny.

If you want zero hassle in the future of finding a buyer and dealing with lowball foolish offers, sell your phone and then sign up for the Apple Yearly Upgrade Program.

 

[James Godfrey]

My current iPhone XS retailed at £999 when I got it, my phone contract works out at £1632 over the course of two years which adds £633 to the price.

However, I will sell my iPhone XS for about £300 roughly so I have really only paid about £333 on top of the phone cost or £13.83/month which gives me calls texts and plenty of data.

So for me I will always get my new iPhone from my carrier... if I would have either paid straight out and got sim only contract or paid monthly for the phone separately and got a sim only contract I would have likely paid more than £13.83 extra per month overall.

 

[Nimoy]

This might be obvious but...you get the most money by selling privately (Facebook Market Place, Kijiji, etc.). I’ve done this with countless Apple devices and never had a single issue. Sure, you have to negotiate a little bit but the extra $$ is worth it.

 

[Knowimagination]

I did the sell privately and buy the new phone outright for several years but I eventually got tired of the hassle of it. I’m now on the iUP and even though I know I’m paying more the convenience of it is hard to pass up for me.

 

[thepro8]

also have to factor in the cost of apple care if you don't want to pay for that

 

[Wags]

With AUP you are guaranteed 50% but do have to get AppleCare. You can still sell you device privately if have good buyer and just payoff. Then start over. Generally not a fan of carrier deals. Like the AT&T deal right now. Want to spread credits over 30 months. Okay if have appropriate plan and don’t expect to change carriers or device in 2 1/2 years.

 

[NJRonbo]

also have to factor in the cost of apple care if you don't want to pay for that

Right!

If Apple wasn't forcing Apple Care it would be a great deal. But of course, Apple needs to make money on such deals and there is a good segment of iPhone users that take great care of their phone and protect it well enough they don't need it.

 

[ckurt25]

I used to buy and then sell my old phones but it got to be a hassle. I now use the iUP. Knock on wood... I haven't dropped & broken a phone since the 5 but I do like having the peace of mind of Apple Care. It's like any other insurance. Sure it's a pain to pay for but it's great when you need to file a claim.

 

[196josue]

I buy a top-of-the-line iPhone Pro Max (or equivalent) every year. This year is no different.

My strategy is to take advantage of the online resale value of my current phone to put towards a new one.

In this case, I was able to get approx. $642 for my iPhone 11 Pro max. Now, I did get offers of up to $100 more, but doing some research, these were from companies that had a mixed bag of reviews. I went with SellYourMac which I have dealt with countless times before as I also do a yearly upgrade on my laptops and watches.

My math skills are pretty bad which is the reason I am posting this thread for feedback.

So, I estimate I am getting a 47% return on my iPhone purchase each year towards a new phone.

Of course, there's more work involved with this process.



I could go with the Apple Upgrade Program. There's no hassle there. You get a new phone every year.

However, the downside is, you are also paying more for Apple Care which for me, is a complete waste. I keep my iPhone in a leather folio case. Even when it drops, it's protected. I have never experienced a broken iPhone and I don't anticipate that within a year of ownership I am going to run into any hardware issues either.



Finally, I could go with the carrier (in my case Verizon) upgrade program. That's cheaper as they don't force Apple Care on you. My only issue with that is having extra monthly charges on my phone bill. I would rather keep my phone and hardware bills separate.


In the long run, I still think I am better off buying a phone outright and then selling it for approx. 47% of its original value towards the next iPhone release.

Thoughts?

I second the OP's comments on SellYourMac. I've used them a bunch of times and they are alway fast, fair, and have the best customer service of any of the other companies out there.

I would highly recommend them to any friends or family.

I'm planning on using them again to sell my iPhone this year as they have a promo around every iPhone launch and you can lock your quote in for 30 days so the price can't change.

 

[Detonation]

I used to sell my phones on swappa every year, but swappa is a far cry from what it once was, overrun with reseller shops and low ballers. Combined with Paypal's 6 month buyer protection added a few years ago, it's just not worth the hassle/risk anymore. Thinking about just doing the IUP now as well and taking the ~20% hit on resale value. Plus I was planning on adding AC+ anyways.

 

[sjperformance]

I did the sell privately and buy the new phone outright for several years but I eventually got tired of the hassle of it. I’m now on the iUP and even though I know I’m paying more the convenience of it is hard to pass up for me.

Been doing this since iPhone 4. Last year I finally joined AUP for the 11 Pro Max. Last year after selling mint XS Max on swappa I made $55. No thanx. This year pre ordering 12 Pro Max 128GB Gold. Then will drive to apple store which is a short 10 min drive. Return the 11 Pro Max. Then walk to cheesecake factory and have dinner with my wife.

 

[sjperformance]

I used to sell my phones on swappa every year, but swappa is a far cry from what it once was, overrun with reseller shops and lower ballers. Combined with Paypal's 6 month buyer protection added a few years ago, it's just not worth the hassle/risk anymore. Thinking about just doing the IUP now as well and taking the ~20% hit on resale value. Plus I was planning on adding AC+ anyways.

Do it. You will appreciate it long term.

 

[JeepGC]

IUP all the way. I've been a member since it was launched. I prefer not to be locked into a particular carrier and IUP makes the upgrade process seamless.

 

[NJRonbo]

Been doing this since iPhone 4. Last year I finally joined AUP for the 11 Pro Max. Last year after selling mint XS Max on swappa I made $55. No thanx. This year pre ordering 12 Pro Max 128GB Gold. Then will drive to apple store which is a short 10 min drive. Return the 11 Pro Max. Then walk to cheesecake factory and have dinner with my wife.

Your post brings up a good question...

How do you trade in your old iPhone if you do the upgrade program?

Can you do it via mail and does Apple send you a box and shipping label? They should for that Apple Care they charge you for.

 

[BugeyeSTI]

I used to sell my phones on swappa every year, but swappa is a far cry from what it once was, overrun with reseller shops and lower ballers. Combined with Paypal's 6 month buyer protection added a few years ago, it's just not worth the hassle/risk anymore. Thinking about just doing the IUP now as well and taking the ~20% hit on resale value. Plus I was planning on adding AC+ anyways.

I agree, I used Swappa too and the 6 month Paypal buyer protection had me worried the entire 6 months wondering if the buyer would file a dispute.. Nothing happened but it wasn't worth the hassle. I may just trade my X in to Verizon. The trade in value is pretty decent if you use their IUP which I did with the X in 2017 and I don't need to do much except haggle with CS over the activation charge. I was able to talk them down to get them to cut the fee on half last time so I'm pretty confident in a similar outcome..

 

[Wags]

Your post brings up a good question...

How do you trade in your old iPhone if you do the upgrade program?

Can you do it via mail and does Apple send you a box and shipping label? They should for that Apple Care they charge you for.

If you are on the AUP and trade in, you can use shipping that Apple pays or do in the retail store.

 

[sjperformance]

Your post brings up a good question...

How do you trade in your old iPhone if you do the upgrade program?

Can you do it via mail and does Apple send you a box and shipping label? They should for that Apple Care they charge you for.

Apple mails you a box/label to ship phone back. Or you can go turn it in at your local apple store. This year due to covid who knows how many apple stores open as well as too many packages being lost in this pandemic.

 

[Jro29]

Your post brings up a good question...

How do you trade in your old iPhone if you do the upgrade program?

Can you do it via mail and does Apple send you a box and shipping label? They should for that Apple Care they charge you for.

Apple sends you a box and a label. It's dead easy

 

[jags828]

Been doing this since iPhone 4. Last year I finally joined AUP for the 11 Pro Max. Last year after selling mint XS Max on swappa I made $55. No thanx. This year pre ordering 12 Pro Max 128GB Gold. Then will drive to apple store which is a short 10 min drive. Return the 11 Pro Max. Then walk to cheesecake factory and have dinner with my wife.

Palm Beach Gardens Mall Apple Store?

 

[MisterSavage]

I've done both. I joined the IUP program on day one and have never looked back. I don't doubt I could get more selling on my own. The convenience factor of not having to deal with it is more than worth it to me.

AC+ covers theft/loss. My dad said he didn't need it and then his phone got stolen.

 

[4sallypat]

OP you are like me - a new phone every year.

I can't do the 30 month carrier offers.

I just paid off the 24 month Citizen's loan in a year so I'll be trading her back into Apple....

Apple Card is 24 months but I can pay it off early so that's what I am doing.
Plus Apple Card gives back 3% cash back immediately.