Buying a "Newsed" car

[2cents]

I'm in the market for a new car. I currently drive a Mini Cooper (which I absolutely adore), but my family is growing and we're quickly out-growing it. We've done some test drives and it seems like the most logical choice is the Hyundai line--with their 5 year/60,000 warranty (not to mention the dealership incentives for free maintenance, tires, and gas cards).

Given the market conditions, we really do not want to take a loan out on the next car. Thankfully, the Mini Cooper has the highest resale value of any vehicle in its class (we paid $28,000 and the blue book value is over $24,000 for a 2006), so it's highly likely we can escape debt free on this expense. The most lucrative bet is to sell the car privately, but I've done extensive research on this and it seems a little scary and cumbersome (give the keys to some random person and then ride in the passenger seat? is that a real cashier's check? how many forms exactly to transfer the title, transfer the registration, etc?)

The name of the game is to stretch that almighty dollar. I'd love to draw upon the experience of the masses. Is it worth the $4000 loss to trade it in? And while you're typing, have you had any experiences with a Hyundai that I should take into consideration? We're thinking about a Sonata.

Thanks!