although you speak of $ I am not sure this is US or not. A title is either free clear in the name of the owner or had a lien on it and you can only transfer the ownership with a lien release. If the CU accepts for you to take over the balance of the loan, a new lien will have to go on your title for the old one to be released. The difference with a clean title and lien release in your hands is additional lien placement/removal fees charged by mva/dmv.

It doesn't matter whether he owes $11k or $1k on it, a lien is a lien. If it is smaller than the price he gets the balance, if it is higher he has to pay the difference for you to get the bike. When you buy a vehicle new and drive 100yd off the shop with it, it has lost about 20-30% of its value. Except in rare cases of high demand limited models you were lucky to have ordered long before everyone else wanted one. You change your mind and sell it at the spot, with a 100% financing, you end up paying 25-30% off your pocket for the sale. It doesn't seem fair, it is market dictated reality for the past 50years maybe.

For a 3 yold bike, I'd say 50% msrp is about expected.