Sticker shock....!!!

[Larro Darro]

I would buy used but it's getting to where it doesn't make sense anymore for me. Taking a look at CarMax website, I see lots of nice used trucks that I'd be happy with. The problem is they price them so high for what they are. I looked up a 2014 Z71 crew cab exactly like mine with 5k miles on it (mine has 2k). They wanted $39,995! I got my truck for $36,000 with all the rebates and haggling. Same truck, same options, same color even, except mine was brand new and this one is used and CarMax won't haggle on the price at all. Why in the world am I going to pay $3k MORE for a used truck? Another problem is a lot of dealers around here love to stock used junk. I'm talking former rental cars with high miles (ex. 30,000 miles on a 2014 vehicle). If it's not a former rental car it's a truck with 100,000 miles on it and they're asking the moon for it and act insulted if you offer lower then their asking price.

Now, if you REALLY want to be scared from ever buying used again here's a story for you. I was at the Toyota place getting my mothers car serviced for her. I saw that had a 2014 Silverado LTZ Z71 sitting in the back that had just come in on trade. Truck had 7k miles on it and was absolutely covered in mud and was hit in the front end by something (the whole lower face of the bumper was smashed in). Whoever traded this in didn't even take the time to wash the truck off before they traded it in. I asked about the truck and was told it was owned by a chicken farmer. That right there scared me off because around here the chicken farmers I know treat their equipment like absolute crap, and this truck looked like it had 70k miles as opposed to 7k. Anyways, week or two later I ride by this same dealership and they have the truck sitting on the lot, front end is fixed and it's cleaned up. Some unsuspecting sole is going to think they are buying a practically brand new '14 Silverado, but if only they had seen what I saw the shape of the truck was in just a couple of weeks ago they'd run, not walk away from it.

By law they have to let you know it was wrecked and fixed.

The fellow who teaches Takekwondo here at the Civic Center has his dealer license. He goes to rental auctions, where he tries to finds diamonds in the rough. If a rental has a fender bender, they sell it. According to how bad the other bidders want the vehicle, the prices can really be low. He drives a truck, and his wife, a car, for one year then sells them for what he paid {or more}. He's been doing this for 15 years. The only cost he has had in that time in one tranny that went out on him. But he does do a lot of work researching, and going to the auctions. He goes to Orlando, Jacksonville and Pensacola mostly.

Larro

 

[two_bit_score]

If you are interested in buying a totaled insurance claim vehicle here is a site where you can buy insurance company totaled vehicles: RideSafely | Buy used and salvage vehicles at wholesale cost

Buyer beware of course but that doesn't mean you can't get a good vehicle if you know what to look for.

 

[ultrarunner]

Rust is something we never deal with in California... plenty of rust free cars around here... the big thing is passing the emmission test which is required going all the way back to year model 1976...

Don't know how many other states test going back almost 40 years...

Last time I took my 76 Spitfire in for Smog... the 22 year smog guy had never seen one and the tow carbs really confused him.

Comment on buying on time for credit score reason... I'm at 834 and have never carried a balance on anything other than a first deed of trust on a home...

 

[JDgreen227]

Comment on credit scores...I am what credit card companies term a "deadbeat" and never carry a balance on my one card, have not made car payments since 2003 (new vehicles get rolled over into my home equity LOC) and my credit score is 830....to me, the entire credit scoring system is badly screwed up, as someone who juggles ten cards, a mortgage, and car payments by paying only what is due each month can sometimes get a better score than me who never carries a card balance.

 

[Notlaker]

It would appear that a credit score has more to do with how much money the banks can make off an individual.

 

[two_bit_score]

It would appear that a credit score has more to do with how much money the banks can make off an individual.

you don't say?

 

[ultrarunner]

When I was lining up suppliers starting my business... the best credit reference was "Pays as agreed"

I was only 23 and had opened accounts at the Hardware, Lumber, Floor Covering and Plumbing Wholesale...

It was actually kind of fun putting my plan into action and watching it come together... I also got plenty of offers to come work for folks...

As to sticker shock... it is alive and well.

It's almost like we have returned to pre-recession where today's high price is tomorrow's bargain...

Of course buying things on time that depreciate is another subject for discussion.

My Grandfather was in the auto business about 50 years... he counciled a lot of my friends that were buying their first cars... he would tell them if they couldn't afford to pay off a used car in 24 months or a new car in 36 months... they really couldn't afford it.

I asked him why he did business that way and he said treat people right and you will have a new customer for life... always had his residence address and phone number on his business cards... it was a simpler time where a handshake meant something.

I can only imagine what he would think with young folks starting out buying an truck with 7 years of payments ahead.

 

[timswi]

If I can't put at least 50% down on a truck or a piece of equipment, I won't buy it...Generally I prefer to pay cash where possible...I don't have a problem with short term financing something where I'm in decent shape on the purchase.. I don't chase payments, I chase the final purchase price.

People who talk about how the dealer made the payment work crack me up...They got nailed.

FYI--Don't ever tell a car dealer you're paying cash, you'll end up paying more for the vehicle. Finance it and pay it off when your first payment is due...It's that whole dealer reserve thing.

 

[Diamondpilot]

If I can't put at least 50% down on a truck or a piece of equipment, I won't buy it...Generally I prefer to pay cash where possible...I don't have a problem with short term financing something where I'm in decent shape on the purchase.. I don't chase payments, I chase the final purchase price.

People who talk about how the dealer made the payment work crack me up...They got nailed.

FYI--Don't ever tell a car dealer you're paying cash, you'll end up paying more for the vehicle. Finance it and pay it off when your first payment is due...It's that whole dealer reserve thing.

Great advise.

I hate when a dealer ask me what I want to pay. Like you all I care about is final price. Everything else is pointless.

Chris

 

[JDgreen227]

Car dealerships and salespeople LOVE the sheep (oops, customers) who tell them "I can afford a payment of (fill in the blank) a month...you can bet they will twist the numbers around and do everything they can to make your payment affordable...to THEM. My ex told me about the time she purchased a Cutlass "all by herself" and she told the salesman her dad worked for GM so she wanted the GM discount...and she could afford a payment of (fill in the blank) a month...well, the gave her the GM discount, but they loaded up the selling price with all the overpriced add-ons like rustproofing, paint protection, extended warranty, and the REAL scam...fabric protection for the LEATHER seats...:laughing: and told her, well, we managed to get your payment figure in line of what you wanted. She was clueless as to what dealer cost actually was, although it would have been easy to learn. It amazes me sometimes how naive car buyers are...