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I'm looking to pay 80-82%% of the asking price (about 25.5K on a 30.0K), but am wondering where to start negotiation, or is 20% below asking is even reasonable as a final offer. I just don't know what number to use as my starting point (hence, the 21K is at 30% off asking).
Is there a standard dealer markup for CPO vehicles?
I did post in the TMV forum asking for the current MDX auction prices in my area. I will work up from that.
The Edmunds retail for a CPO MDX is at 28.7K, non-CPO is 26.6K. I would like to pay under this price, of course.
Thanks!
'17 Chevy Volt Premiere
Various online articles mention markup ranges from 30 to 45% over the price of what the dealer cost was for the car, CPO or not (dealer's cost being price paid + cost to bring it to CPO standard + the CPO fee + like-new detailing).
That's where my offering 80% figure came from.
So, anyone buy a CPO MDX recently?
The new ones are really pretttty....but a new MDX will have to wait until we see how our income projections for the next 2-3 years play out...:)
Thanks again.
I wouldn't even acknowledge that offer with a counter offer. If the customer came back with a more reasonable offer I might counter it or I might just show them the door.
The most expensive used car on my lot is a little over 70,000 dollars and I don't have 9,000 dollars of markup in that car.
As we're nearing the end of our lease, we've test driven quite a few vehicles but aren't finding anything that we love as much as our car (and everything seems expensive.)
The payoff quote from Audi Finance for our car is $26191.20, (without taxes, fee's etc.) Our dealer is saying that their CPO cost is 2260.00 (that seems high to me?) and that the CPO price including tax and title etc. (minus the $850 loyalty) is $30554.30
Should I try to negotiate that CPO price? Should I shop other Audi dealers?
He stated that the top tier financing rate for 25 - 60 months is 5.9%. When I got off the phone with him I went to audiusa.com and found a up to 60 month 4.9% promotion for 2005 allroads. When I called him back he said he'd speak to the business manager. Were they trying to make additional $ there or was that simply a mistake? (I'm so mistrustful of this whole process.)
I appreciate the assistance and sorry if there is pertinent information that I've left out.
kzybulew
Many people ask me if they should buy the car at the end of the lease. Usually the end of lease purchase price, known as "Residual Value" is $3k -$4k more than actual market value of the car. Smart shoppers know the buyout price is thousands over market value, and will turn in their leased cars to the leasing companies instead of buying. That caused used car values to tank unexpectedly in 2001-2003. Many people forget there is also a $300-$400 non-negotiable "purchase option fee" buried in your lease contract if you buy the car at the end of the lease.
Your strategy: I would wait until the end of your auto lease and ask the leasing company if they will sell the car for less. Offer less than market value for the car. Many leasing companies are arrogant and still play hardball. If you leased and took it on the chin going into your lease or if your gross cap cost was MSRP, don't give them one cent more. If they don't budge on the buyout price, exact your revenge on them by dumping another used car on them where they will lose $2000-$4000. Don't let them scare you with threats over mileage penalties, or non-matching tire fees, it still beats paying $4000 more for a car than the market value. They'll call you in advance to pressure you to buy the car at lease end. Research the value, dodge their calls, and show up at lease termination with a check in the amount you want to pay. Haggle smartly, telling them you know used cars are worth a lot less now. With no sale they have to dump the vehicle at auction. Don't pay them until they sign a buyer's order first! If they reject your offer, walk away, game over. Now they have no time to strategize, the deal is over and you pinned them against the wall. Maybe they'll chase after you before you drive out to give you the lower price, but if not, just keep on driving with a grin on your face.
As we're nearing the end of our lease, we've test driven quite a few vehicles but aren't finding anything that we love as much as our car (and everything seems expensive.)
The payoff quote from Audi Finance for our car is $26191.20, (without taxes, fee's etc.) Our dealer is saying that their CPO cost is 2260.00 (that seems high to me?) and that the CPO price including tax and title etc. (minus the $850 loyalty) is $30554.30
Should I try to negotiate that CPO price? Should I shop other Audi dealers?
He stated that the top tier financing rate for 25 - 60 months is 5.9%. When I got off the phone with him I went to audiusa.com and found a up to 60 month 4.9% promotion for 2005 allroads. When I called him back he said he'd speak to the business manager. Were they trying to make additional $ there or was that simply a mistake? (I'm so mistrustful of this whole process.)
I appreciate the assistance and sorry if there is pertinent information that I've left out.
kzybulew
'11 GMC Sierra 1500; '08 Charger R/T Daytona; '67 Coronet R/T; '13 Fiat 500c; '20 S90 T6; '22 MB Sprinter 2500 4x4 diesel; '97 Suzuki R Wagon; '96 Opel Astra; '08 Maser QP; '11 Mini Cooper S
The residual value at the end of a lease shoul be close to the wholesale value of the car. I have no idea where you came up with your idea that the cars will be worth 3-4000.00 less than they are actually worth.
Now, in the past some car manufactures have done some dumb things on leases that have caused this to happen. they have set residuals artifically high in order to make the lease payments attractive. You could say they have mortaged tomorrow for today's sales. This, however, is uncommon and I would think lessons have been learned from this.
Lease residuals are NOT negotable! Where do you come up with this? You WILL pay the residual value you agreed to when you leased the car! You WILL pay for excess mileage or damage on the car!
This has nothing to do with arrogance or playing hardball. a lease is a contract and nothing more.
It's like you seem to think you can change the terms because you don't like them.
Few cars cause as many problems as an aging Audi and the warranty companies are well aware of that.
Kind of like an 80 year old man who smokes two packs a day trying to buy life insurance.
You may be a lot better off just walking away from that lease.
'11 GMC Sierra 1500; '08 Charger R/T Daytona; '67 Coronet R/T; '13 Fiat 500c; '20 S90 T6; '22 MB Sprinter 2500 4x4 diesel; '97 Suzuki R Wagon; '96 Opel Astra; '08 Maser QP; '11 Mini Cooper S
Even the folks who could afford the $550 had a hard time swallowing that pill because they had gotten used to paying that $325. Between that and the undisclosed lease contract allot of the import stores were using(at least in our area) pretty much killed our leasing program for a number of years, and has really never been the same.
It will be a great program once we get it going.
In the first place,it isn't the dealers call. it's the motor companies.
Once the car is sold, the terms of the sale, warranty,etc is unalterable.
The reason Ford changed the coverage is to sell more cars now.
Thanks in advance for your thoughts.
so, a Certified Honda only comes from a Honda dealer.
The idea of offering certified used cars is so the buyer has the peace of mind in knowing that the car was fully reconditioned and backed by both the dealer AND manufacturer.
It is better to geta CPO car, if you can.
Especially if you plan to keep it for a prolonged period of time.
CPO cars generally cost more, but they come w/a comprehensive warranty and there is usually some special financing available.
In mid 2004 I purchased a 2003 Certified Used Toyota Corolla LE from a major Toyota dealership with 7,000 miles on it. Before the purchase I checked the Carfax report, which turned out to be clean. There was only one prior owner, and there was no mention of any accident. The salesman mentioned that this car had "just come in". I bought the car after test driving it and doing my due dilligence. The car was great, and I have been maintaining it properly ever since the purchase at the same dealership.
A few months back, when I took in the car to the same dealership for the 35,000 mile scheduled maintenance, I mentioned to the service agent that the left headlight flickers ocassionally while I drive on a plain road. I asked him to check for anything loose in the headlamp.
While I was waiting in the waiting area, the service agent came up to me with an estimate for the service. He asked me a question which completely caught me by surprise. He asked me if the car was involved in an accident. When I truthfully denied that he said that the car had signs of being in an accident. He said that the front bumper had been re-painted and re-installed on the car, and the headlamp assembly had signs of damage. When I refused to believe him, he ended up taking me to the shop floor where the car was raised up. An engineer showed me where the headlamp assembly had some damage.
I was flabbergasted. I mentioned to them that I had bought the car from their dealership as a certified used vehicle, the car was supposed to be accident-free, have a clean history when I bought it, and I certainly have not damaged the car myself. They just shrugged, saying that it is now too late - several years have passed now before I brought this up with them, and for all that they knew I could have caused the damage myself.
The car should have been checked thoroughly as part of their certified program, and I cannot believe that the damaged light and repainted bumper was not seen by them. Could it be that the previous owner had damaged the car, took it to a roadside garage to have the bumper fixed and repainted, and avoided any report on Carfax?
I would like to know now if I have any recourse at all. Should I now check the Carfax report to see if anything was reported immediately after I purchased the vehicle? I have all the purchase documentation for the car. The problem is that I had bought the car in August 2004, and now it is 2009. But I noticed the problem with the headlight just in 2009, since it started flickering. Do I have anything to try other than just accept my fate?
By the way - the damage to the headlight is not evident from the front. Once the car is raised, you can see the damage by poking your head behind the headlight assembly.
Then again, if it DOES show up on carfax as happening prior to your purchase, MAYBE you have a leg to stand on. However, being it was so long ago, how do you prove they didn't tell you about the accident? I'm not sure if Toyota's CPO program doesn't allow cars that have had minor damage. That may be something to inquire about.
'11 GMC Sierra 1500; '08 Charger R/T Daytona; '67 Coronet R/T; '13 Fiat 500c; '20 S90 T6; '22 MB Sprinter 2500 4x4 diesel; '97 Suzuki R Wagon; '96 Opel Astra; '08 Maser QP; '11 Mini Cooper S
Certified cars are not guaranteed to be free from ANY bodywork, only MAJOR bodywork.
Toyota's are actually easy to check because they put VIN stickers on all the OEM bodypanels.
If those stickers are missing, then you have had major work done.
I'd just relax and enjoy your truck.
I am in the market for a used Acura MDX, 2004/2005. This will serve as a primary car for the next year, but will eventually be a second car. I have been searching around and came across a 2005 with 56K miles, Touring, and Navi for $19,500 (non-CPO). However, the lowest CPO that I found is around $24K-$25K. You will probably know my question, but is it worth the extra $5K-$6K for a CPO, or should I just save the money and just go with a used?
This might also be a stupid question, but if I buy a non-CPO from a dealer/private seller, can I take it to a Acura dealer to have it inspected and get it CPO?
Thanks for the help!
Next, you can't generally have a dealer certify a car the dealer didn't buy.
You may be able to buy a warranty for it though.
When I got home, I called Lexus customer service to find out how a vehicle that had obviously had some significant body work done on it could have passed their certification process. They told me that a vehicle could be certified as long as there was no frame damage. I have to admit that I was stunned. Their own website says that they will often not certify a vehicle if it has a strange odor, and now they tell me that as long as there is no frame damage its ok. Lord knows if there is frame damage. I didnt know there was anything wrong with the car before today.
Now I'm stuck with a vehicle that may be worth only half of what I originally thought. I wish I would have known this 6 months ago before my in-laws purchased a 2008 RX-400 and a 2008 ES-350 for cash. Any ideas on what recourses I have?
Thanks!
I tried to sell it to an independent dealer, thinking that would be the easiest way to get a decent deal on the vehicle. The guy on the lot pointed out signs of repair from what looked to have been a significant accident. He told me that he couldn't buy the car because of the liability he might have to absorb at some point, and he couldn't afford that as a small independent shop. He then suggested for me to take it to a Ford dealer, saying that they would be big enough to not share his liability concerns.
So I took the car to a Ford dealership and asked them what they would give me for it. I didn't mention anything about the repair work that the other guy showed me. I felt it was fair since the dealer that sold the vehicle to my father-in-law never mentioned anything about it either. Fair dealership trade-in pricing for that car in good shape was around $4,200-4,800 at the time. They looked over the car for a few minutes and offered me around $4,500.
Since it sounds as though you are in a similar predicament, I would recommend that you do something similar. I'd be sure to play up the part about how you purchased it CPO. That way, I would think, they should give you a pretty fair deal.
Remember that CPO warranties cover the mechanical aspects of the car, not the cosmetic.
Some dealers won't certify a car with obvious paintwork, others will.
However, it is an 01 and the devaluing shouldn't be that much. A competent dealer can tell if the work was just cosmetic or structural.
As for what dealers are ASKING for similar cars, asking isn't getting.
Unless you have seen actual buyers orders, you don't know what dealers are getting for similar cars. The tendency when selling used cars is to ask the moon for them, it allows for big discount to impress the buyers.
The big lesson learned here is, if you buy a used car with some chips or scratches LET THEM BE. You didn't buy a new car, you saved money and went used. Used cars aren't perfect, they are used. Painting a car is NEVER a good idea.
um, and then i just looked at the driver manual today and it said im suppoed to have recieve a key code tag along with the keys (and i didn't get it that day either) the manual specifically said i would require the tag in order to get a copy of another key in case if i lose it in the future...
uhh, my question is, since this is a used (second hand car). When I ask the dealer for those key code tag, would they make an excuse about the previous driver didn't give them one? and then they try to charge me for new key code tag??
Do do you guys think/.?? im so cluless
You can ask for things, but they are under no obligation to provide them.
'11 GMC Sierra 1500; '08 Charger R/T Daytona; '67 Coronet R/T; '13 Fiat 500c; '20 S90 T6; '22 MB Sprinter 2500 4x4 diesel; '97 Suzuki R Wagon; '96 Opel Astra; '08 Maser QP; '11 Mini Cooper S
He promised the extra set, so they are owed to you. You should have gotten it in writing before you left. Stay on them until they find or make you another set.
I would think the dealership would be able to pull the numbers from the vin # if no key code tag.
well, is there anything else i can do? i mean, what if they refuse or something?
or they try to make me pay for the extra set?
some friends told me said i should ask to speak to the manager if they give me a hard time?
oh, does anyone know the rules of selling a certified used car? like, if they are required to give out 2 sets of keys instead of 1? some sort of law to protect the buyer?
Go back on Saturday and ask for the key and the tag. If they don't give you what they promised, pull your car up so close to the front door that it prevents any customers from getting in or out of the building. Then take a cab home.
When they call in a panic demanding that you move your car tell them they can move it with the new key they promised, otherwise you'll come back NEXT Saturday to move it for them, maybe.
2019 Kia Soul+, 2015 Mustang GT, 2013 Ford F-150, 2000 Chrysler Sebring convertible
Yup, great idea. I'd just call the Fire Dept and have the guy cited and his car towed.
Why does everything have to be confrontational??
It may be that they really don't have another key for the car and may not be interested in cutting you one.
You can scream and holler all you like, but if they really want to be a-holes, you are SOL.
However, most likely they will cut you a new key and you can go on your merry way.
As for CPO, most CPO programs stipulate 2 keys. I don't know about Honda's.
Of course, you would have had to buy your car as a CPO car to qualify.
Just a guess... but I believe the old farmer was just joking. I believe the emotorcon, " " conveys this quite cleanly. Besides, one saves the parking in front of the dealership door trick for more serious matters... like running out of coffee creamer.
It just makes it a bit easier to duplicate a key, that's all.
On trade in's quite often we don't get extra keys or owner's manuals. You get what we get unless arrangements are made at the time of the sale.
I'm concerned that even if the car is certified, I might have problems with filing claims should problems arise in the future. Thanks in advance for your feedback.
Yes - when a dealer "certifies" a pre owned vehicle, 1) it should be written on your Sales Agreement, in addition to make/model and year, it should also be written that the car is CPO (Certified Pre-Owned). This means the dealership went thru anywhere from 120 to 161 points of inspection before certifying the car. 2) Most dealerships should have prepared brochures re: their CPO coverage. For example most things like wear and tear are NOT covered, (tires, brakes, oil changes) but engine repairs are. A dealers website will can give you what specifically their CPO coverage includes, mileage etc.
Please advise
Thanks!
They sound like they're being a little snotty. Why not tell them you'll meet them half way--you'll put down 10% if they drop the price 10%.
2019 Kia Soul+, 2015 Mustang GT, 2013 Ford F-150, 2000 Chrysler Sebring convertible
Depends on the lender how far they will go. Some use KBB, some use NADA, some use a crystal ball. I can say that, on my past 3 cars, my credit union has told me up front what they feel the car is worth and I've been buying them from dealers for far less than that.
'11 GMC Sierra 1500; '08 Charger R/T Daytona; '67 Coronet R/T; '13 Fiat 500c; '20 S90 T6; '22 MB Sprinter 2500 4x4 diesel; '97 Suzuki R Wagon; '96 Opel Astra; '08 Maser QP; '11 Mini Cooper S