OT: a few questions for you car salesmen/dealers?
03-05-2003, 01:22 PM
#1
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OT: a few questions for you car salesmen/dealers?
I am buying a new tow rig this spring and was wondering how the resale value of a dually compares to that of a standard wheel setup?
Also when it comes to tradeins how do dealers rate what your trade in is worth? book value?
Also when it comes to tradeins how do dealers rate what your trade in is worth? book value?
03-05-2003, 01:42 PM
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go to www.KBB.com and check the trade in price and price it as fair. nomatter how clean it is price it as fair. while you are there pick like a 2000-2001 standard and dually and compare what they are worth now vs new. also when you are ready www.edmunds has alot of good info as far as pricing.. offer them invoice minus rebates and don't pay more than that....
03-05-2003, 11:27 PM
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The SRW trucks are more versatile then the dually. The duallys are limited to a segment of the market that must have dual wheels, whereas the SRW trucks can be used for almost anything. For example, a landscaper or road contractor can't use a dually, but if it was a 3/4 or 1 ton SRW he could use it. If you can use the SRW truck, I would say you'd be better off when it comes resale time. In my opinion, there are more people looking for SRW trucks then dually's.
A smart used car manager appraising a vehicle for a trade always goes to his books as a guide. There is only one wholesalers guide and that is Galves, which few of you have ever heard of. Galves is published weekly and is the most accurate of all books. Of course, there is Black Book which is a wholesale book that comes out weekly, but it's not as accurate in my opinion. After he looks at his books and again I repeat AS A GUIDE......he must then use his auction experience and know what these vehicles are bringing at auction. If he's too low on the trade.........he won't trade it. If he's too high on the trade.......he can't sell it at a profit and also will probably lose his butt if he has to take it to the auction.
The auto auctions dictate what vehicles are worth. The books are ONLY GUIDES.
A smart used car manager appraising a vehicle for a trade always goes to his books as a guide. There is only one wholesalers guide and that is Galves, which few of you have ever heard of. Galves is published weekly and is the most accurate of all books. Of course, there is Black Book which is a wholesale book that comes out weekly, but it's not as accurate in my opinion. After he looks at his books and again I repeat AS A GUIDE......he must then use his auction experience and know what these vehicles are bringing at auction. If he's too low on the trade.........he won't trade it. If he's too high on the trade.......he can't sell it at a profit and also will probably lose his butt if he has to take it to the auction.
The auto auctions dictate what vehicles are worth. The books are ONLY GUIDES.
03-06-2003, 07:32 AM
#4
Boatle$$,
So are you saying that they typically want to get your trade in at the current auction price or how much below auction price?
Also, I saw your post on the Lexus and was wondering, from your experience why are these late model high end cars (lexus, BMW, Mercedes, etc) at these auctions? It seems to me that they are there because the dealer couldn't sell them do to something wrong, i.e. was wrecked or has problems. Is this true or are they good cars. Please set me straight on this.
Thanks,
Rick
So are you saying that they typically want to get your trade in at the current auction price or how much below auction price?
Also, I saw your post on the Lexus and was wondering, from your experience why are these late model high end cars (lexus, BMW, Mercedes, etc) at these auctions? It seems to me that they are there because the dealer couldn't sell them do to something wrong, i.e. was wrecked or has problems. Is this true or are they good cars. Please set me straight on this.
Thanks,
Rick
03-06-2003, 07:55 AM
#6
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Rick,
Most dealers want to get your trade a little less then auction price. They have to take into account reconditioning, transportation, auction fees, etc. in order to get out of the car in case they can't retail it. They don't want to make just money on the car they sold you, they need to make a little on the trade or at least break even.
Cars are at the auction for all different reasons. A lot of highline cars are second cars to people. Example, Porsche, Viper, some convertibles, seasonal cars so to speak. They don't get a lot of mileage put on them. There is nothing wrong with these cars, they just don't get used as much. Currently, I have an '01 Viper with 2,600 miles, an '00 CLK430 Convertible 8k, '01 Jag S 9k, '02 Prowler 900 miles, '00 S500 19k, '01 Boxster S 11k and a lot more.
None of these cars have ever had any paintwork and all of them are in Pristine Condition.
Dealers unload cars if they are on certain "Turns". Most are on a 45 or 60 day turn, some on 90 day turns. What this means is if a dealer is on a 60 day turn, he turns his used car inventory every 60 days, no matter what. This accomplishes 2 things. #1 and most important is the market timing. If he traded the car at the right price, then 60 days later if he has to sell it at auction, he won't get burned too bad if there is a downturn in the market. On the other hand, if there is an upswing in the market he makes a little. Most prudent dealers use this method. #2 it keeps your used car inventory fresh. How many times have you rode by a used car lot and saw the same car sitting there for months? You think you're tired of seeing it on your way home? Think about the saleman, they start to walk away from the car because it's stale and they don't evern show it anymore to a potential customer because for whatever reason, they think nobody would be interested in it.
I personally buy most of my seasonal cars in off season. The best time to buy at auction is between Thanksgiving and New Years. Once New Years come the corner has been turned and prices start edging upward. Dealers work out of anticipation. They start buying 4x4's in August, so that they have their winter inventory and if they don't sell and they're on a 60 day, then they sell Oct/Nov when prices are up on 4x4's. Same with sports and convertibles. Buy Nov/Dec sell in the Spring market, you're ahead of the game and in the black.
Most dealers want to get your trade a little less then auction price. They have to take into account reconditioning, transportation, auction fees, etc. in order to get out of the car in case they can't retail it. They don't want to make just money on the car they sold you, they need to make a little on the trade or at least break even.
Cars are at the auction for all different reasons. A lot of highline cars are second cars to people. Example, Porsche, Viper, some convertibles, seasonal cars so to speak. They don't get a lot of mileage put on them. There is nothing wrong with these cars, they just don't get used as much. Currently, I have an '01 Viper with 2,600 miles, an '00 CLK430 Convertible 8k, '01 Jag S 9k, '02 Prowler 900 miles, '00 S500 19k, '01 Boxster S 11k and a lot more.
None of these cars have ever had any paintwork and all of them are in Pristine Condition.
Dealers unload cars if they are on certain "Turns". Most are on a 45 or 60 day turn, some on 90 day turns. What this means is if a dealer is on a 60 day turn, he turns his used car inventory every 60 days, no matter what. This accomplishes 2 things. #1 and most important is the market timing. If he traded the car at the right price, then 60 days later if he has to sell it at auction, he won't get burned too bad if there is a downturn in the market. On the other hand, if there is an upswing in the market he makes a little. Most prudent dealers use this method. #2 it keeps your used car inventory fresh. How many times have you rode by a used car lot and saw the same car sitting there for months? You think you're tired of seeing it on your way home? Think about the saleman, they start to walk away from the car because it's stale and they don't evern show it anymore to a potential customer because for whatever reason, they think nobody would be interested in it.
I personally buy most of my seasonal cars in off season. The best time to buy at auction is between Thanksgiving and New Years. Once New Years come the corner has been turned and prices start edging upward. Dealers work out of anticipation. They start buying 4x4's in August, so that they have their winter inventory and if they don't sell and they're on a 60 day, then they sell Oct/Nov when prices are up on 4x4's. Same with sports and convertibles. Buy Nov/Dec sell in the Spring market, you're ahead of the game and in the black.
03-06-2003, 01:09 PM
#7
Boatles$$,
Thanks for taking the time to go into that detail on this, I appreciate.
If you don't mind I will look you up when we are ready to get a late model/low mileage BMW 528.
Thanks again,
Rick
Thanks for taking the time to go into that detail on this, I appreciate.
If you don't mind I will look you up when we are ready to get a late model/low mileage BMW 528.
Thanks again,
Rick
03-06-2003, 04:09 PM
#10
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No matter what kind of car or truck I want to trade in the story never changes. It can be low miles and in excellent condition but I always here the same line.
IT'S WHAT THEY ARE GOING FOR AT AUCTION.
It's a waste of time looking in NADA or KBB because the dealers never even come close to these figures.
I was looking at a new truck last week and 2 different salesman told me to sell my truck myself because the apraisers are comming back with way lower figures then book values and I could get more on my own. They were 3 grand lower and I refuse to eat that much when I don't have to.
Might just be around here in NE Ohio, but I doubt it.
Cordell
IT'S WHAT THEY ARE GOING FOR AT AUCTION.
It's a waste of time looking in NADA or KBB because the dealers never even come close to these figures.
I was looking at a new truck last week and 2 different salesman told me to sell my truck myself because the apraisers are comming back with way lower figures then book values and I could get more on my own. They were 3 grand lower and I refuse to eat that much when I don't have to.
Might just be around here in NE Ohio, but I doubt it.
Cordell
