MoparFins

Please login or register.

Login with username, password and session length
Advanced search  

News:

We changed servers, which is good, and lost all passwords, which is bad. See above.

Pages: [1] 2 3   Go Down

Author Topic: I suspected most of this . . Buying a new car!  (Read 1848 times)

Steve

  • Administrator
  • Hero Member
  • *****
  • Karma: +1/-0
  • Posts: 8653
    • View Profile
I suspected most of this . . Buying a new car!
« on: April 16, 2008, 02:34:29 PM »

It's long, but mannnnn it fills in someof my suspicions
 
http://www.edmunds.com/advice/buying/articles/42962/article.html
Logged
Favorite Expression. . . Damned Kids.  Lots of projects.  Donations accepted

Stan Paralikis

  • Hero Member
  • *****
  • Karma: +0/-0
  • Posts: 114897
    • View Profile
I suspected most of this . . Buying a new car!
« Reply #1 on: April 16, 2008, 03:01:23 PM »

I'd rather have my cajones squeezed in a vise while someone drilled all my teeth without novacaine rather than walk into a showroom wanting to buy a car...

Bill

  • Sr. Member
  • ****
  • Karma: +0/-0
  • Posts: 376
    • View Profile
I suspected most of this . . Buying a new car!
« Reply #2 on: April 16, 2008, 03:24:05 PM »

Nah I enjoy it.. I always walk in preapproved from my credit union and leave the wife to feast on the vultures......  after a while they come begging me to take her and whatever car I was interested in off the lot...
Logged

Matt Aker

  • Sr. Member
  • ****
  • Karma: +0/-0
  • Posts: 371
    • View Profile
I suspected most of this . . Buying a new car!
« Reply #3 on: April 16, 2008, 03:56:52 PM »

You guys are weak!  I spent the last hours of daylight here trying to get my Coupe DeVille to run today...  When it caught it purred like a kitten...  It'll go ANYWHERE with enough fuel!  Like it or lump it!
 
Why buy a new car?  Revitalize and OLD one!  My '68 Polara was the SAME way!  The longer you ignored it the worse it got!  My old JUNK started and ran well and will live again!    We need all the help we can get ...  All it took was a little ethyl spray (starting fluid)....
Logged
Matt

I love don't YOU?  Cause I never grew up!

Steve

  • Administrator
  • Hero Member
  • *****
  • Karma: +1/-0
  • Posts: 8653
    • View Profile
I suspected most of this . . Buying a new car!
« Reply #4 on: April 16, 2008, 04:12:28 PM »

We usually trade in every 3 years. . but we're done.  Well maybe.  The Jury is still out on my truck with the diesel. . .   They just flashed the pooter again, so we'll see.  Haven't driven it in a week.
 
My beef is, these tactics were never used at the dealer I bought from.  The salesman, Dan Karey, would give you a price, jot it down on a piece of paper and hand it to you.  Process was all of 10 minutes.  But the owners sold the dealership to these new shiesters.  The Diesel I bought before the sale of the dealership so I dealt with the old owners.  But the 1500 I bought for Colorado and my wifes charger, I got flim flammed and ripped off.
 
I spent $125,000 there last year. . .  The new owner knows I am pissed.  He holds open a door for me and I go the other way now.  I heard he just fired the masked bandit who acted as the sales manager.  Talking about smoke and mirrors. . .  . I got sucked in on that one. . . 
 
After reading this article, it filled in the blanks for me.  That's what I get for being in a rush
Logged
Favorite Expression. . . Damned Kids.  Lots of projects.  Donations accepted

steve fogel

  • Hero Member
  • *****
  • Karma: +0/-0
  • Posts: 586
    • View Profile
I suspected most of this . . Buying a new car!
« Reply #5 on: April 16, 2008, 08:09:08 PM »

what a shocker !   salespeople trying to make money?.......unbelievable!......it's amazing how many people think they can buy a car for what it costs to put it together........they have to eat too you know........it's not a matter of if they're going to make money, it's how much they're going to make off of you......it's your job as the buyer to keep it to a minimum.....the car companies make money, the unions make money, the auto workers make money, the parts guys make money, the gas guys make money, the government TAKES money, and we're shocked that auto dealers make a profit?........remember the old saying, "If you have to ask the price, you can't afford it".......if you have to Richarder for more than 5 minutes, then you probably should buy something less costly for your budget......anything else is wasting time and money.........I hate wasting time, if it's a reasonable price, I pay it, realizing the guy might be making a buck off of me........if it's not reasonable, walk away..........unless they're holding a gun on you
Logged

Steve

  • Administrator
  • Hero Member
  • *****
  • Karma: +1/-0
  • Posts: 8653
    • View Profile
I suspected most of this . . Buying a new car!
« Reply #6 on: April 16, 2008, 08:34:17 PM »

I certainly don't deny a profit to anyone.  But I do believe they gouge.  This is inexcusable.  If a car salesman is making 25,000 a month in sales, then there is something wrong.  If he can make that much, what the hell are we doing?
I'm surprised they don't hire direct from the penitentiaries!   
 
Logged
Favorite Expression. . . Damned Kids.  Lots of projects.  Donations accepted

Bill Mounteer

  • Sr. Member
  • ****
  • Karma: +0/-0
  • Posts: 340
    • View Profile
I suspected most of this . . Buying a new car!
« Reply #7 on: April 16, 2008, 10:16:34 PM »


A long, but very interesting read.

Young and stupid doesn't even begin to cover my early experiences.  When I bought my first couple of cars, especially when I had a trade in, I basically as the author wrote "got my head ripped off".

Now I never use a trade in, always arrange my finances in advance and use the Internet to decide exactly what options and the price I should be paying taking into account hold backs and promos. Then I use the Internet to search local dealer inventory for the exact car I want and take note of his stock number. On the last Friday of the month,  I arrive at the dealer and ask using his SKU number for a  test drive. If everything clicks for me, I tell the salesman how much I'm will to pay and if we have a deal, I want the vehicle  prepped and ready to go by 5 PM.  When the salesman says he has to run it by the sales manager, I tell him I've an errand to run and I'll call in an hour or so to see if we have a deal.

I don't attempt to get every nickle on the table, after all everybody has to make a living, I just try to limit my contribution.
Fury4402008-04-17 03:18:35
Logged
Some days you eat bear, some days the bear eats you!

firedome

  • Hero Member
  • *****
  • Karma: +0/-0
  • Posts: 3644
    • View Profile
I suspected most of this . . Buying a new car!
« Reply #8 on: April 18, 2008, 05:36:42 AM »

I never buy a car under 5 yrs old... you're getting murdered with
depreciation. I never borrow money for anything that depreciates. Pay
cash, drive it forever.  I drive a 21 yr old Volvo... I'd much
rather buy real estate. My daughter has followed my advice:  at
the age of 31 she now owns 2 houses in NY, 1 house in Iowa, and a
waterfront 2 acre lot in Jamaica. And she drives a 1990 Olds 98. 

Logged
Fuselage C-Body Power!!!

Herman

  • Hero Member
  • *****
  • Karma: +0/-0
  • Posts: 528
    • View Profile
I suspected most of this . . Buying a new car!
« Reply #9 on: April 18, 2008, 07:11:36 AM »

What is this 'new car'-thing you guys are talking about anyway?





Bill Mounteer

  • Sr. Member
  • ****
  • Karma: +0/-0
  • Posts: 340
    • View Profile
I suspected most of this . . Buying a new car!
« Reply #10 on: April 18, 2008, 10:36:44 AM »


I've believed for a long time that the "new" car thing is, in the long run, the best way to have reliable wheels without going broke or spending half your life fixing the silly thing.  If you compare costs over a long time, buying a series of used cars and keeping up with the repairs is actually more expensive than buying a new one and driving it till the wheels fall off. As such the last time I bought a used car was in 1969.

Since then I've purchased only large V8, usually loaded, with extended warranties and then drove them a minimum of 10 plus years. For example my '95 Crown Vic, fully loaded was $27,000 and over the last 13 years I've spent maybe $1,500 for repairs other than consumables like fuel, oil, tires, brakes, etc.  Assuming the car is now worth $1,500, my cost has been roughly $2,100 per year or $175/mth.  My '78 Buick Wagon, a fully loaded 403 estate wagon was about $18,000 and I spent about $2,000 on basic repairs over the 17 years I owned it. That's about $1,200 /year or $100/mth.

The problem of course is you can't finance them unless you can get a super low interest rate and sure can't flip them every couple of years or you'll really take a bath. To avoid the desire to flip my cars, I always buy fully loaded with all the toys so that won't get bored with it and start looking at new ones. 

Currently I have an 06 Jeep with everything but a kitchen sink and a 7 year bumper to bumper warranty.  Granted at $58,000 the Jeep was probably a dumb idea, but at my age I've rationalized that it's time I stopped being frugal and do some silly spending.

Speaking of silly spending, how bright is it to buy a ton of parts to restore an old car that when rebuilt to pristine condition is probably at best only worth 25 cents on the dollar invested?

Fury4402008-04-18 15:40:14
Logged
Some days you eat bear, some days the bear eats you!

Steve

  • Administrator
  • Hero Member
  • *****
  • Karma: +1/-0
  • Posts: 8653
    • View Profile
I suspected most of this . . Buying a new car!
« Reply #11 on: April 18, 2008, 11:19:06 AM »

On the contrary
 
If you have a reputation for trading in super maintained/clean cars like I do, you get top dollar on a trade.  Especially the diesel trucks.  I usually get 28 to 30,000 on mine on a trade, three years old.
Logged
Favorite Expression. . . Damned Kids.  Lots of projects.  Donations accepted

Bill Mounteer

  • Sr. Member
  • ****
  • Karma: +0/-0
  • Posts: 340
    • View Profile
I suspected most of this . . Buying a new car!
« Reply #12 on: April 18, 2008, 01:38:31 PM »

That is a surprise.

As a raw indicator most three leases seem to have a 50% of current market buyout value which ignoring differences between retail and wholesale pricing means you are paying close to 50 cents on the dollar for asset depreciation. This only gets worse if you lease or finance the purchase because of paperwork setup fees and interest charges. Sure they may give you what appears to be more on a trade, but did they really? After all the coin is converted to a common denominator of either a wholesale or retail you may get a shock at how well dealers do on trades. I suggest before you trade any vehicle, you obtain an independent valuation so that you are armed with both the wholesale and retail valuations.  Even then it's very difficult to be sure you are getting a fair deal.

If I was a new car dealer I'd love to have my customers cross my door every 3 years looking for the latest and greatest.  On the other hand I'd probably go broke if everyone came back in 10 to 15 years with cash and no trade-in. Considering typical dealer volumes, cash deals with no trades or financing make it difficult for them support their overheads without gouging in the service areas. As it is they gouge you on purchase and then hit you again on service, that is if you are willing to play the game.


Logged
Some days you eat bear, some days the bear eats you!

Matt Aker

  • Sr. Member
  • ****
  • Karma: +0/-0
  • Posts: 371
    • View Profile
I suspected most of this . . Buying a new car!
« Reply #13 on: April 18, 2008, 03:16:33 PM »

Hence the reason why I am not a Hoyty Toyty like my parents...  My newest car was a 1978 Lincoln that I bought in 1990.  The math is easy.  My parents trade every two years and thier newest intake is an Eddie Bauer Exploder...  for shame I told Dad!  The Buick Lucerne it replaced was a far nicer ride.  These two pay up-front for thier cars remember.
 
The best cars I have owned I had for ten years or more!  My '66 NYer, '68 Polara and my '83 Coupe DeVille.  I bought them cheap and got reliable service in return.  The Coupe DeVille sits outside right now and is ready for duty, as ugly as it is.  It starts, runs and stops....
 
I remember a time when my folks bought cars with longevity in mind, which is where I learned my frugality in car buying.  Dad's investments have paid him well after the long run, and I'm rolling pennies fer smokes  COUGH!....
Logged
Matt

I love don't YOU?  Cause I never grew up!

Stitcherbob

  • Hero Member
  • *****
  • Karma: +0/-0
  • Posts: 13606
    • View Profile
I suspected most of this . . Buying a new car!
« Reply #14 on: April 18, 2008, 08:12:30 PM »

What is this "trading in" that you speak of? 

I buy what I want to keep forever.....I still have my first new car (85 Omni GLH Turbo) and my second (89 Dakota convertible).....The Omni has started to leave the bottom of the depreciation curve and climb back up to what it cost me new ($9,000). The truck, at $19,000 new,  may take a little longer....

I wanted low production collectible cars. I paid sticker for them, which is better than paying the bumped -up prices that started to come on those kinds of models starting with the Vipers and Prowlers. When the Crossfire came out, there was an added MVA charge over sticker because of the stir that these cars caused. Now you can't give 'em away at $18,000 off sticker price! The new Challenger is going to be a wake-up call to the dealers. They will make too many of them to be charging MVA ("Market value adjusted" price....their term, not mine!)


Logged
They treat me like dirt! I'm better than dirt! Well better than most kinds of dirt. Maybe not as good as store-bought dirt.Thats got nutrients & stuff
Pages: [1] 2 3   Go Up
 

© 2008-2014 Steve Hobby • © 2015 Allpar, LLC