Trade-in value plummeting?
#31
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Originally Posted by v_therussian' post='934816' date='Jul 7 2009, 01:39 AM
PS do remember that dealer are in business to make money too, so don't be surprised if they won't sell you a car without making 1-3 grand on it. IMO it is fair to let the dealer have up to 1.5K on a REALLY good deal of a car. But normally, between 1 and 2 grand is ok. Anything above that, try to neg it down. Start negging at their loss - see if they can let go of some inventory at a loss, especially, if you're buying new.
I don't mind letting the dealer make $3,000 to $4,000 on a $60,000 transaction.
I usually pay cash for cars. I was spoiled in the past by a boss who loved cars, and who had spent his life in many areas of purchasing. To indulge his hobby, he would help anyone in the office by assisting in the process. It got to the point where word got around, and he ended up getting involved with many people in the entertainment business who had money and specific requests, but due to shooting on location, or just their working hours, they called the dealer and told him their agent would be buying a car on their behalf. Before long, he was well known to the Beverly Hills and Burbank dealerships, and was buying a few cars a week for some very well-heeled clients.
Soon after, he retired from his day job, and went full time into the celebrity car handling business. He would handle the purchase, service, registration, and any other car-related details. He charged 5% of the deal price, and $250 per hour after that. He would personally deliver the cars and teach the owners how to operate them and set the computer, GPS, etc. For his clients, time was more important than money, and he held the power to keep the dealers on their toes and straight.
The key to this was his reputation for complete honesty and confidentiality with his clients and the dealers. He refused "spiffs" from the dealers to sweeten the deal, and provided a great service. He would never tell tales out of school.
I think he retired for good and sold the business, and it only lasted about a year after he sold it.
In any case, your skills are valuable.
Which gets me to thinking. I should track him down, send him first class tickets, and pay his fee to see if he is still willing to provide this service.
With the skills and knowledge you have, and with a few key dealer relationships, you might earn some good money on the weekends...
Thanks!
#32
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Its not all bad, I paid ?12999 for my car and was offered last week ?13999 against a car costing ?23999, I have had the car 8 months.
Only reason I never went for it is because I cannot be sure the car I was looking at is the right one for me
Only reason I never went for it is because I cannot be sure the car I was looking at is the right one for me
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#33
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#35
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I went to trade in a pretty clean vw for a leased 328i. They offered $4500 on the trade in. I sold it in 3 days on autotradder for $7500. I got over 50 calls in the week it was on autotrader. The key is to set a reasonable price. If the average price on autotradder for your car is 20k, sell it for $18k firm. Your likely to get a serious buyers instead of tire kickers trying to low ball you.
#36
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I am a dealer. BMW's and Mercedez always drop in pricing. I can buy a 06 530 with say 30k on the motor for about 20 grand. It's sad I know..
#37
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Does it matter? ANY car you buy will depreciate (there's a reason I would only buy CPO). If you want a car that will remain the same or go up in value visit a classic car auction, otherwise, it's a car - not an investment, because if you consider it an investment you are delirious.
#38
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Originally Posted by 149' post='933680' date='Jul 6 2009, 01:59 AM
Looking to trade my 2004 525i with 50,000 miles, in great shape inside and out. Has most options AS, ARS, Sport Package, and the good stuff.
I asked the dealer how much he would give me in trade for a new 2009 or 2010 5-Series. He said $12,000 if I paid the sticker price on the new 5.
They told me the value has "plummeted" due to the economy. I told him this was $8,000 under the Kelly Blue Book, and he told me the market has recently collapsed for used BMWs.
He said the KBB always lags "reality." I showed him a July 2nd print-out from the KBB site.
I walked over to a 2004 525 with fewer features than mine and 80,000 miles on the odometer on the same dealer's lot with a $24,999 price on the windshield.
Is there a decent, honest BMW dealer left?
I asked the dealer how much he would give me in trade for a new 2009 or 2010 5-Series. He said $12,000 if I paid the sticker price on the new 5.
They told me the value has "plummeted" due to the economy. I told him this was $8,000 under the Kelly Blue Book, and he told me the market has recently collapsed for used BMWs.
He said the KBB always lags "reality." I showed him a July 2nd print-out from the KBB site.
I walked over to a 2004 525 with fewer features than mine and 80,000 miles on the odometer on the same dealer's lot with a $24,999 price on the windshield.
Is there a decent, honest BMW dealer left?
it is sales my friend, dont take it personally its just business.
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I posted this on another thread but here it is again. My neighbor who works for a Chevrolet dealership took a trade in for a 2004 545 with somewhat over 50k. They took the trade for $14,500. He liked mine so much that he purchased it from the dealer with a $500 premium for $15,000. These are tough times for trade-ins. Btw, the car is loaded with SP, HUD, NAV, PREM PKG, auto shades, etc.
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Originally Posted by gotabyte' post='938835' date='Jul 10 2009, 03:42 PM
I posted this on another thread but here it is again. My neighbor who works for a Chevrolet dealership took a trade in for a 2004 545 with somewhat over 50k. They took the trade for $14,500. He liked mine so much that he purchased it from the dealer with a $500 premium for $15,000. These are tough times for trade-ins. Btw, the car is loaded with SP, HUD, NAV, PREM PKG, auto shades, etc.
Yikes! Somebody at the Chevy dealership needed to put food on the table! Such is the law of supply and demand.