Car Buying Advice given freely
May 4th 2005, 12:06 am
#31
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Joined: Apr 2001
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Re: Car Buying Advice given freely
Originally Posted by Englishmum
Good for you!
When we were selling our Dodge Caravan we were offered a crap trade-in price from the Volvo dealer. The car was in mint condition, had all the dealer-maintained service records and receipts, had never been in an accident and still had a couple of months left on the warranty.
We decided to sell it privately and we paid to have CarFax info which we printed off to give to anyone who wanted to view and test drive the car.....we put it on a couple of autotrader type websites and had quite a few silly offers online from a few Indian expats who hadn't even been round to see the car! I was getting a bit concerned that no-one was ever going to buy it. A neighbour whom I was chatting with about gardening needed a van to transport plants for a fledgling gardening business she was setting up and bought it from us for $1k more than the dealer was willing to pay.... couldn't ask for what we really wanted as her brother in Co. is a car dealer and had obviously told her the max to pay.
She was astonished that we'd kept all the receipts for servicing and oil changes....I got the impression that most Americans don't do this?
We're not sure what to do when our current car comes up to the time or mileage when the warranty runs out (4 years or 48k whichever is first)....we were used to company cars back in the UK/Singapore so didn't have to consider warranties, but in the States you're up the creek without wheels and knowing our luck that's when everything starts to go wrong on the car.
What do most people on the forums do when their cars reach the end of their warranty period?
When we were selling our Dodge Caravan we were offered a crap trade-in price from the Volvo dealer. The car was in mint condition, had all the dealer-maintained service records and receipts, had never been in an accident and still had a couple of months left on the warranty.
We decided to sell it privately and we paid to have CarFax info which we printed off to give to anyone who wanted to view and test drive the car.....we put it on a couple of autotrader type websites and had quite a few silly offers online from a few Indian expats who hadn't even been round to see the car! I was getting a bit concerned that no-one was ever going to buy it. A neighbour whom I was chatting with about gardening needed a van to transport plants for a fledgling gardening business she was setting up and bought it from us for $1k more than the dealer was willing to pay.... couldn't ask for what we really wanted as her brother in Co. is a car dealer and had obviously told her the max to pay.
She was astonished that we'd kept all the receipts for servicing and oil changes....I got the impression that most Americans don't do this?
We're not sure what to do when our current car comes up to the time or mileage when the warranty runs out (4 years or 48k whichever is first)....we were used to company cars back in the UK/Singapore so didn't have to consider warranties, but in the States you're up the creek without wheels and knowing our luck that's when everything starts to go wrong on the car.
What do most people on the forums do when their cars reach the end of their warranty period?
It sounds like you are perfect lease customers.
You want to stay in warranty, you don't like trading-in, you look after your vehicle. Unless you drive a ridiculous amount of miles leasing is perfect for you.
If you want more info send me a PM.
May 4th 2005, 2:57 am
#32
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Re: Car Buying Advice given freely
Originally Posted by Englishmum
What do most people on the forums do when their cars reach the end of their warranty period?
What do you do when your washing machine, tv, dvd, PC, cooker etc etc etc is out of warranty?
Back to principals, the BIG cost for most people is depreciation and the biggest depreciation hit is when you drive it off the forecourt, whether you buy, lease, HP, borrow, whatever.
May 4th 2005, 3:31 am
#33
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Re: Car Buying Advice given freely
Originally Posted by Boiler
This is the first new car I have every owned that had a warranty of more than 12 months.
What do you do when your washing machine, tv, dvd, PC, cooker etc etc etc is out of warranty?
Back to principals, the BIG cost for most people is depreciation and the biggest depreciation hit is when you drive it off the forecourt, whether you buy, lease, HP, borrow, whatever.
What do you do when your washing machine, tv, dvd, PC, cooker etc etc etc is out of warranty?
Back to principals, the BIG cost for most people is depreciation and the biggest depreciation hit is when you drive it off the forecourt, whether you buy, lease, HP, borrow, whatever.
It doesn't matter whether you buy new or used from a depreciation point of view. The Used Car lot has an unknown amount of profit in their price, unlike a new vehicle where the invoice price is, unfortunately, fairly public.
Try to re-sell your Used vehicle the next day and you will find out what I mean.
Leasing makes the most sense for the most people. It is a shame that most people do not realise it. If they did they would never be out of warranty and never upside down. Hardly anybody "owns" their car, the vast majority have a lien with some lender or other.
May 4th 2005, 3:47 am
#34
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Posts: 2
Re: Car Buying Advice given freely
Originally Posted by TRPardoe
It doesn't matter whether you buy new or used from a depreciation point of view. The Used Car lot has an unknown amount of profit in their price, unlike a new vehicle where the invoice price is, unfortunately, fairly public.
Try to re-sell your Used vehicle the next day and you will find out what I mean.
Leasing makes the most sense for the most people. It is a shame that most people do not realise it. If they did they would never be out of warranty and never upside down. Hardly anybody "owns" their car, the vast majority have a lien with some lender or other.
Try to re-sell your Used vehicle the next day and you will find out what I mean.
Leasing makes the most sense for the most people. It is a shame that most people do not realise it. If they did they would never be out of warranty and never upside down. Hardly anybody "owns" their car, the vast majority have a lien with some lender or other.
Its getting boring stating the obvious that leasing is not a good idea for most people, you could of course be the exception that proves the rule.
Never had a loan on a car, apart from one because it was at 0% if that counts, other members of my family have but all are currently paid off.
I know the American way is to bury yourself in debt and keep digging, as far as I am aware it is not legally mandated.
I have borrowed for 'investment', I have borrowed on depreciating assets but always begrudingly and paid it off asap.
May 4th 2005, 3:53 am
#35
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Re: Car Buying Advice given freely
Originally Posted by Boiler
Invoice is not net to the Dealer. I bought mine well under Invoice and I am sure that the Dealer made money, see previous posts with links to sites that give good advise.
Its getting boring stating the obvious that leasing is not a good idea for most people, you could of course be the exception that proves the rule.
Never had a loan on a car, apart from one because it was at 0% if that counts, other members of my family have but all are currently paid off.
I know the American way is to bury yourself in debt and keep digging, as far as I am aware it is not legally mandated.
I have borrowed for 'investment', I have borrowed on depreciating assets but always begrudingly and paid it off asap.
Its getting boring stating the obvious that leasing is not a good idea for most people, you could of course be the exception that proves the rule.
Never had a loan on a car, apart from one because it was at 0% if that counts, other members of my family have but all are currently paid off.
I know the American way is to bury yourself in debt and keep digging, as far as I am aware it is not legally mandated.
I have borrowed for 'investment', I have borrowed on depreciating assets but always begrudingly and paid it off asap.
Anyone can buy "below invoice" when factory rebates are taken into account. You would be hard pressed to find a dealer who will sell below invoice out of his own pocket.
If you have never borrowed to get a vehicle you are very much the exception.
Regardless of your own opinion on leasing, which suits your exceptional position on borrowing, leasing is the best option for most new vehicle "buyers". That's why most people in this business lease their personal vehicles.
When I offer free vehicle advice I do it, as a knowledgable professional person, to help people out on this forum. I have never made a single penny from any of it's members or even attempted to sell to them.
May 4th 2005, 4:16 am
#36
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Posts: 2
Re: Car Buying Advice given freely
I only knew about Ford, Peugeot and (ex) Rover in the UK, there most employees bought rather than leased. I do not know anybody who leased.
Read and make your own mind up:
http://www.carbuyingtips.com/lease.htm
I would not agree with absolutely everything on this site, but I do agree with this quote
"Leasing is not right for most people"
Read and make your own mind up:
http://www.carbuyingtips.com/lease.htm
I would not agree with absolutely everything on this site, but I do agree with this quote
"Leasing is not right for most people"
May 4th 2005, 4:38 am
#37
Gone but not forgotten. RIP
Thread Starter
Joined: Apr 2001
Posts: 1,570
Re: Car Buying Advice given freely
Originally Posted by Boiler
I only knew about Ford, Peugeot and (ex) Rover in the UK, there most employees bought rather than leased. I do not know anybody who leased.
Read and make your own mind up:
http://www.carbuyingtips.com/lease.htm
I would not agree with absolutely everything on this site, but I do agree with this quote
"Leasing is not right for most people"
Read and make your own mind up:
http://www.carbuyingtips.com/lease.htm
I would not agree with absolutely everything on this site, but I do agree with this quote
"Leasing is not right for most people"
May 4th 2005, 4:47 am
#38
Powder Maggot
Joined: Nov 2004
Location: Nuevo Mexico
Posts: 4,452
Re: Car Buying Advice given freely
If you want to be on payment plans for your entire car driving life, then leasing is right for you.
May 4th 2005, 5:35 am
#39
Mr. Grumpy
Joined: Jun 2003
Location: Nashville, TN
Posts: 3,100
Re: Car Buying Advice given freely
Originally Posted by AdobePinon
If you want to be on payment plans for your entire car driving life, then leasing is right for you.
Back To Back Leases Cost you More in The Long Run
This is because you suffer 50% depreciation on a new leased car every 3 years. At lease end, bring the car back and buy it or lease another. It's like renting an apartment instead of owning a house. Dealers trick you by stating leasing is a better investment than buying. No car is an investment, but I'd rather have 100% equity after 3 years, than 0%.
Bottomline if you want to be financially sound then purchase a used car and finance it privately through a bank or credit union
when it comes to sell - sell it privately.
May 4th 2005, 5:41 am
#40
Mr. Grumpy
Joined: Jun 2003
Location: Nashville, TN
Posts: 3,100
Re: Car Buying Advice given freely
Originally Posted by Englishmum
We're not sure what to do when our current car comes up to the time or mileage when the warranty runs out (4 years or 48k whichever is first)....we were used to company cars back in the UK/Singapore so didn't have to consider warranties, but in the States you're up the creek without wheels and knowing our luck that's when everything starts to go wrong on the car.
What do most people on the forums do when their cars reach the end of their warranty period?
What do most people on the forums do when their cars reach the end of their warranty period?
something may go wrong, but you should be easily able to afford to pay for a repair as you should no longer have a car payment
May 4th 2005, 6:20 am
#41
Gone but not forgotten. RIP
Thread Starter
Joined: Apr 2001
Posts: 1,570
Re: Car Buying Advice given freely
Originally Posted by BritGuyTN
Taken from the above website:
Back To Back Leases Cost you More in The Long Run
This is because you suffer 50% depreciation on a new leased car every 3 years. At lease end, bring the car back and buy it or lease another. It's like renting an apartment instead of owning a house. Dealers trick you by stating leasing is a better investment than buying. No car is an investment, but I'd rather have 100% equity after 3 years, than 0%.
Bottomline if you want to be financially sound then purchase a used car and finance it privately through a bank or credit union
when it comes to sell - sell it privately.
Back To Back Leases Cost you More in The Long Run
This is because you suffer 50% depreciation on a new leased car every 3 years. At lease end, bring the car back and buy it or lease another. It's like renting an apartment instead of owning a house. Dealers trick you by stating leasing is a better investment than buying. No car is an investment, but I'd rather have 100% equity after 3 years, than 0%.
Bottomline if you want to be financially sound then purchase a used car and finance it privately through a bank or credit union
when it comes to sell - sell it privately.
Dealers do not trick you when they sell leases. For the buyer who want to stay in warranty and who wants never to be upside down when they get their next vehicle, a lease is the best, if not the only option.
If you are in the minority who keep their vehicle for the long haul, who don't mind paying repair bills and who don't mind selling it privately, then sure - leasing isn't for you. However you are not the average driver and please don't try to persuade everyone here that you are.
May 4th 2005, 6:20 am
#42
Not living a 9 to 5 life
Joined: Jun 2002
Location: North Carolina
Posts: 11,061
Re: Car Buying Advice given freely
Originally Posted by TRPardoe
I completely disagree with that statement.
NC Penguin
May 4th 2005, 6:25 am
#43
Not living a 9 to 5 life
Joined: Jun 2002
Location: North Carolina
Posts: 11,061
Re: Car Buying Advice given freely
Originally Posted by TRPardoe
<<snip>>
Dealers do not trick you when they sell leases. For the buyer who want to stay in warranty and who wants never to be upside down when they get their next vehicle, a lease is the best, if not the only option.<<snip>>
Dealers do not trick you when they sell leases. For the buyer who want to stay in warranty and who wants never to be upside down when they get their next vehicle, a lease is the best, if not the only option.<<snip>>
Forearmed is forewarned...
NC Penguin
May 4th 2005, 6:28 am
#44
Homebody
Joined: Jan 2005
Location: HOME
Posts: 23,182
Re: Car Buying Advice given freely
Originally Posted by TRPardoe
This is an attitude problem.
Dealers do not trick you when they sell leases. For the buyer who want to stay in warranty and who wants never to be upside down when they get their next vehicle, a lease is the best, if not the only option.
If you are in the minority who keep their vehicle for the long haul, who don't mind paying repair bills and who don't mind selling it privately, then sure - leasing isn't for you. However you are not the average driver and please don't try to persuade everyone here that you are.
Dealers do not trick you when they sell leases. For the buyer who want to stay in warranty and who wants never to be upside down when they get their next vehicle, a lease is the best, if not the only option.
If you are in the minority who keep their vehicle for the long haul, who don't mind paying repair bills and who don't mind selling it privately, then sure - leasing isn't for you. However you are not the average driver and please don't try to persuade everyone here that you are.
But let's face it, most people would do better getting a 2-3 old used car and keeping it for another 2-3 years. With data resources that are available now, it shouldn't be too difficult to find out which makes and models have a good long-term track record (and resale value).
I think the fact that car ads emphasise monthly payments rather than the total cost of the car is a clear indicator that the industry doesn't want people to think in terms of the latter. (I remember when we were buying our current car I had to ask the salesman FOUR times for a calculator so I could work this out. In the end we paid cash, which they found extremely 'strange'...)
May 4th 2005, 6:28 am
#45
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Thread Starter
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Posts: 1,570
Re: Car Buying Advice given freely
Originally Posted by NC Penguin
You're hardly likely to disagree because selling vehicles is your livelihood!
NC Penguin
NC Penguin
Not quite true, I was extolling the virtues of leasing.
It makes no difference to my income whether my customers lease or buy. I am absolutely convinced that for most customers leasing is the best option.
The contributors here who seem to oppose that view most vehemently have a closeted view of the car business and do not represent the average customer.
A happy customer is the one who comes back to you and buys/leases again. What would be the point in selling them something which would not work for them ? That's how you reduce your own income - where's the sense in that ?
