Pre-Purchase Used car prices at insight

Discussion in '7th Generation (2003-2008) [Acura TSX]' started by hondream, Thursday 18th Sep, 2014.

  1. hondream Valued Contributor ★ ★ ★ ☆ ☆

    Simon Walsall
    My girl friends late father was a car dealer until recently.

    He got his used cars from a variety of sources, and then put nearly a 100% markup on them.

    He used say :
    • "not bad work for painting the tyre walls black, and giving it a clean".
    • the warranty isn't worth the paper it's written
    • I just wait for the suckers to turn up and buy it. Some didn't even bother to drive the car.
    He didn't like anyone who new anything about cars.......
    And if there was any good alloys on the car he used fetch them off (and sell them seperately) and put some crappy wheels on.

    So typically this what it cost him, and this is what he advertised the cars for:-

    Car Cost Price Car Advertised Sale Price
    £2,200 £4,000
    £2,475 £4,500
    £2,750 £5,000
    £3,025 £5,500
    £3.300 £6,000
    £3,575 £6,500
    £3,850 £7,000
    £4,125 £7,500
    £4,400 £8,000
    £4,675 £8,500
    £4,950 £9,000
    £5,225 £9,500
    £5,500 £10,000

    So, always expect to get at least a £1000 off the asking price.
    I suspect Main dealers will have larger markups than the above.
  2. Ichiban Founder Staff Team

    England CJ Leeds
    Yup agree its a good business model but will it be sustainable if you follow the above practices.
  3. ArcticFire Club Veteran ★ ★ ★ ★ ★

    Scotland Graham Scotland
    I also think that if you've got your own in-house workshop then you can keep costs even lower by eliminating 3rd party labour charges if you do have to honour warranty claims. Take mine for example:

    Four brand new Dunlops fitted
    Front Parking Sensor
    Wheel Balancing (twice)
    4 Wheel Alignment
    New Clutch Pedal Box
    New Clutch Master Cylinder
    Nearly new Gear Stick unit
    75,000 mile big service
    New Windscreen wipers

    Approximate total: £1,700-£2000

    But replace the labour charges with a direct cost to them instead and it's probably nearer the £1,000 mark. This doesn't include fixing the sticking lifters which they may of ended up having to strip down some of the engine and also the sticking window.

    I'm extremely glad that I decided to only by from a Honda main dealer as I doubt many 3rd Party garages would have done all this so if I were to do it myself then I would have had to find a CR-V of similar age and spec at about £7.500. A quick search on Autotrader (within 50 miles seeing as I've got several Honda dealers in this range) shows only one EX and it's older and has 118,000 miles! So in retrospect, I reckon I got quite a good deal as even with a comprehensive test drive and inspection when going private, there are still all sorts of problems that can happen and you've got no cover.

    Warranty is everything to me though. Arnold Clark appear to have finally discovered how important this is as there used car warranty is now as comprehensive as a new car warranty. It's just a shame it's only 2 months (could be more for more expensive cars though).
    Nels likes this.
  4. hondream Valued Contributor ★ ★ ★ ☆ ☆

    Simon Walsall
    Always helps if they have their own workshop
  5. hondream Valued Contributor ★ ★ ★ ☆ ☆

    Simon Walsall
    And the girl friends late father always drove a new top of the range executive car, usually German or Range Rover.
  6. hondream Valued Contributor ★ ★ ★ ☆ ☆

    Simon Walsall
    And find out what the warranty documents says about servicing the cars.