How to Score a Good Deal Buying Used Car

RockSand on 07/10/2019 - 14:52
Last edited 07/10/2019 - 15:42 by 1 other user

Good day people,

Just wondering if anyone has neat tips and tricks on finding bargains on cars? Dont think they are posted here often or at all lol

I am after my first car and being a savvy saver I'm going for used and cash payment. Budget is $10k ish, most important is value for money, not necessarily the cheapest on the market.

Would you recommend secondhand dealer or manufacturer? I'd like to stay away from private deals if possible to be on the safe side.

Is it timing as well? eg purchase close to EOFY, when dealers ring up books, etc

Any insights are much appreciated! Cheers!

Edit: just to be clear, I didnt mean things like haggling with a dealer, more like "promo code" type of car bargains

Automotive

Comments

  • Zedsdeadbabyzedsdead on 07/10/2019 - 14:58
    +3

    Spackbace will be here shortly to answer all questions. The resident car guru:)

  • k-rokfm on 07/10/2019 - 15:07
    +1

    Research research and more research

  • Skramit on 07/10/2019 - 15:31
    +1

    I'd like to stay away from private deals if possible to be on the safe side.

    Dealers
    Pro: Feels more official/safe, statutory warranty.
    Con: Higher prices, can get boned with a lemon.

    Private
    Pro: Lower prices
    Con: Feels less secure/safe, no statutory warranty, can get boned with a lemon.

    IMO the risks of dealer vs private are of a similar weighting. Sounds like you're after the comfort of a 12 month used car warranty which I understand. But be aware, a dealer is always gonna try to make a couple of thousand on a used car. So you will naturally be paying more at a dealer than privately.

    Is it timing as well? eg purchase close to EOFY, when dealers ring up books, etc

    Not for used cars. This only applies for new cars.

    Would you recommend secondhand dealer or manufacturer?

    Neither. I would always buy a used car privately to save big $$$. But if you insist on buying a used car from a brick and mortar dealer, either a manufacturer dealer or a dedicated used car yard is okay. But both with still be needing to make a decent margin on top of the price they acquired the stock for (from a trade in or wholesaler).

    It really depends on what sort of car you're after. If you're after a high volume type car like a Corolla or Mazda 3, then you should be able to find a decent deal at a dealer whos trying to get rid of a traded in vehicle. But for less common cars you don't wanna narrow your search too much to just dealers or you'll be cutting out half the market.

    • RockSand on 07/10/2019 - 15:38
      -1

      Hey thanks for the meaty reply, I have a feeling a reputable dealer would not try to trick you into buying junk as they are after a long time business with services and referral? Or am i too naive

      • Skramit on 07/10/2019 - 15:45
        +1

        You are naive. Sorta.

        It's not that they will try to trick you necessarily (though some might :P)….its more that they may not even know the car that got traded in to them is a lemon or was in 6 crashes etc. etc. They just wanna move the stock off their yard. Sure it's had a mechanical once over by 'their' mechanic but he/she is not paid to deep dive on every cars history. They are there to make sure it can be sold.

        The risk always exists with used cars. Whether private or dealer. Dealers of course have their reputation to factor in, but that wont stop them selling you a car with a notoriously unreliable gearbox.

        There's lots you can do to minimise this risk for example:
        - Get an independent mechanical inspection prior to purchase.
        - Go with a make model and year that has a good reputation for reliability
        - Look for cars with on-time and correct service history, eyeball it for yourself in the log books. Do not take a dealers word for it.
        - Ensure when you buy, the dealer provides 12 months of statutory warranty. Some might even throw in a free service etc.

        • crentist on 07/10/2019 - 17:59
          +1

          To add to this, dealers aren't that selective about what they buy or don't buy. They probably just take whatever comes through the door, which probably usually comes from people who aren't knowledgeable enough about cars to know they are getting screwed, and/or are too lazy to bother selling privately.

          So I wouldn't trust them to have a much better selection than private sales anyway, where you can at least get a sense of who the owner actually is and if they might have taken care of it.

          Personally, the only time I've elected to sell to a dealer vs privately is when our car was showing signs of expensive gearbox issues and I didn't want the guilt of screwing over some poor individual and slugging them with a lemon. With a dealer, much less guilt, and the consolation of knowing that they completely screwed me on the price of what they thought was a "good" car, partly to ensure their own profit, and partly because they expect a few lemons now and then.

          • Architectonic on 26/10/2019 - 14:50

            @crentist: Yep, sell cars with intermittent issues to dealers and the good cars are sold privately. This has been the way we've done it for years in my family.

  • spackbace on 07/10/2019 - 15:33
    +6

    Dont think they are posted here often or at all lol

    Holy shit seriously? It gets asked every week, do a search!

    • Skramit on 07/10/2019 - 15:33
      +1

      Don't be rude. ANSWER THE MAN!

    • RockSand on 07/10/2019 - 15:35

      I meant under deals sorry! I did a quick skim through previous car forum threads but couldnt find a relevant one for the last couple of weeks or so. Do you have a specific thread in mind?

  • koplik8 on 07/10/2019 - 16:04

    If your going to a dealership and they wont budge on the price hit them up for a fuel voucher. They can use it as a tax right off. I did that at Holden when I bought my $30k Commodore. They were giving away $500 Caltex vouchers for new cars. They pulled the well we can't do that. I kept saying well you can you just don't want to- it's a tax right off anyway. I wouldn't budge so they knocked a couple of hundred off the price of the car. If they doesn't work try to get at least a free tank of fuel.

    • PissLUR on 07/10/2019 - 16:18

      tax write off?

    • malich on 07/10/2019 - 17:10

      Discounting the car would be a better method of reducing tax payable. Reduced revenue, reduced stamp duty & GST payable.

    • koplik8 on 08/10/2019 - 12:49

      Yes, a tax right off for the car dealership.

      • PissLUR on 09/10/2019 - 13:54
        +1

        what is a tax right off?

  • cloud68 on 07/10/2019 - 17:17
    +5

    In my experience, to save money on used car:
    NEVER buy from dealer. It's just me. Too many horror stories from friends and family.
    Be patient. I bought a 5 yo Mitsubishi lancer clocked under 10k. Yes, 10k. Too good to be true. But upon inspection everything clicked. You can tell by logic the car has not been used much at all.
    After 3 years use I can sell it for $500 less than what I paid for. Slowly find an owner who move overseas soon, and give them good - cheap - fair offer, and tell them they can use it until the last day before the depart overseas. This will give them peace of mind to keep using the car and convenience to let it go on the last day. They will seriously consider the cheaper offer. I did this twice and get awesome deal. Really trust your gut on inspection. If anything smells a tiny bit funny, turn around and run the other way. Don't look back. A guy was trying to sell me a wrecked car that had been fully repainted but it is so obvious by just how hard he is trying to sell it. A lot more stories I can tell but anyway good luck and be patient. All the best!

  • SlavOz on 07/10/2019 - 18:16
    +1

    You are never going to get a good deal from a dealership. They need to make money so their cars are marked up in price. Unless you have a very strong bargaining chip, they're not going to drop the price more than a couple of grand, which still means youll be paying the higher end of the cars value.

    Buy private. It's good deals galore. Most people are eager to sell and don't like wasting time so you can haggle them down easily. If the seller needs cash fast you'll get even luckier to haggle down the price. Other situations are like, if the seller was given the car by his company and no longer needs it. He's got no money invested in it so he won't care what price it goes for. Give him a decent offer and he'll probably accept.

  • Halo375 on 07/10/2019 - 18:43

    Know your price. Know a fair price and offer that to the dealer. Leave your number, as the car gets older they will be more keen to clear it. They may offer you a higher price, be patient and wait. Make sure they know you’re interested - but only if the price is fair.

  • Geekomatic on 08/10/2019 - 16:03

    This:

    " find an owner who move overseas soon, and give them good - cheap - fair offer, and tell them they can use it until the last day before the depart overseas. "

    I know two people who've done this and one got an INCREDIBLE deal from an old guy who'd just purchased a tricked-out car only to be called back to the UK.

    :)

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