Ask a car salesman anything...anything at all (Vol. 2).
Discussion
Powerfully Built Company Director said:
Question for the dealers:
Prices are up - great!
Supply is down - bad!
How is this balancing out at the bottom line? Is this a good time or a bad time for your business?
Independent leasing company, we own some stuff but are a broker for most. Our own cars and vans are worth a lot more than we estimated and have lower mileage due to lockdowns and WFH but lots are being extended. Good news if prices stay high as with monthly income and asset values increasing, bad side is not much new business and discounts being reduced on purchases. We are currently not writing our own business unless we really have to, instead using the big companies funding.Prices are up - great!
Supply is down - bad!
How is this balancing out at the bottom line? Is this a good time or a bad time for your business?
As for used cars, we do quite a few PCP’s with nearly new, prices are crazy but GFV’s are not being reflected so these are down as offering Personal Contract Hire is much better value (if we can find stock cars). We also manage procurement and disposal for quite a few firms but again this is slow as new is all delayed so they are just staying put in ever ageing fleets.
resolve10 said:
Super_G said:
Asking for a fellow ameboid.
2017 car (17 plate)
30k miles
Nothing really special in the way of optional extras
Selling for 28k
CAP excellent is £23k
Car has two dents on driver door. Like hail stone denting but larger. Two deep scratches on bonnet about 3 inches long.
All diamond cut wheels suffering aluminium oxidation
Fair price??
Main dealer.
All tyres above 4mm
Front axle is mismatched.
6 months MOT
Front brake pads require replacement
What should she ask for? Or be willing to pay.
Regardless of anything else, if CAP excellent value is only £23k and your friend buys at £28k, they could be looking at some pretty hefty depreciation, particularly if the market calms down a bit once new car supply gets back to normal levels. Even more so given from your description this particular example sounds not so 'excellent' !2017 car (17 plate)
30k miles
Nothing really special in the way of optional extras
Selling for 28k
CAP excellent is £23k
Car has two dents on driver door. Like hail stone denting but larger. Two deep scratches on bonnet about 3 inches long.
All diamond cut wheels suffering aluminium oxidation
Fair price??
Main dealer.
All tyres above 4mm
Front axle is mismatched.
6 months MOT
Front brake pads require replacement
What should she ask for? Or be willing to pay.
What's the car out of interest?
CAP clean, average and below average are the 3 categories
Off the back of that. Are GMFV figures low or high at the end of a traditional PCP? I ask because we have this computer chip shortage driving up prices… so based on that dealers could ensure prices stay up?? Or are dealers predicting the market settling say by the end of a 3 year agreement?
lord trumpton said:
resolve10 said:
Super_G said:
Asking for a fellow ameboid.
2017 car (17 plate)
30k miles
Nothing really special in the way of optional extras
Selling for 28k
CAP excellent is £23k
Car has two dents on driver door. Like hail stone denting but larger. Two deep scratches on bonnet about 3 inches long.
All diamond cut wheels suffering aluminium oxidation
Fair price??
Main dealer.
All tyres above 4mm
Front axle is mismatched.
6 months MOT
Front brake pads require replacement
What should she ask for? Or be willing to pay.
Regardless of anything else, if CAP excellent value is only £23k and your friend buys at £28k, they could be looking at some pretty hefty depreciation, particularly if the market calms down a bit once new car supply gets back to normal levels. Even more so given from your description this particular example sounds not so 'excellent' !2017 car (17 plate)
30k miles
Nothing really special in the way of optional extras
Selling for 28k
CAP excellent is £23k
Car has two dents on driver door. Like hail stone denting but larger. Two deep scratches on bonnet about 3 inches long.
All diamond cut wheels suffering aluminium oxidation
Fair price??
Main dealer.
All tyres above 4mm
Front axle is mismatched.
6 months MOT
Front brake pads require replacement
What should she ask for? Or be willing to pay.
What's the car out of interest?
CAP clean, average and below average are the 3 categories
Super_G said:
Off the back of that. Are GMFV figures low or high at the end of a traditional PCP? I ask because we have this computer chip shortage driving up prices… so based on that dealers could ensure prices stay up?? Or are dealers predicting the market settling say by the end of a 3 year agreement?
The GFV is set by the finance company, in most cases the consumer has a small amount of equity however with current prices we are seeing some quite substantial amounts.A couple of years back Mercedes GFV were often higher than the cars actual value so lots were just handed back at the end of term.
In answer to your question the GFVs seem a little bit higher but most funders are still being very conservative with the figures as the last thing they want is a market drop and they have cars coming back thousands of pounds wrong at the end of agreements.
SteBrown91 said:
Super_G said:
I reserved a car and whilst the salesman was off on carers leave for the day his colleague sold it. I can get my £100 back but I want the car. Is there anything I can do or should I drop it?
What do you want them to do? Go to the buyers house and demand the keys back?Super_G said:
Guess I am hoping they say my sales rep had someone interested in the car. So first dibs but doesn’t work like that. Reading up on the legalities… there is thread for everything on here… and by accepting my deposit before said sale the dealer entered into a contract.
Based on threads I’ve read - you’re not going to be able to enforce the contract for that particular car. You could find another car that matches, and take them to court for the difference in value (if any). It wouldn’t be worth it. Move on - mistakes happen.
Super_G said:
I reserved a car and whilst the salesman was off on carers leave for the day his colleague sold it. I can get my £100 back but I want the car. Is there anything I can do or should I drop it?
I've seen similar threads where the resounding response from PH was howling derision but turns out that there are laws on the side of the buyer, esp in situations like this. Whether you think it's worth the time, effort and money is another matter of course.Super_G said:
I reserved a car and whilst the salesman was off on carers leave for the day his colleague sold it. I can get my £100 back but I want the car. Is there anything I can do or should I drop it?
Have you signed an order form for the car? Is there a paper trail confirming £100 placed to reserve the car?hajaba123 said:
Fast Bug said:
Have you signed an order form for the car? Is there a paper trail confirming £100 placed to reserve the car?
ie have they lied in writing or just your face?Ask them nicely to find a car you like as much as the other one and see how they get on. Or get the £100 back and don’t lose any of your own precious sleep over someone else’s bad day at work.
hajaba123 said:
Fast Bug said:
Have you signed an order form for the car? Is there a paper trail confirming £100 placed to reserve the car?
ie have they lied in writing or just your face?These things can happen, it's only human error. I'd either be asking them to source me a nigh on identical car at the agreed price, or just getting my money back and moving on as life is too short to stress about these things.
Fast Bug said:
hajaba123 said:
Fast Bug said:
Have you signed an order form for the car? Is there a paper trail confirming £100 placed to reserve the car?
ie have they lied in writing or just your face?These things can happen, it's only human error. I'd either be asking them to source me a nigh on identical car at the agreed price, or just getting my money back and moving on as life is too short to stress about these things.
Just text messages was enough evidence. So if you have the patience and the backup to show you will have to pay more for a similar car, then court is an option.
However, if you can get the same car for the same money, no provable loss.
It was a paper form for the reservation. An interesting place a dealership must be. The sales guy covering for the person who was off basically screwed him over and made the commission by selling it to someone else. What’s done is done. The car has been prepared quickly and the buyer will collect Tuesday. As it was a cash sale all the paperwork was signed off on the day and funds cleared. You would think after buying three cars from the same dealership there would be a level of loyalty- purchased over the course of 8 years.
Is there confusion with the language used? In my book putting £100 down to "reserve" a car is not a sale, it's sort of on hold until you make your mind up and commit fully to buy and they should've come back to you in the meantime if they had someone else wanting to buy it and ask you to piss or get off the pot? Putting a £100 "deposit" down is a sale, you've bought the car. Reserve seems a very strange word to use to me, if you've actually bought the car then it's a deposit, a sum payable as a first instalment on the purchase of something or as a pledge for a contract, the balance being payable later. That's the dictionary definition and whenever I've bought a car from a dealer I've paid a deposit, that's what it says on the order, not reserve.
Edited by 21st Century Man on Sunday 29th August 19:18
Super_G said:
It was a paper form for the reservation. An interesting place a dealership must be. The sales guy covering for the person who was off basically screwed him over and made the commission by selling it to someone else. What’s done is done. The car has been prepared quickly and the buyer will collect Tuesday. As it was a cash sale all the paperwork was signed off on the day and funds cleared. You would think after buying three cars from the same dealership there would be a level of loyalty- purchased over the course of 8 years.
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