SHORT VERSION : My old car has slowly died over the last week. Need a new one fast. Found one at dealership and they offered to fix the 2 biggest problems with the car before I buy it. Price tag is $3995 but after research, many sites say the car should be around $2-3k. Now Im worried about overpaying by $1000+ and considering telling them I don’t want it.
LONGER VERSION : Old car started dying last wknd. Has progressed to the point where it’s dangerous: cutting off in traffic, in the middle of a turn , etc. After seeing tons of crappy used cars and desperate for a way to get around I found one with only a few things wrong and with a price tag ($3995) within my budget. Was about to walk but dealer offered to fix the two major things (car still at same price.) Was going to walk because despite good reviews and great mpg it’s a domestic brand that isn’t made anymore (though parts aren’t impossible to find)
The plan was: i make a small deposit, the car would be ready the next business day, I could drive it to my mechanic so he could check again to make sure they did things right and then I buy the car. If I didn’t like the repairs the sales guy said Id get my deposit back but according to him that’s “never happened.”
Ive had a couple promising cars snatched out from under me these last few days so I jumped at it even though i really wanted to research more. Turns out according to KBB and several enthusiast sites a reasonable price to pay for the car in good condition would be in the 2-3k range or less (think this is WITHOUT tax, title, license, etc.) Im taking into account some of these guys can buy them dirt cheap and have the tools, space, and skills to get them running again quickly. Driving off the lot Id pay $4400 total.
I hate overpaying and I’m usually careful with my money but I need a car! One minute I’m ok with taking a bit of a hit, the next Im beating myself up and feeling like a fool throwing money away. The car is ready to pick up and inspect tomorrow and I’m seriously thinking of calling to say I don’t want it. Can’t think of a way to buy it now and not lose tons getting rid of it later never mind if I get hit driving home from the lot and the insurance only gives me KBB price.
So what would you guys do? Buy it or continue searching?
Can you find another car of comparable quality at the same price in your area? If you can you can walk away, if you can’t then probably buy it. I don’t know what repairs they did but they do add to the value of the car compared to the book values. Most used cars you might purchase are going to need some sort of repair right away, so now you have two things that won’t break.
American cars and foreign cars are closer in quality than they used to be so if it has good long term reviews I wouldn’t worry about it.
yeah, what kind of car and what are the problems they’re offering to fix? Sometimes, a dealer too eager to do stuff is trying to get said vehicle off of their lot by any means necessary.
I wouldn’t touch the car without 1) having a reliable mechanic not affiliated with the dealer to check it over completely and (if you decide to go ahead with the purchase) 2) getting it in writing from the dealership that once they make the two “major” repairs and you have them subsequently checked over by your mechanic, then if there’s something wrong with their work, whatever you paid them (deposit etc.) will be refunded to you.
Have you considered broadening your used car search? Overpaying by that much doesn’t seem right.
Used car “average” prices are hugely variable depending on the condition of the specific car and quite frankly in the $3000 - $4000 price range it’s rare to get a car where something(s) does not need fixing. Also are we talking about the car being sold by a individual at retail. Most used car dealerships have some sort of warranty with the car with individuals you get none. Plus the dealership has to make a living and [pay for their costs. Just make sure you are comparing apples to apples.
Thanks for the replies guys. The car is a 2002 Saturn coupe Pretty good condition inside and out. I did have my own independent mechanic look it over that’s how we found the original problems. The dealership is replacing the radiator and fixing the front brakes.
Believe me Ive gone to lots all over town and walked away from tons of cars. This is only the 2nd car with enough promise that i took the time to have him check it out. My old car started dying in traffic on the way to check this one out which lead to the uncharacteristic impulsive action. Also using cabs/ renting cars till tax season when lots will have more cars would be throwing the money away too. There are a few other problems with it but they cost less and could wait.
I’m sorry to say I can’t help but I can certainly relate - I’m in almost the same position and it sucks!
I’m in Australia and have a Holden Astra TS 2001. The thing vacillates between having either the check engine light or the emissions light showing. So many things have gone wrong with this car - I don’t know whether to keep it or buy another car that’s been offered to me for a low price. Should I keep throwing parts at my old car, or risk getting another one that may very well have its own set of problems.
Trouble is, I need transport and the urgency makes for bad decision making.
So good luck with your choice whichever way you go!
If you haven’t signed a contract, you’re under no obligation. I would go in there and tell the sales guy that you’ve done some research and want to negotiate on the price. Bring copies of the book value printed out from the website, but use NADA, not KBB (most dealers use NADA). Don’t let him tell you that “we already agreed on that”. If book on the car is $2-$3K, I’d start somewhere around the lower end at about $2250. If he starts whining about fixing the brakes and radiator, tell him he would have had to do that anyway. He’s going to come back with something ridiculous in price, but hold your ground. If he comes back with a “split the difference” price, go up to $2275. He won’t be expecting that, and now you’ve got him in a tough spot, since he’s already indicated that he’d meet halfway.
Used cars are always a “Devil you know vs the devil you don’t know” proposition. It’s fair to say that most 12 year old cars will need a new radiator and brake work. On this Saturn, you know that those two items have been repaired, and there’s presumably some sort of warranty on the car. You won’t get any warranty from a private seller.
You need to look a bit more holistically - you may be overpaying a bit for this particular car, but are you overpaying for safe, reliable transportation with good fuel economy?
I can only tell you what I would do - I’d pass. Assuming your are looking at an SC2 coupe with average miles (~144k), your drive out price for a car in “good” condition should be $1,000 to $1,500 less than that quote. A car in “good” condition means only minor mechanical issues are present. A radiator that needs replacing is not minor. “Fixing the brakes” could means anything from new pads (minor) to replacing the entire sysytem (majorly major).
You’re not obligated to buy the car just because they fixed it.
I’m a little shocked to hear dealers in your area even keep sub-$5k used stock. Around here (central Florida) that car would be straight off to auction. If you’re buying from a main dealer- even a non-GM dealer- you’ll always pay more than book value. The upside is you might actually have some recourse if the thing falls apart in a week (but don’t bet on that.)
Having said all that, Edmunds.com tells me that dealer retail on a minimally specced 2002 SC2 with 150k miles is $1772 (“average” condition). Prices are highly dependent on location, though. Unless you live someplace where used cars are unusually expensive, I wouldn’t pay more than $2,000 for it.
Actually, that’s true of almost any common car around here: after 100k miles, it’s auction fodder.
If anyone cares: I called and told them I didn’t want the car Friday and for the next several days I felt like a downright idiot about the situation.
Tried out a few more cars at other dealerships and they all had huge glaring problems. Spent an embarrassing amount of money on taxis to and from work. Started kicking myself about not buying the Saturn and got really scared that I wasnt going to find anything and I would just continue to bleed money by the fistful.
Well yesterday I spied a generation 1 Honda Insight at a dealership near my apt. My mechanic said everything checked out and the price was spot on with KBB and NADA so i now own a neat little hybrid!
