How To Buy A Used Car?
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- čas přidán 6. 07. 2016
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An important thing he mentions is "Don't get married to a particular vehicle". They're like buses: Another one comes along every half hour.
lol
I waited years for my bus. I wanted a rare manual transmission and wouldn't buy new. Patience paid off for me.
Just like women. 😂😂😂
@_ David _ Nissan leaf
Yes. Even if you want a particular model, there's usually plenty out there of them.
Scotty Kilmer should make an appearance on these types of calls.
Caller: I want to buy a used Mercedes.
Dave: How much is it? Can you afford it?
Scotty: That car is an endless money pit.
Definitely
Scotty Ramsay
Scotty: RELIABILITY. Dave: Financial Sensibility.
Dave gives financial advice while appreciating different types of automobiles. Scotty on the other hand shuns every car aside from a couple of Toyota and Lexus models and doesn't think life's worth living.
Think this must be the record for the highest number of questions asked in one call.
there is nothing wrong with milking as much information as possible.
@@bbbnnnddd Well, she said "One more question" not "One last question". LOL!
I can't believe he did not cut her off earier in the call and end it.
"um, just one more question..."
Right! I was just surprised at how patient he was with her. I would like to know what time of day it was, what day of the week it was that she called? Hmm
If you're broke you shouldn't even be focused on what kind of car you get, just focus on basic transportation. Everyone is too wrapped up into what kind of car they have when they should be worried about putting some money in the bank.
Duane, Thanks for commenting and watching this video! Don't forget to subscribe! czcams.com/users/DaveRamseyShow
If u buy some cars because they cheap, u ll end up spending more on troubles later
not bad advice but not applicable in her case.
Sensible Mind u need to be focussed on what type vehicle u need a buy if u need a vehicle esp if U want to buy a used car. U want to buy something that last not just by how many times someone used it because of the brand /model. Because some even though passes inspection but still can break down months after purchase.
Our last 3 cars were used Toyota Corolla's ...reliability, and great on gas. We drive them til the wheels fall off. Yup, be humble. We know everyone is buying SuV's and large trucks, but we are content with used 4 door sedans. That way we can put money in 401k and our savings.
walk in like you know what's going on and you not here to waste time. never let you guard down, don't get friendly, act like you don't like the truck
"certified" pre-owned is just an excuse for the dealer to charge more
amen brother
100%
Yes
...justifiably if the "certified" part is executed properly...
certified, i believe it’s used you don’t have to prove it 😂
I'm a car salesman and if you listen to what most sites say about not telling the sales guy about paying cash or other things honestly your just going to cause yourself much MUCH more headaches. What Dave is saying is actually really good just be upfront and honest with them. Know what it's worth and give a price you want to pay and don't budge. Go to at least two dealerships and let them know that the dealership who gives you the price you want to pay first will earn your business. Older in stock vehicles have more wiggle room. Vehicles they took on trade probably have more wiggle room on them.
Dave is so wrong on this. Car dealer ships make all their money on used cars
You've saved 30,000$ and the first thing you want to do is buy a truck that's going to depreciate every year?! Buy an 08-09 and walk out with the other 15,000 in your pocket!
Finance it and build credit . . . man, everyone here should be doubled over laughing after reading that. Hey everyone, this guy still thinks building credit is a GOOD thing! Bought any WHOLE LIFE insurance lately, Stormtrooper?
lovethemflowers Agree good credit I think is BS, I have good credit and never get any great discounts for it...maybe my auto insurance. I have a cc but not because I want to build good credit
Storm Trooper Here is the thing as long as you show your pretty much debt free and have steady good income you will get a good interest rate
If she wants new car smell she can buy perfume which I am selling for 5.99
Ali Sakran she said she saved 30k FOR a car. not just saved all together
Linear regression models are a great way to value a vehicle. Take a particular make, model, trim, year, etc to standardize and use miles as the x variable and cost as the y variable. What you do is research local dealerships for that car, see how many miles the car has and how much they’re selling it for, use that to create a regression model. Try to get at least 10 dat points. You’ll get a formula resembling y=mx+b, where x is the number of miles. If you find that car at a dealership, you can plug the number of miles into that formula and it will estimate how much the car is worth. Keep in mind that you need to pay attention to the R^2 value. If it is less than 0.7, the model might not be strong. However, if you only input data for the same make, model, trim, year, no previous wrecks, etc, then miles will likely explain 70-90% of the variation and give you a reliable estimate.
There is a perfect time of the year to buy a car. Try December. Sales are slow through the holidays and dealers are more willing to actually take a loss than having to carry that old inventory into the new year. The last week in December is perfect. Do not wait until after the first of the year. That is when dealers are looking at their busiest time, tax season.
Cody Cole for a used car no. Did that once and March rolls around and find out that the AC isn’t working. I did fix it though.
Only applies for new cars being sold during their first year, not for used cars.
Cody Cole tax refund remorse.....smh
Actually car sales are hottest during that time. It's holiday season, Cody Dufus.
@@cashboy7406 somewhere around end of Aug? When the next years models are coming out...
I wish I would’ve found Dave back in April before getting a car loan. I guess making mistakes is what makes you look for help. Currently working on step 2.
Never understood why people bother asking Dave how he's doing.
So they can hear him say "Better than I deserve!"
Because Dave clearly values respect and it's respectful to ask someone how they're doing
It is just a way to break the ice & start a conversation. People do it all the time asking " hey, how are you doing", when in reality they don't even care what the answer is.
That's what I say now when people ask me how I'm doing, I reply "better than I deserve" after watching Dave ramsey videos
...perfunctory politeness...
1994 toyota celica
its the only vehicle you'll ever need
iiisaac Scotty, go do your own videos, don't interrupt Daves....
iiisaac are you Scotty? Rev your engine up? Lol
LOL.....exactly!! 😂✌
REV UP YOUR ENGINES! 🤣
Yes... we love Scotty Kilmer. lol
Certified pre-owned usually means an extended warranty on the vehicle raising the cost a couple grand.
One tip if you have the cash to buy outright, instead of doing so buy it on finance and then pay the finance off in full before the month is up. Dealer can sell the car cheaper because he gets commission from the finance sale, and you can pay it off and not pay any interest on the loan. Just watch out for early settlement fees, make sure there isn't a penalty.
Kelly Blue Book is a GUIDE. Banks loan money based on NADA Retail. NADA Retail is typically NOT a baseline for a vehicle. You're looking for a market price. The only "Book" that buys a vehicle is a check book. Do NOT swear by websites. If you use KBB to buy a vehicle you will lose, every time. PLEASE DO NOT SUPPORT AUTO BROKERS. THEY WILL NOT SAVE YOU MONEY. (You are paying for convenience, not a great price)
I am an Auto Broker and I promise you I save them money.
Nathan Hays NADA is the baseline that insurance companies use to replace totaled vehicles
@@MrJM-zr1hk That sounds like something an auto broker would say...
@@elmateo77 I have been in business for more than 15 years and I am by the book and I have many repeat customers, if I have to say so myself. I am and have been doing something right. Look up the percentage of private businesses that make it for 15 years plus. I do what I say I am going to do honestly!
@@MrJM-zr1hk good for you man, glad there's at least 1 of you
And don't buy extended warranty get a good mechanical inspection at a garage of your choice or have a mechanical Uncle or friend go with you when you buy the car. That extra $300-$200 will be your peace of mind
sidharth chand Why? I bought a warranty for $800 and within 6 months my AC went out (used car) they replaced everything. $2000 job for $800, I'll take it
With today's complex engines and technology, always buy an extended warranty.
Most vehicles will go well past 100,000 miles with very few problems. Extended warranties are normally a waste of money. If it bothers you not having a warranty then don't buy an overpriced one at the dealership. You can save 2/3 by buying one from outside sources.
@@gcab1000 u still paid 800 after the purchase or 800 was the original purchase for the warranty?
@@MiguelMaxMusic Cost of the warranty was $800, cost of fixing my AC was $0.00.
Car dealerships ALWAYS ripped you off!
Stealership
Than where can u get a car from??
And Craigslist is not even the only website you can go on. There are other websites where people post cars for sale. ChrisFix talks about some options. His channel is amazing.
@@naturallyray3646Facebook or Craigslist.
I remember when I purchased my preowned 13 toyota tundra. I went to several different dealerships and every time I brought up the fact I was paying cash every salesmen and floor manager always told me cash is no longer king. It makes sense, loans make them way more money. Sometimes cashs only leverage is the fact that you are serious about buying the car outright without having to go through hoops and hurdles to get a loan with them.
Dealers make points on every car loan they sucker buyers into, either prime, subprime, or whatever...Cash doesnt help the dealership credit out.
We got a steal of a deal at a dealership with cash a you years ago. It depends on how desperate they are to get sales and how long the car has been on the lot. The deal we found came from a business that was wholesaling commercial vehicles to other dealerships. They randomly got a minivan in their stock, And they didn't know what to do with it. We came in, waved cash in their face, and paid thousands less than it was worth to relieve them of this vehicle they didn't know what to do with. Depends on the situation and how desperate the dealers are to make a sale.
Cash is no longer king? Yeah, not to them, but who are we looking out for here, them, or ourselves?? My response to those salesmen and floor manager would be, "It STILL is from MY perspective!
if a dealership doesnt want to take cash from you, and your deep into negotiating...simply stand up...and begin to walk out. Nothing feels better to me than wasting someone (on commission) else's time.
It is true. Walking in with cash isn't going to get you a discount every time. They make their money off financing more than the price tag on the vehicle.
always buy a car at the end of the day..the salesman want to close the deal and go home. they dont get paid by the hour.
working shlub yeah that sounds about right. My brother used to be a car salesman, and had to meet a quota every month, and every I think 5th of the month, he'd give anyone interested a descent discount just to meet the quota.
If you show up 15 minutes until closing you won't get waited on in a lot of places. We don't get paid by the hour and we work too many hours to stay late for what an average commission is nowadays. If you can't get customers during your working hours you need to make more phone calls.
@Miggz 1Bay Also, that's not about being lazy, it's about having self-respect.
@@jonmorton8792 People that show up to buy a car 30 minutes before closing are usually heavily lacking in such.
@Miggz 1Bay Usually takes longer than 30 mins to buy a car. If you show up that close to closing time you're not buying a car.
I bought a Jeep yesterday and it took about 5 hours. And I said no about 6 times and went to McDonald's in the middle of it.
ALWAYS HAVE A MECHANIC CHECK IT FIRST. NOT THE DEALER'S MECHANIC.
Exactly how do you do that??? Call a mechanic to meet you at the dealership???
@@KourttneyL Ask the dealer to let you take it to the mechanic. If he says no run away and never go back there.
An independent mechanic won't be much help unless the problem is very obvious.
@@michaelh5055mechanics have fancy scan tools. It will report engine and transmission problems. Body control module reports other problems. ABS and TRACtion control problems. They know what certain noises mean. Clacking of valves, roaring of wheel bearings, noises during shifts, weak no reverse may indicate a worn out transmission.
-Scotty Kilmer
Or avoid all these issues by getting a car that is certified pre-owned by the manufacturer.
Thank you so much Dave Ramsey! You've enlightened me when it comes to buying a used car compare to a brand new one.
God bless you and wishing more success to your show!
I agree with all this, but I think you should take more time and go to other dealerships and let them know you're interested in another one, but are willing to change if they can beat the price. Do this a few times until the car sales people stop taking significant money off the price.
Certified Pre-Owned (CPO) is sometimes another gimmick to get more money out of people. I worked at a huge dealership as a lot attendant, and I observed the guys in the used lot section, do what appeared to be a five minute inspection and label a car as a CPO. I personally drove that car to move it on the lot, and it was gross (scratches, dents interior had issues, key fob was sticky etc.) inside and out. There were much nicer non-CPO cars on the lot. So don't let the eye candy fool you. This is not to say this is true for every CPO car. If you are still not sure about a used car, take it to a trusted mechanic and spend the $50-100 to have them look it over. I would feel better about spending a $100 to know that i saved myself from a $1000 repair bill buying a bad car.
Every dealership is different. Try going to a professional one with quality people.
@@cashboy7406 if you find one, let everyone else know. They aren't real.
This is more common that people think. CPO cars are often on the lot within 30 minutes of trade in. Great advice on getting the car inspected.
My buddy from college used to be a Ford salesman and told me he always bought his new cars at the invoice price, what Dave is calling wholesale. He said that the manufacturer offers the salesmen bonuses for every X number of cars they sell. So, even if they make no commission, they are sometimes willing to sell the car at no gain. He claimed you’d have to drive to a few dealerships before one would bite, but there’s always a salesman who is a car or two short of his numbers and is willing to make that bonus in 15 minutes.
May I ask you how to find out the invoice price?
Find a good mechanic prior to purchasing a used vehicle and have them inspect it!
Do not trust certified vehicles; once you buy it, it’s yours with all known and unknown faults. Many learn this the hard way!
How about a pre purchase inspection by bringing to dealership or a mechanic shop??
One other thing to consider when buying used is that a lot of repair places, will when they are not busy let you take one of their people for a few and go have them check out the car you are looking at for wear tear and potential issues.
i figure i save up 5k buy a 3k car on CL and put the 2k on repairs and call it a day
MrMike95624 good tip. I will do this too
Airport Cinderella same!!!!
If you're having to spend 2k into fixing a car worth 3k you're probably going to be looking at spending more money down the road or you can find that car that's at the same condition as your 3k with 2k repairs for less than 5k.
WhT happens when you buy a 3000 car and it ends up being 4500 on repair?
Or just get a toyota. Ez.
VEE-HICKLE! Love you, Dave :)
Watching Dave Ramsey? Can't you just photoshop a new car into existence?
I hear it so much I thought that's his your say it lol jk but I hear it all the time and it's sound better
Thank you for explaining this! I've never truly known what I'm doing but this is a step by step how to get a deal. Now I'm not afraid to buy a used car.
Boy what I could do with 30k right now.
I can live two years on 30K .. ..
What?
@@barbusie5217 i cant live 2 years on 5k. Cause I live with my parents
I know a man who does exactly this. He works out what he's willing to pay (reasonable offer), writes a cheque and tells them, this is all I'm willing to pay, take it or leave it. He only missed on the car once...and that's only because they were a bit late calling him to accept - he'd already done another deal elsewhere
Pretty good advice, but I think it applies more for regular people cars only. If you spent 50k on a used Aston Martin you'd definitely want the warranty to pay for any potential problems. High price cars always have high price repairs even if the price you paid for the entire car was cheap.
If it's a truck and it doesn't have mud under it you probably found yourself a good one. Believe it or not some people buy trucks and never take them off the pavement. That is the kind of used truck you want.
Kyle Law
usually an older retired gentleman that wanted a nice truck. Have bought several awesome low mileage trucks that were 4 years old and like brand new. They are out there!
end of the month is always better if buying a new car. Dealers get bonuses each month if they sell a certain number of units.
I knew a guy who worked at a car dealership. He said that they didn't like it when people paid cash because it meant that they wouldn't make any commission on the sale of the car's financing, also known as "making money on the back end."
Walking into any dealer and saying, “look, its a done deal and I will write you a check right now for that car over there but you’re asking too much for it” will immediately get a reaction of “NO” because dealerships don’t accept personal checks on the spot and let you drive away.
Exactly, that's why I always buy vehicles with a briefcase full of cash.
Well, he's Dave ramsey... It's a lil bit different, and he built a relationship with that dealer
Ford=
Fix
Or
Repair
Daily
i don’t think he means a literal check, the same way most ppl don’t mean actual cash when they say “in cash”…
Not mentioned: Insist on getting the used car inspected by a independent mechanic prior to purchase. Expect firm resistance from the dealer on this.
Truth
Certified Pre-Owned: I can certify that this car has been owned before. 🤣
Great- thanks Dave
Take it to an independent body shop and have them look it over for prior collision work. Pay them for their time and have reassurance the thing is not pieced back together.
m ph late response, but the carfax can also tell you that without you having to go through the effort of seeing a mechanic. Even if carfax isn't perfect, i believe it's good enough
I got lucky on my 2015 RDX (basically brand new as in, no registered owner). Haggled for about 2 hours and made a cash deal. They then physically messed up the vehicle on the day I was supposed to pick it up and I snapped. They then offered me another RDX, same model but 10k less KM on it (~7,000 km). Haggled more, and they ended up bringing the price down $7,000 and threw in 3 free oil changes.
How do you haggle, can you plzz explain becasue I want to learn
in order to negotiate prices you have to be willing to walk away. Whoever is the most willing to loose the deal all together is the one with the power.
@@mcopeland05 Job, relationship, purchasing anything - makes no difference - be willing to walk away and not look back if you're not getting what you want or deserve.
I've always bought trucks with about 80k to 150k miles, from individuals. While it's not a scientific sample I've never had any major problems and got years of service from these vehicles. I research the make and model to see how it's type has held up over the years. I avoid 4 wheel drive and don't care about light body damage or if the bells and whistles are still working.
I have this same question!!!!!! Thanks Suzy!
I understand where Dave comes from and his reasoning, but the one thing I feel he leaves out of the equation is enjoyment. What's the point of going to work every day if you can't splurge on a few luxuries? We have a comfortable life with a few bills, but we bought a $55,000 car at 0% interest. Every single morning I look forward to driving it to work. It gives me immense pleasure. Yes, I have debt, but it gave me so much happiness. If I fall over dead tomorrow, at least I had an enjoyable life.
You pay yourBill's. People like us can buy cars. He only means people who are not fiscally responsible cant buy a car.
@@phannypack3951 And I will live my life enjoying myself and my new cars. What does it matter? I may not be a millionaire, but what good does it do to save for the future if you get sick and die at 40? You scrimp and live without any extras, but never reap the rewards.
@@kdw75 if you eat well, drink lots of water and get plenty of sleep...
*you will still die anyway*
Don't tread on me True. So why not buy a nice car that you’d enjoy driving (granted that you are financially equipped )in between living well and dying?
@@kdw75 Then you get old with no money, and want other people to support you and complain about how unfair society is.
Seasonally, the only time not to buy a vehicle is buying a convertible before summer and buying a four-wheel drive vehicle for the winter. Best to wait until after the season is over.
On top of the comprehensive limited warranty coverage, they include seven-year/100,000-mile powertrain limited warranty coverage with every Ford Certified Pre-Owned vehicle.* It covers the engine, transmission and more:
Transferable to future owners at no extra cost The big + for certified pre-owned is extra PT warranty, instead of the standard 5yr/60,000m PT . Certification is not free, so you will pay a few hundred more, WORTH IT !
Great questions 🌻
I’m indian from punjab love to watch u explaining how to be financially free
A few years ago a mate of mine returned a Chev pickup. Very low miles and real clean two year old. The lease buyout was a tad over $9000. I saw it on the dealer lot. I took it for a test drive just for fun. I told the sales guy I ws interested. The price stated was $17,000!!!! I told him he was nuts and that I knew the lease buy out was $9000. I had a laugh and a learning experience. I am sure they would give me a "great deal" at $15,000.
Good information
I use to work at ADESA auto auction which is where quite a few used cars come from now days to dealrt "Certified pre-owned " is just a sticker, there was no special inspection or maintenance that was done, the vehicle would come in get detailed by individuals of questionable green card status THEN the STICKER CERTIFIED PRE-OWNED (of course it is used) then inspected for dents and dings which was then annotated on paper for the auctioneer driven over and parked until auction day.
Kelly Blue Book isn't accurate typically, it's a decent point of reference, but NADA is Beyer for accuracy
KBB seems to be really good if you are buying from an individual, but I agree all car lots and finance institutions will use NADA. KBB is based on similar sales in your area. so they even include the ones that look like they drove through a crowd of hammer wielding clowns, while NADA just takes a general depreciation of the value based on mileage and other factors that will devalue a vehicle.
NADA IS WHAT THE BANKS USE TO PROTECT THERE ASSET. IF YOUR A USED CAR BUYER YOU ANT TO GO BY WHAT KBB SAYS.
Buy a 20k used toyota tundra and put the $10k in a separate savings account. Toyota tundra is a great truck. At 100k miles they are barely getting started.
Lol for 20k a tundra will have nearly 100k miles on it and be 7 years old.
Jay Smith u right they hold their prices
Justin Russell They are great trucks I just sold mine. Mechanically they are close to perfect. Toyota’s downfall is rust and rot. The Tacoma and Tundras especially are known for rust and rot even if you take care of them especially in the salt belt states. If this is not an issue then you’re golden probably best truck to own....
Thank you!
Great call!
His faith in Ford though! My friends dad bought F-150 brand new 2 years ago, the transmission failed on him.
"Better than I deserve." I love it!
Dave is the man!
I did that with my last vehicle, found it on internet searches. Had signed up for sites to contact me. I went and spent some quality time at a place like AutoMax who knew I wouldn't be buying but helped me decide on the vehicle. I'm sure this is in hopes I couldn't find locally and they'd source. I knew all about the vehicle, it was a trade in at another brand dealer. I called another dealer w/ same brand and asked for a review of the vehicle which they checked over the phone....Lexus keeps good records. Selling dealer had it 4 months. I drove to another town where that car isn't so popular and they were having a hard time selling it. Then I looked closer and added in the things they had to fix. He gave me a price and then added what it would be if I financed it as if he was giving me a good deal and assuming I would (I was dressed down). I said I'd write a check for the original amount and said I'd wait the two hours for the repair items. The manager tried to talk me out of deal and financing taking all my savings......blah, blah, blah. Where I live there is a wait list on rental cars at Enterprise, they come certified, same as a dealer, worth checking. I think they also buy. It really pays to do your homework, took me about a month to find the car an hour away.
Dont use kbb. Use nada it's a more realistic value for the car.
Great advice like always Dave.
Good to know Dave drives used as well.
Yeah, I love to see people that actually practice what they preach. He's big on us buying used and it's great to see him buy used. No matter if your rich or poor, you always pay more than you should on a new car.
If your worried about mechanical issues, run a vin check and have a good mechanic check it out
Ask if it comes with an owner's manual? In Canada: ask if it comes with a block heater, those are add-ons, some don't come with block heaters which are necessary in Canada.
Buy cash from a private seller. Don't have to play games with private sellers. The 'certified pre-owned' business is a scam.
Cory Williams curb stoners? What is that
Fatlind Bytyqi car dealers that are illegally selling cars posing as private owners. They have a license to buy cars at auction, but can’t sell more than three cars legally. They try to avoid regulations but in real dealers.
Fatlind Bytyqi curb stoners are dishonest dealers that pose as private individuals. They are licensed to buy at auctions, but are not licensed like a real used car dealership.
@@wldktz1 Yeah, so many scumbags posing as the car's "owner". Disgraceful. I always ask "I'm interested in the car you have for sale online". Most of these curb stoners say "Which car?," "I have two posted," etc. I just hang up. That's a dead give-away that they're dealers. Lol.
She asked some Great questions 😉👍
Rental cars will usually have high miles. That goes to Dave's original point that you check the specifics on the car you're looking at. Run the numbers on that particular vehicle.
Definitely don't want to tell them you're paying cash, new or used. They will always drop the price and get you in the financing if that's what it takes to close. Let them go through their whole 4 square, this much down, this much a month BS if that gets you to where you need to be. The biggest thing about buying a used car specifically, is patience. Find what you want for the right price. Also with Carfax and the like, there is no need to avoid private sellers. Just try to find a one owner garaged vehicle that was owned by someone at least 30. Check the nooks around the trunk really well. Detailers can make just about any car look garaged these days. If you care more about your purchase than the person did about cleaning, then you should be alright.
It's funny that he says he wouldn't want a car that had been a rental. If you go to a dealership, there is a very high chance that you are getting formal rental cars. Once they hit a certain mileage point, they typically sell them to dealerships. I know this because my husband worked at a dealership and because I worked at a credit union where we worked with rental car companies and dealerships for financing. We have had several vehicles that had instant equity in them from state auctions. They are very meticulous about getting all repairs done/regular and required maintenance. Other good deals have come from dealerships and private party, but we always knew who had driven them before us. We are very picky about previous owners. He's right that you have to be willing to walk away from a deal to get the best deal.
The Construction Guys Office Nothing wrong with a former rental, most have highway miles that's less stress on car and most are well maintained.
The Construction Guys Office You are right. When I sold cars the dealership got the rentals for a good price and had a high markup. Dealerships make money off rentals and that is why I tell people to always ask to see the invoice and let them know that you are serious about buying. Negotiate a price that is fair for the dealer to make its money and you don't get ripped off.
I live in central Florida, rental car capital of the US - I wouldn't buy a rental from here. Disney trips generally are short cycle, much mixed driving (some highway, some stop and go) and many cars get romped on by the tourists. I just rented a 2018 Camry with 11k miles on it plated from VA that smelled like B.O. when the interior got hot. You just never know who is driving these things...
Buy a manual trans car. Unlikely that would be a rental.
"if is FORD, you don't have to worry about:" I laughed my as$ on that one hahaha! First, mistake you made that buying a Ford. That is a bad financial decision.
A bad financial decision is falling in love with one brand of vehicle....
Me too! I laughed at my friend when she bought a used Ford truck. She's had it less than a year and it's broke down twice. We have a 1997 Chevy Astro van with 220,000 miles on it. We've had it for 7 years and it hasn't broke down once.
First on race day!
Depends on how well it was taken care of.
Batu Ventures my 2016 Ford F-150 has 190,000 miles with the 3.5 v6 ecoboost engine. I love it.
small used car dealerships LOVE cash. that cash up front mentioning works. at a franchised dealership it doesn't really work
I bought a used one from hertz and love it. No argument, good price. great car.
First thing you want to do when buying a used car is check the DIP STICK to the oil in the motor have a napkin with you first pull out the DIP STICK and wipe it clean then actually look at the DIP STICK it's self if the DIP STICK is nice and shinny from one end to the other than you will know if the oil was changed on time ....... NOW if you see the DIP STICK with burnt brown marks up and down the DIP STICK even in the middle of the DIP STICK......... Then shut the hood and RUN!!! This means that they NEVER changed the oil on time I hope THIS helps all of you
First thing a seller wants to do is buy a new dipstick.
😂
@@dchawk81 lol just trying to help but yes very funny I probably just warned every used car dealership to make sure they replace all of there burnt dipsticks
I used to be into this old used car mentality until mechanical problems. Buy a fairly new car you can manage save yourself the money of buying parts and mechanic labor cost
Dave advises this to get people out of a mountain of debt.Then gradually get better cars as time goes by.But,your car should never be more than 1/2 your annual income.
CPO isn't really worth it... If a car has it, great, but imo, it shouldn't be a requirement when looking for a used vehicle
I brought an Avalon 2006 for $6000 two years ago. With over 75000 miles, no major problems over $200 so far. Will keep it until the engine dies.
Ramsey, you are really good on getting people off debt.. And please keep doing that.. Stay away from how to buy used/new cars 😅
Right? The reason why you dont say your paying with cash is because they will go up on the price to make up for the difference in interest that they won't get from financing.
Any advice?
Tried to buy a 3 year old vehicle at a dealership with 30k miles on it and they would only give me about 4K less than buying a new current model
Another good one.I'm poor & it's getting more expensive each and every day.ALMOST sick enough of it to change things.Going to experiment and read one of your books,follow some of your advice ect.I do own my land,home ,vehicles( toooo many!)+all the rest of the stuff.don't owe anyone a dime.except this year's county land taxes.solo other than reading the book....where to start turning this thing around .?.? Any suggestions appreciated...Good Day from beautiful Carthage NC.
Over&Out.wbwII
I bought a 93 f150 with the legendary durable inline 6 for $1000 nice body, good interior and all I wanted. Bad engine and tranny threw a new tranny (3ry warranty) and rebuilt the engine myself for $600. Probably spent around $3600~$4000 including new tires, front end, brakes, fluids, rear end, interior, creature comforts. It's been a few years already I haven't spent a dime on anything major only regular maintenance. It has already paid of its self many times over.
This is one of those prank calls from a New Dealership to get ppl making this type of money to actually buy a newer car b/c usually they don't!
You know what your certified warranty should be? Your savings account!!!
Tried to work a dealership down with cash and they didn’t bat an eye. They didn’t care so don’t be surprised if they don’t negotiate on that aspect. Smaller dealerships may like the cash buy.
Best truck we ever bought was a rental car in Hawaii one year old. Drove the tires off and it cost 25 K less than same truck new.
I'm trying to save enough for the car I want new and get it wrapped to protect the finish and rust proof the bottom then never get another car in my life.
Hadn't thought of that. Thanks for the idea. You're a great citizen.
Cars are not investments.
Unless your doing uber or something then yes
Still no. It will not go up in value. On the contrary, using it for ridesharing will make the resale value plummet even faster.
umm when you use them for your business they are !! ex . trucks for hauling or luxury cars for real estate agents driving clients to different showings
Unless it’s collectible☝🏼There r few of those out there!Keep your eyes open and make some money folks!
A lot of the house priced limited edition cars are sound investments. If you are willing to spend 1 million dollars in 2014 to buy a Ferrari Laferrari they are now worth 4 million
Thanks
Dealerships make more money on used vehicles than new vehicles. The information regarding this provided is inaccurate. The reason being is the dealer can buy from auction for cheap where as new cars dealerships will have to price the vehicle close the to MSRP (of course it will be on the higher end). Dealerships also make a commission on financing and would prefer rather than cash.
All dealers are there to make money. All dealers will never, ever sell below what they purchased a vehicle for. Ever. If they do, do you think they would be in business long?
Sometime dealers sell lower than they paid. If they can get the money on the front end or they made more money on another vehicle and they need to move that unit to roll over thier investment. sometimes losses are gains.
They will for a car that nobody is buying because it ends up costing them money to keep it on the lot. That's why I buy old cars from dealers because I can get them really cheap and usually work has already been put into it.
By the way, don’t buy extended warranties!!
That’s a Golden Nugget.
wrong,,extended warranties sold by the factory, not third party, are worth their weight in gold if you are driving a German car like Mercedes or BMW.
Why not buy a used vehicle from an individual? Take it to a trusted mechanic and make sure it is in good condition, then compare that to a Dealer price of a comparable vehicle. Most of the time you can save a few hundred to a couple thousand...
Remember in Nevada buying from a private party you pay No Sales Tax...instant 8% savings approx.
This is inaccurate information he is giving her. Dealerships make more money on used cars than new. I was in the car business and I could give her better advice. What she needs to do is ask the dealership to see the invoice for what they own it for and negotiate from there to prevent the back and forth and allow the dealer to make money and get a good deal as well. The dealership is not going to lose money because you saw a price on Kelly Blue Book which is not even looking at the car to see things that may cause the car to be worth less.
I hope she didn't purchase based on this information he is giving her because she may get ripped off
For used cars, I would do my research first to see if a particular car you're looking at is a good choice because usually, the cheapest car is not always a good choice. Kelly Blue Book and Consumer Reports are always good sources. Also, unless you have the income to actually afford it or willing to invest in it, avoid buying European cars as used because of high maintenance and the reliability on many European cars are questionable.
Thank you sir for this valuable information on buying a used vehicle. I have already been steered away from 'fleecing' thanks to your thorough explanation. I will start listening to your radio program as a result.
I was wondering if there was a part 2 of this video where the lady asks more questions. Shish.
Dave is being dumb here, if it's a Ford and a year old, it's not necessarily any good. Fords can be spotty for reliability
I brought a rental, saved a ton of money too! It's been two years and not one problem.
Brilliant as usual....
Someone needs to tell this lady "certified pre-owned" doesn't mean anything.
Jimmy Bob
Certified pre owned means the dealer looked at the car and said
"yup, that's a used car"
Factory certified does have to meet certain criteria to be able to have the tag. The only “certified” that means anything are factory certified ie Toyota certified, Honda certified etc they have to meet certain and usually strict cosmetic and mechanical criteria and come with a factory backed warranty. IMO more money than it’s worth but it does actually carry some weight to it. Dealer certified is a joke.