I have never bought a used vehicle before, but I’m genuinely curious as to the pros and cons of getting a used luxury vehicle? I understand the value for reliable brands like Toyota/Lexus, but trying to understand it more for luxury brands.
Is it because the deprecation slows down? Maintenance not that big of a deal even without warranty? For flipping? Pure joy?
Genuinely curious!
Yes, that and the lower entry price (back in the day). Like a sub 35k mile 3yr old 535i or E350 for $30k when it was 60+ brand new.
3 posts were merged into an existing topic: Off Topic Landfill 5
Good ole days! I remember I bought a 2008 528xi with 17k miles on it in 2011 (3yo) for $34k
The only pro of buying used is that its supposed to be cheaper. But take into account the higher APR, lack of free maintenance, miles, condition, reduced or no factory warranty left, and worse resale value. If you look at everything that can bridge the gap a lot on the savings you saw initially
That’s what I thought and so hence the question!
Don’t forget the free farts on a used one
I don’t see many advantages these days. A lot of my deals are cheaper new then a couple years old on the used market. Everything is all screwed up currently. I feel bad for young first time car shoppers these days
I never suggest an out-of-warranty “luxo” car for someone who doesn’t understand what they are getting into. Either you need deep pockets or know how to turn your own wrenches. For those who fall into those categories, it CAN be less expensive to buy used. It can also bite you in the ass. Gotta be comfortable with gambling.
Getting to know your service center.
Buy the sales person a boat, enjoy the new car smell for a month. Buy your service writer a boat, enjoy free Keurig coffee for years.
I can’t imagine this being true for the German luxury brands.
If you don’t drive a lot, take really good care of it, and live in a dry climate, it could become a collectors one day.
It wasn’t a statement, it was a question.
The value proposition of buying new vs used vs leasing can change, so it’s always important to evaluate case-by-case rather than imagine one size fits all.
For example, just some of the ways that each value proposition changed over time:
before Covid and inflation it was common to see CPO promotional APRs like 0.99% for 36m or 1.99 for 48.
Free maintenance on new cars became diluted to eventually become basically two or three annual oil changes, lessening the relative appeal of new cars.
CPO used to be 6 years from in-service date before it became 5 with more years becoming a haggle point in the finance office.
BMW and MB naturally aspirated 6 cylinder engines were quite reliable. Most common failure points were probably coolant systems on BMW I6s. Not a catastrophic problem unless you did something silly like drive with no coolant.
Losing half the value over 30-40k miles meant losing $15,000 vs losing $30,000.
This is all in the context of “luxury used car” being a 3-ish year old 5-series or E-class. Again the value proposition is very different for a different case, such as a 7-series or S-class or a JLR product.
I gave him/her the answer.
Audi CPO warranty is now two years, but overall great points here
There are two maybe three 100k BMWs without needing much repaid.
People think that’s what they will be getting.
guess I read it wrong.
“Buying a used luxury vehicle offers cost savings, lower insurance costs, reduced depreciation, more affordable maintenance, access to high-end features, and a wider selection of models and options.” - ChatGPT
In other words, you get to buy someone a boat, possibly frequent the dealership for service (or your local mechanic), pay a higher interest rate, and be out of warranty. IMO, the gap between new and used isn’t what it it was pre-covid or 10+ years ago to make buying used practical.