3 Places Only Stupid People Buy Cars

Number One is that they simply charge too much money for their vehicles, they want to squeeze every last cent out of the car, they have no personal involvement and it is just a used car that they generally sell, their commission is a percentage of the sales the higher the price, more money goes into your pocket and generally to use car lots they will pay two to four times what they actually paid for the vehicle which they will try to get you to pay if they have a car that they know is for sale. They will wait until they get as much as possible if you buy from a private individual,

cars

are one of the few major liquid assets that you can get money for quickly and of course when you buy a used car Many times they have a lot of extras that you don't know about.

They inform until it is too late. If you ever go to a used car dealership and you have no choice because you can't find what you are looking for except by asking them. what the price of the car is, not what they say is the cost and then they will add all the things you want, tax title, license, whatever fees they have. I've seen some

places

add 900 or 1,000 dollars of additional fees. including getting registration in your name, there are all sorts of hidden things that are often hidden and of course a private individual won't do that if they are selling you a car, so of course price is a big issue, but Reliability is also something you should think about.

I know they are advertised everywhere now. These used car lots will say, "Oh, check the Carfax, we have the Carfax on the vehicle." Well, all that does is pass the buck to Carfax, not themselves. In my experience, it's not that reliable anymore if you've seen it in my other videos. I told him about my old cameraman who had a Honda that he bought at a collision shop that had been totaled, he totaled it two more times and then when he was. Purchasing a used car by chance, he faxed it over and it said the car had never been in an accident and had been totaled three times.

I don't really trust that stuff anymore and to make matters worse, I had a client last week. They were looking for a Toyota Corolla, they found one at a Ford used car dealership, so they brought it here and Fort Dewey gave them the Carfax message saying it wasn't totaled. The first thing I did was lift it into the air. and I saw that all the plastic of the landing gear was torn off, they tore off half of it, it was missing, they cut the other half so that it wouldn't drag on the ground anymore and when I looked at the radiator support I found that half of the latch was painted white and the other half was black from the factory, obviously the car had been totaled and repainted, but Carfax said it had never been totaled and they had a

stupid

sticker right on the window that said no warranty, so the used car dealer Ford. they were doing double protection, they put a little sticker on it that said no warranty, but they also gave it to Carfax that said it hadn't been in an accident, so even you could prove it was in an accident and any fool could discover it. the Ford dealer just had to say oh look our sticker said no warranty we didn't inspect it but Carfax said it wasn't vandalized so if you want to sue someone sue Carfax because they told us it hadn't been shake.

You really don't want to deal with any of this when you buy a used car and plus they were asking an ungodly sum for this car, they wanted like eleven thousand dollars for a car that had 120,000 miles on it. It had been totaled and even the body itself had a lot of paint chips because when they did the body work it had been a while ago, but a lot of the paint they put on it chipped and peeled, so they are asking for an outrageous amount. of money for a car that wasn't even in good condition cosmetically, but here again the Ford dealer understood the used car, hey, it's a Toyota Corolla, these things are easy to sell, everyone wants them and they're just hoarding them. highest they could ask, I hope some fool pays that much and if they don't, over the course of weeks they will lower the price until someone buys it and of course most used car lots are trying to sell, I tell you this. extended warranty packages now Consumer reports show that in the United States more than 55 percent of

people

who bought these policies never used them never made a claim, but the average cost was thirteen hundred dollars, so there are thousand three hundred dollars that you will never see again and even if you need to use it, I had a customer that had one of these, the motor died, they tried to use it and the warranty company said the motor was damaged when they bought it, we don't pay for pre-existing conditions, so they didn't fix the engine which would have cost thousands of dollars for free because they said "Oh that's a pre-existing condition, we don't pay for that now of course you want a used car to be looked at by a mechanic like me first" .

You buy it, that's the best insurance, but don't think that these warranty policies, which are just insurance policies, are going to cover all kinds of things that they don't care about and are you really going to take them to court for something that do you know? how much money they are costing if they deny a claim and I will take them to court sure, but who wants to deal with that nonsense in the first place? And another reason not to buy from a used car dealer is that many of them have these. certified used

cars

that they certified well who certified them they certified it themselves and that reminds me what are the craziest things I have ever seen.

I went to a Toyota dealership for a customer who was buying a used car there and I checked it in the parking lot and found out that it was two quarts of oil short, so I told them, well, my customer is not going to buy this car, it's a oil burner, it's missing two quarts of oil and this vehicle had a sign on it that says certified used car, they told me, well, we have it in Services, but don't worry, we're going to repair it, and I told them that it's too late , friend. I see cars that are two quarts low on oil.

It means oil is burning. I looked around, there was no leak, it was burning, the previous owner didn't take care of it now it's too late, the engine was damaged so my client didn't buy the car and this was one that said pre-certified. From ownership, you know once they change the oil, the oil is clean, you won't know it's an oil burner until you buy it and then you're stuck with it, and even if you had some kind of warranty, I've seen these warranties. They say things like well guaranteed against excessive oil consumption, well what is excessive oil consumption to me if I buy a car and it burns excessive oil?

I don't want that car, all those things have so many exclusions they can't get away with it. good idea buying from these professionals, they paid 30 to 50 percent overall or the price they sell it for, well they bought it from someone, why don't you buy it from someone yourself and save. In fact, I used an old guy who did. that for a living he told

people

that he would buy their new car because he knew how to negotiate and thus he could save a few thousand by buying them a new car, as long as they gave him their used car at the dealer's trade-in value, so he got the cars at that price, which is cheap, so he mainly had a used car business where he would then take those cars that he got cheap and sell them at a higher price on his used car lot, so buying them from a private individual, hey, It's a much better idea.

Really because, hey, when someone needs money, cars that might cost six thousand on the street, hey, you're going to say what do you trade in or I just want to trade in the car and not buy another car like a max car, they'll probably offer you. two or three thousand dollars for the car, so when the shoe is on the other foot and you are buying a used car, take advantage of that and buy a good used car from a private individual because, as I said, the deal is professional, but I He I have had many clients who buy used cars from individuals.

Those people, the individuals they bought them from, don't know much about cars and they just got tired of the car because, well, they need to fix this and that and they want to. another car now I'm not saying you can get a Celica like this for 350 bucks like I did. The customer was tired of the car and yes, the bumper was all yellow because he had it painted at a high school and all the paint came off. the yellow underneath was there so I had to ask my body guy to paint it and stuff. There are some deals in the real world that you won't find at dealerships when I bought that Celica and then my son who lived at home.

At the time he was going to college and he also wanted a Celica so I started looking for comparable cars like mine that I bought for 350 bucks, they wanted like 9500 at the Toyota dealer in their used car lot because oh it's a Celica and although I was 20 years old. Oh, it's a sports car and these are really good cars. I'm sure I got a deal on this one for 350. But they're selling something for almost 30 times what I paid for this car. You will never get one. a real deal at one of these used car lots, but if you have to buy at a used car lot, if you do one thing and just tell them you want to see a clean title, you don't want to get one that's a reconditioned title. or salvage title which meant the insurance company and totally because they buy tons of those and then repair them as cheaply as they can and sell them, that's why I tell people don't go to these car auctions either unless you're a professional because car dealership professionals can go with 10 thousand dollars, they can buy five or six cars and they can sell each of them for five or six thousand dollars, so even if they get two or three lemons, they are still making money a lot. of money but you're just buying a car at an auction, it's a lemon, you're stuck with it, so stay away from car auctions too if you're buying a used car that you can use as a daily driver.

I'm always being asked by my clients and you, the viewers, Scotty, should I buy a used car from a car rental agency? My answer is usually no. I wouldn't buy a used car from a car rental agency and my number one reason for not wanting to buy a car is. came from a car rental company it has to do with me and other people who rent cars all the time when I travel distances I have time to drive I fly by plane then I drive a car and when I rent cars I usually earn a lot from them I'm in a hurry I don't It doesn't matter what type of roads I go on I don't really care where I parked the car they are not attended to by the drivers so much the rental cars often take a big beating For a couple of years hundreds of people probably rent each individual car, who knows how they drive, how they took care of it, if they hit curbs, if they backed into things, and here's a big thing that a lot of people may not understand, but they are.

Now I will find that most of the major car rental

places

are so short and thin that they insure themselves. They are so great that they save money that way, but it can be a bad thing if you buy a used one from them if you are yourself. insured, hey they handle everything in-house, the thing is if you've been in an accident you may never find out about the double Carfax if it didn't go through an insurance company. Carfax won't have any information about, oh wow, it went bankrupt. and then they fixed it, they did it all internally.

A customer bought a Mazda at one of these car rental places, about a year later he had a small accident and his man said, "Look at this, this car has been in a big accident before because it has a spare bumper, no It's the Mazda bumper. Well, they never told him that the car had been in an accident, but unfortunately for the car rental company, my client was a lawyer, he was going to sue him and he said what do you want and he says? Well you know I want my money back I paid for the car and I have to keep the car and that's what they gave them but it was still a car that had been in an accident and if you take it a big company. like for example Hertz, last time I checked they had over 400 thousand cars that were selling out in the US, that's a lot of cars and a lot of things can be left unattended I wouldn't recommend anyone to buy one of those cars. myself and that actually brings me to another reason not to buy a car from them, they are priced too high, their accountants went out of their way to say, well we depreciated so much of this and if they say we made 22,500 for the car that is what they are going to ask for and they will not accept anything less they are selling cars and they are willing to let these cars go for this amount of money we do not accept anything less and as I said in a previous video the book value of cars is artificially inflated in the United States the companies that make theseBooks that rate cars at work are now owned by companies that sell used cars, so it is a very corrupt system.

Let's take England and used cars in England are much cheaper than the United States because they don't have as corrupt a system as they have here in the United States to give you an analogy, go to a jeweler, show them a diamond ring , ask for a price, and then say, "Okay, what will you give me?" so, well, they will give you a lot less because they want to sell it and they will make a lot of money, so it is an advantage for them that the selling price for them is really high, although the real value is much lower and with these rental cars.

Companies, like I said, say a low price, you know, with a lot of nonsense, the money they want to get and if you don't want it, hey, they won't sell it to you because in reality used cars are used, anything that is used. As far as I'm concerned it's worth whatever someone pays for it, there is no real value set in stone and considering you would be buying a used car that has been driven by hundreds of different people and the price is very high, it's not fair If you buy a car from a single owner, you know we take care of it, they're thinking, well, I'll keep it for a while, I'll sell it, so I'll put it to good use.

Take good care of it, but if you're buying a car that's been driven by hundreds of different people at a really high price, it's just not a smart thing to do. Car rental companies get a great deal. I mean, look, it hurts if they own it. 400,000 cars are running out. They're going to come to a pretty tight deal on what they're going to pay for these cars, so my friend who works at the Chevy factory said, "Hey, we all knew the next five grand was going to be gone." to a rental car, so we didn't have to be as good at fit and finish because it wasn't bought by an individual who could look at the car, examine it and make sure everything is good, it's being sold in a fleet at a car rental company, let's face it, you know, when you rent a car, when you bring it in, there's usually a very cursory check of the car when you bring it in, especially guys like me, if I leave early in the morning and it's five o'clock . in the morning and you drive it in God you just look around the car and check the mileage and see that it's full of gas and that's it and I personally have to attest to this, they seem to be cheaper ones sent to the rental companies of cars because I once rented a car in Wisconsin, well, I got in the car and closed the door from the inside once and a couple of the dashboard screws fell out of my lap when I closed the door, I guess not I'm very proud in Indiana when they made that rental car.

If these car rental companies are making the best deal possible because the company makes them think well, they really undercut us. We're not making much profit, so let's get these things out of the way as quickly as possible. As we can see, over the decades that I have been renting cars, I had cars whose dashboards weren't even glued, they were warped, many of them had a lot more rattles in normal cars than the ones my clients had even though they were under mileage when you rented them and if you're thinking of buying a used one, say I'm a model known for having transmission problems, people rent them, they drive them like crazy, they don't care that the transmission is weak, it's not their car, An individual owns one, that's how they're going to take better care of it, they're not going to drive it so fast.

They take risks with the transmission revving it too much and stuff, but when it's a rental car, hey. Things happen all the time, so if you have a relatively weak transmission to begin with and you're buying a rental car with that, I've had many customers where it's happened and the transmissions went bad a couple of years after purchasing the vehicle. and of course another reason I say don't buy them is the maintenance factor, the guys that are mechanics at rental car companies, they don't get paid like they pay regular mechanics at a dealership as an example , last time I checked, they were paying around thirty-three thousand. dollars a year for Hertz mechanics, well, Ford mechanics get paid on average about forty-seven thousand dollars a year, so not

only

do the mechanics at the car rental places get less money, but they also they have to work on all the different types of cars that the company buys they say they work at a Ford dealership, he

only

works at Ford, he has all the specialized equipment in the Ford shop and of course he will do a better job, he will they pay more, have better equipment and people can promote all they want, oh we have service records, it's paperwork, it doesn't mean anything.

I have been in many rental cars where the maintenance lights were on when I checked the oil, the oil was low because it had not been changed regularly enough. Hey, the paperwork doesn't mean anything, anyone can fill out the paperwork, what is actually done, may be a whole other story, but let's say you're in a hurry and you have to get a car fast. Well, let's face it, they have a lot of late model cars and yes. They're going to overpay, they charge too much for it, but let's say you're looking at a Toyota Corolla, you're looking at a really bulletproof car.

I have customers with them, they have two thousand three hundred thousand miles and basically all of them. What they did on the cars was change the oil, filter and brake pads when they got worn out and they are still going strong so they can take a lot of abuse before falling apart so if you are having a hard time finding a decent car, maybe get a Toyota Corolla from one of these, but please don't go buy a Chrysler from one of these things, they are already bad enough and new and you buy one that has been driven by hundreds of people who had a customer who did that once with a Seabring and that car just fell apart the first year he had it and if you're going to buy a used car from a rental car company you pay a guy like me, a professional mechanic, to look at it before buying it because, as I say myself. -I'm sure it could have been in an accident, you'll never be able to find out, but a good mechanic, hey, we can find out those things when I check a used car.

The first thing I do is walk around with a flashlight and look for mismatched paint where I can see, hey, this black part has a little bit of white on it and it's a white car, obviously, it's been assembled and repainted, we can find that stuff pretty quickly and Of course, don't listen to anything the seller says. I did it for customers and showed them that look, this car was obviously in an accident and they come back and sell your mechanic like crazy. Oh look, the paperwork shows he's never been in an accident, well, like I said, paperwork, anyone can make up paperwork.

In reality, it is obvious that the car has been in an accident, you don't buy it and you can't trust anyone nowadays, so have a mechanic check it before you buy it, you can notice the imperfections in the paint and if See, this fender is a little different. color than the hood, you will know that it has been destroyed, so you walk away from that car immediately and start looking at the others many times right before they are sold. They make all the cosmetic stuff so let's say you're looking buy one use your nose too because if you smell fresh paint everywhere you know they touched it all up and painted it all just to sell it to you and then a year later you can find that all that painting begins. fade because they didn't do such a good job they just want to make it look as shiny as possible on the outside and unload them as fast as they can because they have hundreds of thousands of them they have to get rid of My advice is don't buy a car used in a rental car lot.

Now I'm a big proponent of buying used cars. CarMax only sells used cars, but there is one main reason you buy a used car and that is to save money and CarMax sells them. The prices are too high, thousands of dollars more than what you can find in many other places. A couple of years ago I had a client who bought a car from CarMax that was five years old, had 60,000 miles on it, and only saved four thousand dollars. than it would have cost new, I mean, really, if you could buy a car that's five years old and has 60-something miles on it and all you're saving is four thousand dollars on a 25 to 30 thousand dollar car.

You might as well go out and buy a new one so my own customers objected to the prices and I even met professionals who told me I don't know how they do it at Carmax but they charge a lot more for their cars and get Yes, CarMax is a great corporation in 2018 with net sales and operating income of over 17 billion dollars, yes billion, so it is a gigantic company, so they have a lot of cars, but they are in lies, many of the problems those have used cars. They come from somewhere, they have to keep delivering more and more, so they obviously don't know much about the cars they are selling you, that's the big problem when you buy a used car that you really want. to find out where that car came from, who drove it now.

I know that CarMax sells cars that were previously rental cars because some customers bought them and had some problems with them, but when I tried to research what percentage was pretty locked up, I don't give much information on any of that, they are a relatively secretive company. I mean, if people found out, I have no idea what the numbers are, but let's say 20 percent of the cars there are rental cars. I made a whole video. about why you don't want to buy a rental car, people drive them a lot, they are not well maintained, it is not a good idea to buy a rental car and a lot of people know this so they don't give any of that information was made public, so they got a car.

They are the only ones in town that have what you are looking for. The first thing you want to do is say: I want to see where this car came from. Was it a rental car was it a rental car by law, they actually have to tell you things that they can't hide from you, they certainly aren't going to offer it to you up front and say, well, you know this was a rental car, but why? law they got to tell you so you have to ask that the first thing I do if I was looking at a car there they told me it was a rental car I just walked is its price or the highway if you don't want to buy a car that you chose at the price they are asking they will say, well , we have others on many lots, look, that's the price they're going to sell it for, they're so big and they work in such massive quantities that they have all those things collapsed and they're not even guided by things like the value of Kelley Blue Book.

They have their own assessment of cars. They don't follow any of that. They see how they paid for what they want. Your profit margin. It's a big corporation, all those numbers are down, you're going to see how many people work there, they're huge places and like me and my little garage, I'm a small-time guy, I know what big places create, they create tremendous overhead. . pay those overheads, if you buy them cars you're paying them their overheads, so they charge more for their cars to make a profit, like I said, some people that are in the business tell me, Scotty, I don't know how The guys get They get away with charging those prices, but they do well.

I know the main reason they get away with this and the main reason is that most people these days don't know much about cars, but they are worth the shape they are. They're in, so they're selling to a pretty ignorant public. Did you ever think you were going to get a deal? These guys are professionals, they buy cars and sell them, they buy them low and sell them as high as possible. They can and with 17 billion dollars in sales last year they are selling a lot of cars for a lot of money for the benefit of a CarMax.

I must admit they have a wide variety of options, they know which cars are popular and which are not. So when I bought a popular car, they will sell it at the highest possible price. They got a third row SUV. They know people are looking for those. They will get the best price for really older cars. They sell at auctions from time to time in their stores, but these auctions are only open to professionals who are in the car business, so they might be able to get a decent deal on an eight year old car that has one hundred and twenty thousand miles that they don't want. sell in your store or I haven't had a customer trade in this clunky Mercedes they had and was totally shelling out six thousand dollars for the car.

I wouldn't have given them 600 dollars and they asked them they said what are you going to do with this Mercedes because it needs all this work they said oh we're not even going to sell it here in the United States, we send them to South America, in South America the cars go for a Fortunately, they like Mercedes, so they will probably fix it there and make a reasonable profit in the United States. If they had fixed it, they would try to sell it, they would have spent so much money repairing it that it wouldn't have made any profit.

I understand that these guys know how to make money, there's no debate about that, but being a bigcorporation, the guys are always trying to sell you things when you buy the car, there they do the tax title license and charge you a premium for that. I don't do those things for free and of course they try to sell you those extended warranty policies which means more profit in their pockets. I mean, it's a big company, they make a lot of money, the largest used car dealer in the United States. I'm not going to get any great deal with them now yeah, it's convenient because they have stores everywhere and if they have the store they say you're in Houston and they have one in Albuquerque that you want, they'll send it to you.

For you, now you have to pay the shipping costs, which are not free. They have a pretty wide variety of options because they're so big and they offer a five-day money-back guarantee if something strange happens and you really get a lemon. verification system, they will give you your money back and everything about buying used cars is about saving money. I mean, if you're just going to save a pittance of a few thousand dollars, you might as well buy a new car and have this one have a 30 of them are new, they have a brand new warranty.

Five years ago I had a customer with a CarMax car after major storms that occurred long after the five-day warranty was up. You found out the trunk was leaking, so you took it to your body man and the guy said, "Oh, this thing's been erect, that's why the trunk is leaking. I had to fold the stuff back and reseal it." so it doesn't leak so I bought a car that had been in an accident, they didn't tell us that in Iraq but it had obviously been in ruins, you are going to buy a used car and you want to save a lot of money if you are only saving a little of money and you still run the risk of buying a used car, buying a new one, and since most people who buy a car also get rid of their old car, they pay a very low value for your car when you trade it in, For example, if a customer had a car and on the street, the thing is worth around 10 thousand dollars, they gave them five thousand dollars for it, so right there they are making five thousand dollars that CarMax asks, the price of the car that they give you. they're selling is higher than everyone else, they're making five thousand dollars for your car and they're making at least 10 percent more than what the car is worth, that's kind of an average of the numbers that I've seen, but many times it is much more than 10 percent of what the car they are selling you is worth, so it is a good deal for them, they pay you half of what your car is worth. you're trying to finish and then they charge you 10 or more for the car you're buying so now you know if you really want to get a good deal on a quality used car stay away from CarMax so if you never want to miss out on Another of my new car repair videos remember to ring that doorbell oh foreigner