Tough Questions to Ask When Buying a Used Exotic Car
Going to the dealership to buy a used exotic car using our strategies can be fun, but also very critical as buying the car right can almost guarantee a profit or a loss if you don’t. The goal of seeing the car for the first time is to not only do your due diligence on inspecting the car, but also on setting up your negotiation strategy by understanding how much money the dealer has invested in the car. This allows you to understand how and what to offer that will close a deal.
The salesman will ask you a series of questions (typically during a test drive) that will give them similar information. They will ask you what you drive now (to see if you are upgrading or not). They will ask you if its financed and if you will trade (understanding your financial situation). Finally, they will even talk to you about your monthly payment to give them a gauge of affordability as it pertains to this next car. Every question is a trap and usually not required to answer during the test drive so it is best to deflect such questions.
The same way, however, you can start asking questions to determine how much money they have in their car and get some basics to help you later on. Ask the following questions and you’ll be bound to make a more educated offer.
- Did the car come from auction or from a trade?
Cars that are purchased at auctions are usually much cheaper, than those which were acquired by trade. When dealers trade, they tend to sometimes be more generous in order to close a deal. So when a car comes from auction, it is typically easier to know how much dealer bought it from.
- Does CarFax really matter?
The answer to that question is yes. While it can have it’s quirks, such as some accidents not being reported if taken to some back end shop, or failure to report title changes. These instances are few and far between with these level cars, with more of a need for documentation than a Ford Focus. CarFax is a helpful tool when negotiation at the dealer. Being able to see the cars history allows the buyer to bring up key points that could help lower the base pricing of the vehicle. Instances such as the car being at auction will be reported, along with the “for sale” date at the dealer the car currently sits at and that allows you to play the 30-60-90 day trick we teach you inside the course.
- When was it serviced last and can they provide documentation?
Trying to understand how much the dealer did mechanically or aesthetically when buying the car once again gives you a good gauge of how much money the dealer put into it on top of the money he paid for the car itself. The more it needed, the cheaper they bought it and therefore it may create a better opportunity to buy it. That is why it is always important to ensure you get a Pre-Purchase Inspection (PPI) done on the vehicle before final signing so you can ensure there is no hidden issues that the dealer is withholding.
- What was the original listed price?
Whatever the price is today, gauge how far it is from what the original listed price was. It is best to know what the original price started at to determine how much they must get for the car. Ask how long the car has been sitting and if it was reduced. If so, how many times or from what amount. You want to buy a car that is aggressively priced to get the hell out of there.
- What options does the particular car have?
When looking at specific exotic cars, some models have more options than others. It is important when investigating used models to ask your salesman for the “Sticker Price”. Inside the Sticker Price you’ll find a list of every single option the car has along with the dollar value associated with it. Carbon fiber is one of the most sought after option in the exotic car market both on the exterior and interior of the car. Anything from the steering wheel, dash, front bumper, diffuser, or spoiler can all be carbon fiber. (Ferrari’s for example can have an additional $30-$50k into the MSRP just from the carbon additions alone.) Interior options alone in Mercedes-Benz can raise MSRP anywhere from $10k-$15k thanks to their Designo interior. While the value of the car itself shifts due to state of the market, the options will always remain at the same dollar allowing leverage from a resale standpoint.
The principles here at Exotic Car Hacks should be enough to help you save thousands off your next car, and still give you the ability to buy the car you want, not the auction car no one wants.