A common question I get is “Does Exotic Car Hacks work on any car? Or only exotics?”
The answer is a complicated “Yes, but…”
Yes, my strategies work on all cars – but it works best on exotics and specialty cars because of the margins and supply and demand.
Here’s what I mean.
You can always learn our negotiation strategies and apply them to any car at any dealer, but they will only get you so far on normal cars.
Simply put… the margins on normal cars versus exotics are different.
If a dealer buys a Bentley for $128K on trade, it’s common for them to list it up to $179K giving them over $50K margin.
Even if the hack price for you is $140k, the dealer still makes 10%!
A Honda dealer cannot sell a $20K Honda for more than $25K, so their margin is much smaller.
The point is that without big margins you can’t drive for free, but with them, you can drive for free and recoup more margin on your own when you sell.
The concept is useable on any make, but will not bring the same level of return.
I am saying that it’s actually EASIER to drive an exotic car for free than a normal car…
This brings me to:
Supply and Demand
I always say that hacks are made on the buy (which is true!) but it’s obviously your ability to sell your car at top dollar that will allow you to exit the hack successfully.
When you’re trying to hack an everyday car, like a Scion FRS, for example, it’s important to know that Toyota/Scion sold over 70,000 of them in the U.S. since 2012.
That much supply in such a competitive price bracket (sub $20k preowned) means that these cars will change hands often and as they age, more will sit on the market waiting for a buyer.
Eventually, supply will outweigh demand and they will only sell based on price, not value.
There will be dozens on the market similar to the one you are buying or selling, so the market is already set for you based on supply.
On the other hand, let’s say you were hacking one of our favorites, the Lamborghini Gallardo.
Lamborghini only made 14,022 of these worldwide in 10 years.
That means if you have a well-presented car with a great spec (the way I teach you to find one using Exotic Car Hacks), you can sell on the value of your specific car and command top dollar for your listing.
If you can’t afford a Gallardo yet, that’s OK!
I recommend looking at some of the more affordable exotic cars on the market to kick-start your car hacking and credit building journey.