Car Dealer Inventory

[Coaldust]

In my OA, some of the big oil producer fleets are putting off new pickup purchases, for many reasons, but a big reason is because fleet models are unavailable.

 

[Coaldust]

I totally understand wanting to pay cash. And you should be able to if you want to.

But, the car biz is all about credit and the dealers are trying to maximize profit now that inventory is low. If you have the cash, It’s no big deal to play the game, put a big down payment get the 2% new car loan, and pay it off in six months.

 

[59 North]

Warning: TLDR

I just upgraded my DW’s daily ride. Her 15 Ford Escape needed a windshield, PTU, brakes all the way around, battery, front marker lamp bulbs, (don’t laugh! Flat rate is 2 hours per side. Remove wheels and fenders) tune-up, fluids and tires. About $5k in maintenance.

Sold it for $15k with 85k miles, but it was super clean.

The Pebble Mine Project just turned in all their lease vehicles to Kendall Ford. They had a 2018 Escape Titanium, optioned out with 11k miles. Kendall sold it as a CPO. Looked like new. $24K

I know, Escapes are a pile of s**t, but my wife really likes them. From a mechanics view, they are all a pile. I like Subaru the best. They still use wire and relays instead of a module for everything. Seriously Volkswagen? Why do you need a $1,000 programmable module for the window regulators?

We've got a '15 also, about similar amount of miles. Not too long ago had some of the same work done, cost was
along the same line.
Now on 2nd replacement windshield and its cracked. Don't recall having to replace this many on any of our previous vehicles.

 

[Coaldust]

The windshield is a rock magnet.

 

[cuttin edge]

My mother has a 2010 Escape with a bit over 75000KMs on it, so around 47000miles. It's been a good vehicle to her. 4 banger. not real comfortable, but it's easy on gas, and I just put $165 bucks worth of gas in my F150, and I think hers holds around $60 and you can drive it forever. You don't get a vehicle that lasts anymore. They bought a little TYM tractor at work this fall for doing some sidewalks. Came with a bucket, front mount blower, and a rear angle blade. Just a step up from a riding mower. Everything on it is plastic.

 

[59 North]

The windshield is a rock magnet.

For sure. And add the Glenn Hwy just for good measure!

 

[Coaldust]

The Escape does well with snow and ice. My DW likes the heated seats and steering wheel. Lol.

I learned the hard way, the trick with the Escape is to change the transfer case oil every 20k miles. Ford calls it a PTU. It only holds a couple cups of gear lube. It runs hot because the exhaust is next to it. The early Escape didn’t even provide a drain plug. You had to drill and tap for one. If you ignore it, expect to replace it at 75k. Or, less if you live in a hot area with lots of Highway miles, heavy loads, hills or towing.

Can’t believe Ford offers a tow package. 3500 lbs and 350 tongue weight.

 

[suladas]

For fun, look at book values of your personal vehicles. Never in my life have used cars appreciated in value. ( Except special cases.)

I purchased a base level Ford 19 F-350 on 1/20 for $42k. Kendall called me and offered $45k. The book value is $55k.

Between Anchorage Fairbanks and Wasilla, there are about 7 Superduty Fords available. All of them are high-trim Diesels, like Platinums and King Ranch.

It is crazy how much they have went up here, I can blame the USA for a lot of it, so many vehicles getting bought up to go south no one has any inventory. Checked 2 massive dealers here, 1 has 1 diesel the other has 3, and they only got like 30 1500's, usually they have at least 200-300.

I bought 2 pickups last April after mine got stolen, couldn't have been better timing with the pandemic just started no one was buying much and I stole them both. Dealers had tons of inventory then, but they wouldn't budge on price.

2011 Ram 1500 Hemi big horn 120k miles and incredibly clean for $8k, after a year and 10k miles other then maintenance it's cost me $150 and an hours work to replace an injector. I could probably sell the truck tomorrow for $14-15k.

2009 Ram 5500 diesel 115k miles for $15,500. Body kinda rough but mechanically great, after 10k miles only thing i've found is actuator in turbo and e-brake doesn't work. I could probably sell the truck tomorrow for over $20k.

 

[suladas]

The really crazy thing is the older trucks. I had a 07 ram 2500 laramie diesel with 45k miles on it that I bought someone else's lemon, I paid $32k for it, took a loss and sold for 30k that was in 2010. Today that truck here would fetch mid 40's like nothing. Even if it had double the miles it would still be worth more then the $32k I paid.

 

[donkey doctor]

I totally understand wanting to pay cash. And you should be able to if you want to.

But, the car biz is all about credit and the dealers are trying to maximize profit now that inventory is low. If you have the cash, It’s no big deal to play the game, put a big down payment get the 2% new car loan, and pay it off in six months.

Wife bought a new 2021 Honda Passport just before Christmas. Had to be ordered so needed a deposit. Wanted to put deposit on credit card to get travel miles. Their limit was $2500 max. Told them $5000 or we will go elsewhere. Quick word with credit manager and we were good to go. Car arrived in Jan. and no problem making full payment with a cheque. I've never had a problem paying cash for a vehicle and always make max deposit they will take with credit card. I'd pay for the whole thing with the credit card if they let me but they always seem to have a limit although it always seems to be negotiable. Guess it depends on how much they are willing to eat in credit card fees to make a sale. d.d.

 

[Coaldust]

With the Escape tow package, I was going to put my DoT numbers on it and send Wifey out with some hot-shot loads.

But, my safety department stopped that idea. Raven the Safety Dog does not approve of the pintle hitch.

 

[John C.]

When I worked for the Cat dealer we had a customer that came in about every three years and bought a brand new 527 tracked skidder with the swing boom and bunching grapples. Last time he came in the women wanted a credit application or no deal. The customer packed up his stuff and headed for the door. The sales rep headed for the corporate sales manager who caught the guy as he was starting his pickup. Turned out his check was good enough.

 

[cuttin edge]

When I worked for the Cat dealer we had a customer that came in about every three years and bought a brand new 527 tracked skidder with the swing boom and bunching grapples. Last time he came in the women wanted a credit application or no deal. The customer packed up his stuff and headed for the door. The sales rep headed for the corporate sales manager who caught the guy as he was starting his pickup. Turned out his check was good enough.

I had an uncle that was worth millions. Had one of the largest logging operations in the province. But he was a working millionaire. He always drove around in a plain Jane Chev truck, and dressed like he just crawled out from under an old Timberjack skidder. He went to the dealer to order a new feller buncher. The sales guy didn't want to talk to him at all, but he was in need of the machine, and asked for the manager whom he had dealt with for years. Your salesman doesn't want to do a deal for me he said. To which the manager replied to his sub, give him ten if he wants them. There are a lot of tire kickers out there, but you never know. I worked with an old fella, a truck driver. He never talked about money, dressed in rags at work. We were on our way home in a company truck for the weekend. He wanted to stop at the Chev dealer. He said come on in. He told the salesman, I'd like to buy one more new car for my wife before I die. He wanted to check out a new oldsmobile. This would have been 1991. The salesman said if you're serious, come to my office and I can get the paperwork done for credit. He reached in his coat pocket and pulled out the biggest wad of cash I had ever seen, and said ( He was French ) I pay de cash. Sales guy had no issue with that, and he drove the car home.

 

[mowingman]

Had something similar happen back in the late 80's. I had 8 truck tractors lined up out by the highway in front of our sand plant, that the company had put up for sale. An old Lincoln Continental pulled in one day and 4 Hispanics got out can came into my office. They said they wanted to buy all the trucks out front, and one of them opened a briefcase that was full of stacks of $100.00 bills. The head guy said, "How much we owe for all 8?". I calmly told them to go to our main office and ask for our fleet manager. They did, and he sold them the whole batch. As they say here in Texas, "Money talks and bulls-it walks".
Jeff

 

[Coaldust]

I’ve never seen a suitcase full of cash before, but a Dock Attended did. A fancy Russian Yacht filled up at the DW Dutch Harbor fuel dock and paid with a cardboard box of cash and didn’t want a receipt.

 

[aighead]

Nothing like good ol' fashion drug money!

 

[joe--h]

Try and rent a car in Hawaii island of Maui cheapest $722 a day people are renting Loes and Home depot pickup trucks to use as rental cars.

My son in Hawaii says the rental cos sold off their fleets when the china flu hit. The tourists stopped coming and the cars were just sitting. Now they can't replace them as there are no cars to buy.

 

[ianjoub]

I’ve never seen a suitcase full of cash before, but a Dock Attended did. A fancy Russian Yacht filled up at the DW Dutch Harbor fuel dock and paid with a cardboard box of cash and didn’t want a receipt.

You can get $1m in hundreds in a shoe box

 

[ianjoub]

Nothing like good ol' fashion drug money!

It isn't all drug money. My cash is legal/legit. I just prefer to use cash!

 

[terex herder]

Cash is good. But anything over $5,000 at a US bank gets a CTR filed (currency transaction report). In some cases just talking to them about cash amounts over $5,000 requires them to file a CTR. Amounts over $10,000 to a business have to be reported. A cashiers check made out to yourself is considered cash and must be reported.