The used car market? Saturated. The battle? About to begin.
America’s largest new-car retailer knows there’s money in them there pre-owned vehicles and has hatched a half-billion-dollar plan to take on the country’s largest used-car retailer. (Read More…)
When is a completed inspection report not a completed inspection report? When it’s issued by CarMax, a California appeals court has ruled.
The court found the country’s largest used vehicle retailer in violation of a state law requiring detailed inspection checklists for certified used vehicles, Automotive News reports. The ruling, which stems from a lawsuit filed by a customer who claimed CarMax sold him a “certified” lemon, shines light on the retailer’s dodgy vehicle inspection practices. (Read More…)
First of all, I want to say that I enjoy your articles and your love of Panther and Fox body Fords. (Woot! —SM)
I’m writing to you about my 2005 Ford Focus SE ZX4 in the hope that you may give me some guidance.
I moved to the east coast (southeastern Virginia) from the Midwest in 2008. A year later, I received a brutal lesson in what coastal flooding can do to a neighborhood and when said flooding finds its way into a vehicle. My Focus sustained $3,500 in damages, and nearly all that amount was due to airbag and seatbelt system damage. I had insurance, so I was only out of my $100 deductible, but the damage cost was such that I now have a branded title due to flood damage.
Earlier this week I wrote about how CarMax is heavily constrained by a market that has flip-flopped between six years worth of heavy car sales and about 18 months of resurgent truck and SUV demand. Long story short, CarMax’s acquisition costs for trucks, SUVs and crossovers has gone up considerably, and the supply of this inventory has cratered due to new car dealers keeping the bulk of this inventory for themselves.
Not everybody liked what I wrote. Case in point.
If you see this Cadillac a-rockin’, you should submit a complaint to the National Highway Traffic Safety Administration.
That, and depressed 2016 sales outlooks, the Federal Reserve rate hike, a Chinese electric vehicle Warrior and CarMax, after the jump.
Fiat Chrysler Automobile dealers won’t be able to sell cars without recall repair work or they risk losing their incentive money under a new agreement with the federal government, Automotive News is reporting.
The agreement was part of the sweeping package penalties imposed by the National Highway Traffic Safety Administration, including up to $105 million in fines. According to the consent agreement by the federal bureau and FCA, the company already asks dealers to complete recall work, but the new mandate would reinforce that existing policy.
In the United States, it’s illegal for a dealer to sell a new car without recall repair work, but no such law exists for used cars. A recent proposal in Congress to force used car dealers to complete open recall repair work was met with opposition.
Though CarMax’s lending arm will press forward with its subprime lending test program, it won’t be a major player in the subprime game.
How do I know you love me? (photo courtesy: zazzle.com)
TTAC commentator dtremit writes:
Hey Sajeev —
Inspired by your recent Mazda3 Piston Slap, I thought I’d throw this question your way. Seems like something the B&B might have advice on.
I have a 2005 Mazda6 that is a rather desirable used car…on paper. It is in excellent condition mechanically, and has fairly low miles for its age (about 78k). Single owner, and I have maintained it well, though I am not sure the mess of receipts in the glovebox counts as excellent documentation. I have a good set of Nokian snow tires for it on steel wheels, which would go along with it. It would make a good car for someone for quite some time to come. (Read More…)
Imagine over 500 cars at your disposal, and you pick the exact ones you want to test on the open road.
There are no mind games. No bait and switch tactics. Nothing but you going to a computer, figuring out the most worthy candidates, and letting a salaried employee fetch the keys and answer the relevant questions to your car search.
Sounds too good to be true? Well, it’s already happened. There’s only one problem.
The place that does it primarily sells used cars, not new cars.
Everyone has a certain point with their daily driver when they would rather see money back in their pocket, instead of seeing more money fall out of their pocket.
Time marches on. That old clunker loses it’s endearing qualities and then, what do you do?
Well, the answer depends a lot on what type of vehicle you’re trying to sell… which is why I’m introducing Carmax’s wholesale operations into this write-up.