rev up your engines, today I'm gonna tell you why you should not buy a used car
from a used car lot, numero uno is they just charge too much money for their
vehicles, guys that are selling used cars they're pros they do it for a living
they want to squeeze every last dime out of the car, they have no personal
involvement in it, it's just a used car they're selling, generally their Commission is
the percentage of the sales, the higher the price the more money goes in their
pocket, and generally to use car Lots they will go anywhere from two to four
times what they actually paid for the vehicle that they're gonna try to get
you to pay, and being professional car salespeople, if they got a car they know
sells, they'll wait until they get as much as they possibly can, if you're buying
from a private individual most people are in a hurry to get money, cars are one
of the few big liquid assets that you can get money fast for
and of course when you buy a car from a
used-car Lots, they often have a lot of backend extras that they don't tell you
about until it's too late, if you ever do go to a used-car lot
and you have no choice because you can't find what you want except there, ask them
what the price of the car is drive out, not what they say it costs and then
they're gonna add all the stuff, you want tax, title, license, any fees they have
I've seen some places add nine hundred or a thousand dollars of extra fees
including, getting the registration in your name, dealer prep cost there's all
kinds of hidden things that they'll often stick in, and of course a private
individual isn't going to do that if they're selling you a car, so of course
price is a big deal, but reliability is also something that you got to think
about, I know now they advertise all over the place these used-car Lots will say
oh check the CARFAX we have the CARFAX on the vehicle, well all that does is passed
responsibility on the CARFAX not on themselves, and from my experience
it's not that reliable anymore, if you've watched and of my other videos
I told about my old cameraman who had a Honda that he bought from a collision
shop that had been totaled, totally two more times
and then when he was buying a used car just out of kicks he carfxed it
and it said the car had never been in a wreck and it had been totaled three times
so I don't really trust that stuff anymore. and too add insult to injury, last week I
had a customer, they were looking for a Toyota Corolla
they found one at a Ford dealer used-car lot, so they brought it over here and
the ford dealer gave him the CARFAX thing that said it hadn't been wrecked, well the
first thing I did was jack it up in the air, and saw that all the plastic stuff
on the undercarriage was ripped off, torn, some of it or half of it was missing they
cut the other half so it didn'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 the factory black, now
this was a white Toyota, so obviously the car been wrecked and repainted, but the
CARFAX said it had never been wrecked, and they had a stupid sticker right on the
window that said, as is no warranty so the ford used-car dealer there was
doing a double protection, they put a little sticker on it says, as is no
warranty, but they also handed the CARFAX that said it hadn't been in a wreck, so even
you could show it was in in a wreck and any fool could find that out, the Ford dealer
just had to say, oh look our sticker said there's no warranty that we didn't
inspect it, but the CARFAX said it wasn't wrecked so if you want to sue somebody sue
Carfax because they told us it hadn't been wrecked, you really don't want to deal
with any of the stuff when you're buying a used car, and on top of it all
they were asking an ungodly sum for this car, they wanted like $11,000 for a
car they had 120,000 miles, had been wrecked, and even the body itself had a
lot of paint chips on it, because when they did the bodywork it had been awhile
back because the paint didn't smell anymore, but a lot of the paint that they
put on it chipped and flake off so they're asking outrageous amount of money for a
car that wasn't even in that good shape cosmetically, but here again the Ford
dealer used car they understood hey it's a Toyota Corolla these things
are easy to sell everybody wants them and they're just stacking it up the
highest they could possibly ask for it, and hope
some fool pays that much and if they don't, then over the course of weeks they'll
lower the price until somebody buys it, and of course at most used-car Lots they are
trying to sell you these extended warranty packages now
consumer reports showed that in the United States over 55% of the people who bought
these policies never used them, never made a claim, yet the average cost was
$1,300, so there's $1,300 that you'll never see again, and even if you need to
use it, I had a customer they had one of these and the engine went out, they tried
to use it and the warranty company said, the
engine was damaged when you bought it we don't pay for pre-existing conditions, so
they didn't get the engine repaired 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 to have a mechanic like myself check out a
used car before you buy it, that's the best insurance, but don't think that
these warranty policies which are just insurance policies, are gonna cover all
kinds of stuff, because then you're arguing with an insurance company,
usually a relatively large one, they don't care about you, and are you really
going to take them to court over something, they know how much money that
cost and if they deny a claim, take them to court sure, but who wants to deal
with that nonsense in the first place and another reason not to buy from
used-car dealer is, a lot of them have these certified pre-owned cars that they
certified, well who certified it they certified it themselves, and that reminds
me of one of the craziest things I ever saw, I had gone to a Toyota dealer for a
customer who was buying a used car there and I'm checking it out in the parking
lot, and I find out that the thing is two quarts low on oil, so I told him I said,
well my customers not gonna buy this car it's an oil burners it's two quarts low on
oil, and this vehicle had a sign on it that said
certified pre-owned car, they told me oh well we haven't serviced it yet don't worry
we're gonna service it, wchich I told them it's too late now buddy
I see the cars is two quart low on oil that means it's burning oil, I looked around
it wasn't leaking it was burning oil, the previous owner didn't take care of it
now it's too late, the engine has been damaged, so my customer did not buy the
car and this was one that said certified pre-owned, you know once they change the
oil and the oil is clean you're not gonna know that 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
seen these warranties they say stuff like, well guarantee
against excessive oil consumption, well what's excessive oil consumption, to me
if I bought a car and it burns any oil, that's excessive I don't want that car
all those things have so many exclusions they can get away with, it's not a good
idea to buy from these pros, you're buying a car from a professional at a
used-car lot, they paid anywhere from thirty to fifty
percent generally of what they're selling it for, well they bought that
from somebody, why don't you buy it from somebody yourself and save, I actually
used to know a guy that did that for a living, he told people that he would buy
their new car cuz, he knew how to negotiate so he could save a few
thousand buying a new car for them, as long as
they gave him their used car at the dealer trade-in value, so he got the cars
at that price which is cheap, then mainly he had a used car business, where he
would then take those cars he got cheap and sell them at a higher price at his
used car lot, so buying from a private individual, Hey much better idea really,
because hey when somebody needs money cars that might go for six thousand on
the street, hey you go to trade it in, or I just want to trade the car not
buy another car like at car max they're gonna probably offer you a two
or three grand for the car, so when the shoe is on the other foot and you're
buying a used car, take advantage of that and buy a good used car from a private
individual, because as I said the dealers are professionals, they know how to make
money selling cars, it's sort of like you might think you're a good poker player,
well take a trip to Las Vegas and play at a high-roller stake poker game,
they'll probably eat you alive, because they're pros and they really know what
they're doing, but I've had plenty of customers buy used cars from private
individuals, those people the private individuals they bought them from, they
don't know all that much about cars and they just got tired of the car because, uh
well they need to fix this and that and they want 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 yeah the bumper was all yellow cuz she had it painted at a high
school and it all came off the paint and the yellow underneath was there, so I
had to get my body guy to paint it and stuff
there are some deals out there in the real world, but you're not gonna find them
at dealerships, when I bought that Celica
then my son who lived at home back then he was going to college,
he wanted a Celica too, so I started looking around,
well comparable cars like mine that I bought for three hundred and fifty bucks,
they wanted like $9,500 at the toyota dealer at their used-car lot, because oh
it's a Celica and even though it was twenty years old, oh it's a sports car
and these are really good cars, and 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, your
never gonna get a real deal at one of these used-car Lots they're pros they
know what they're doing but if you have to buy from a used-car
lot, if you do one thing and one thing only,
tell them you want to see a clean title you don't want to get one that's a
reconditioned title or salvage title, it meant the insurance company had totaled it,
because they buy tons of those and then fix them as cheap as they can and sell them,
which is why I tell people don't go to these car auctions either, unless you're
a pro cuz the pros at the car Lots they might go with 10 grand,
they might buy five or six cars and they might sell each one of them for five or
six thousand dollars, so even if they get two or three lemons they're still making
a lot of money, but you're only buying one car and an auction, it's a lemon
you're stuck with it so stay away from car auction too, if you're buying a
used car that your going to use as an everyday driver, so now you know why not to buy
cars at a used-car lot, cuz if you use your head you can save a lot of money
buying a used car, but don't try to play the game with the pros, they'll win and
you'll lose, so if you never want to miss another one of my new car repair videos,
remember to ring that Bell!