31–40 of 55 posts
Earlier quoted context omitted.
Where do rental cars go after they're two or three years old? I've always wondered, but they seem like a stock of well maintained vehicles ready for leasing.
they seem like a stock of well maintained vehicles ready for leasing Please excuse my mirth, but fleet vehicles are generally not well-maintained, and the folks renting cars tend to be hard on them.
That said, just because that's how it works for new cars doesn't mean there isn't a market for leasing used cars. In fact, I could see myself leasing high mileage luxury cars--cars I wouldn't normally buy due to the mileage but wouldn't mind renting for a few years, so long as the price was notably less than leasing a brand new car of the same kind.
If any folks are interested in working on this idea, I'd be up for exploring the feasibility of the project & how we could work together. Contact info in my profile.
I look at that chart and just laugh. Why in the Hell would anyone buy a new car these days!?
Easy: 0% APR + new car warranty + lemon law protection + 0 miles > whatever APR you get on a used car + 30 day at best warranty + 40k-60k miles
I've done both new and used and have had a variety of experiences in both cases. But I probably wouldn't be n a big hurry to buy a used car at this point. I looked around when I bought my last vehicle and the price savings associated with modest mileage used vehicles just weren't especially compelling. (And I wasn't even financing.)
I think this ignores the fact that used car sales are one of (if not the) largest revenue source for dealerships. With current interest rates a lease would probably end up bringing in less revenue than a sale, new cars move at low prices because dealerships get volume bonuses. Those same bonuses don't apply to used cars so you're eating away at your bonuses if people are now tempted to lease a 2012 for less than a ne…
>I think this ignores the fact that used car sales are one of (if not the) largest revenue source for dealerships. No, they're not. New car trades are liquidated at auction houses. Source: I work in the automotive industry.
I think this ignores the fact that used car sales are one of (if not the) largest revenue source for dealerships. With current interest rates a lease would probably end up bringing in less revenue than a sale, new cars move at low prices because dealerships get volume bonuses. Those same bonuses don't apply to used cars so you're eating away at your bonuses if people are now tempted to lease a 2012 for less than a ne…
Generally what you pay for when leasing a new car is the depreciation. This is why luxury sedans like a BMW often have better lease deals than cheaper or less desirable cars--you're only paying for the depreciation, not the base cost of the car, and these cars depreciate much slower. That said, just because that's how it works for new cars doesn't mean there isn't a market for leasing used cars. In fact, I could see…
www.leasetrader.com or www.swapalease.com or a boat load of other websites.
How is this any different?
I think this ignores the fact that used car sales are one of (if not the) largest revenue source for dealerships. With current interest rates a lease would probably end up bringing in less revenue than a sale, new cars move at low prices because dealerships get volume bonuses. Those same bonuses don't apply to used cars so you're eating away at your bonuses if people are now tempted to lease a 2012 for less than a ne…
>I think this ignores the fact that used car sales are one of (if not the) largest revenue source for dealerships. No, they're not. New car trades are liquidated at auction houses. Source: I work in the automotive industry.
Easy source checks are any research on CarMax, a light review of any of Pollacks books(Velocity, Velocity 2.0, Velocity Overdrive)
Source: I am also a domain expert in the auto industry.