American used car prices

hurfdurf

hurfdurf

hurfdurf

Soldato
Joined
17 Dec 2009
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Why is the American market for used cars so absurd in comparison to ours? Does it differ on a state by state basis because there seems to be no universal valuation guide or price. A car that I would value at about £1.5k in the UK would in turn be advertised in the USA for $7k or so, which seems mental. Also the dealers all look as shady as they come, and would send me running a mile if I were to experience them in the UK.

Can anyone explain the differences to me? Trying to help out an American friend purchase a car but the market is completely different.
 
For a start our prices for used cars are low because our right hand drive cars are not wanted in other countries and we are completely obsessed by the age of the car.
People will choose to buy an '08' car over a '57' car when realistically the 57 one could have been made first and registered just one day after the 08 one.
When I was at primary school I remember someone's mum bragging she had an R reg Metro brand new - She had traded in a P reg one for it!

That said, I am only comparing to Europe and I have no idea on the USA used market.
 
Its not the American market is absurd - its that our market is absurd.

Nowhere else in the world are so many cars so completely and utterly worthless.
 
[TW]Fox;21156833 said:
Its not the American market is absurd - its that our market is absurd.

Nowhere else in the world are so many cars so completely and utterly worthless.
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So how do Americans afford to drive when they are first time drivers? Cars over there seem to be absolute pieces of junk and still commanding $5kish.
 
Yup it was a surprise to me too, virtually everything under $5k is an absolute dog, the equivalent of our 2k to 5k market is probably the $5k to $10k market here.

And yes, my experience, albeit limited, of the dealers in the US are they are all absolute shysters, so maybe not much difference there :D There also seems to be more negotations margin built into the dealer prices though vs. the UK you are quibbling here and there it seems, the lot price is often a fair whack over the private trade price which does indicate they optimistically price on the lots with a view to working downwards - my car was listed for $12k IIRC and I got it for $7k including tax lol, we got a good deal on my wife's car through a private sale, $9k I think it was for a '02 Tahoe, 90k miles or something.

That said, insurance and gas prices are lower so the TCO is probably similar I imagine.
 
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hurfdurf said:
So how do Americans afford to drive when they are first time drivers? Cars over there seem to be absolute pieces of junk and still commanding $5kish.
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New drivers either drive absolute peices of junk, or parents buy them nicer cars. It seems to be a cultural thing over there that parents buy kids a half decent car.
 
hurfdurf said:
So how do Americans afford to drive when they are first time drivers? Cars over there seem to be absolute pieces of junk and still commanding $5kish.
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Bulk buying means bigger discounts on volume brands such as Toyota and Honda, lower overall monthly costs due to lower gas prices, better consumer protection if things go wrong.
 
Slumberbox said:
Depends, this car would be around 9k here, the exchange rate for us$ isn't as good now as in recent years but the price is comparable to a uk model, also the people that drive these types of car I.e professionals tend to earn more in the USA than the equivalent uk based job.

http://cgi.ebay.com/ebaymotors/BMW-..._Cars_Trucks&hash=item2a18a062f1#ht_500wt_948
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The price of these are hugely affected by recent work thats been done, or rather not done, especially over there. That one probably needs $5k of anti-bork pretty soon.
 
Rich_L said:
Yup it was a surprise to me too, virtually everything under $5k is an absolute dog, the equivalent of our 2k to 5k market is probably the $5k to $10k market here.

And yes, my experience, albeit limited, of the dealers in the US are they are all absolute shysters, so maybe not much difference there :D There also seems to be more negotations margin built into the dealer prices though vs. the UK you are quibbling here and there it seems, the lot price is often a fair whack over the private trade price which does indicate they optimistically price on the lots with a view to working downwards - my car was listed for $12k IIRC and I got it for $7k including tax lol, we got a good deal on my wife's car through a private sale, $9k I think it was for a '02 Tahoe, 90k miles or something.

That said, insurance and gas prices are lower so the TCO is probably similar I imagine.
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Wait, are you saying the sticker price was 12k, but your negotiated him down to 7k?! That's absurd.
 
The used car dealers over here are a nightmare, they will just rip you off and they don't give a ****. One of the worst buying experiences in my life.
 
hurfdurf said:
Wait, are you saying the sticker price was 12k, but your negotiated him down to 7k?! That's absurd.
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Hold on yeah that's too much it was $10k sticker price. I paid $6.5k for the car and $800 in tax and fees - it was $7,300 exactly.

Still a fair margin off though. The dealership was horrible, stank of smoke, Bakelite telephones etc lol. I basically bought it in no way ever intending to go back or have them work anyhwhere near my car :p But then also I had some leverage, it's not a 'fashionable' car and the Carfax showed it had been on the lot for 4-5 months so I was content to stick to my ceiling price of $6.5k.

Thread is here complete with fun discussion of US vs UK earnings. :p

http://forums.overclockers.co.uk/showthread.php?t=18207754&highlight=cadillac&page=2
 
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The used car prices were super high when I was in South Africa, up to 5 times what we pay over here. Its strange over there though, they carried on producing the mk1 golf up to 2009 branded the citi golf. Some of them were awesome
 
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Beautiful car!! and right hand drive too :)
 
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