The best place to acquire used vehicles are trade-ins at your own front door…” right? Well, maybe no more. Think about it, how easy is it today to get perspective buyers out of their trades? If you’ve tried lately, you know that it’s gotten pretty rough. They owe way too much money and/or don’t have the down payment to overcome their deficiency.
Now, think about the situation at the auctions. Never before have we seen so much supply in the wholesale market place and so few buyers. I talked to guys every day around the country that tell me about the unbelievable bargains to be found at the auctions. Stories are common about $60,000 2008 Escalades selling wholesale for $38,000 and 2008 Impalas selling for $10,000. Now, ask yourself if the auctions perhaps, aren’t really for the first time, a better place to source just about anything at the best prices.
The irony is that big volume, tier one import stores that always had the advantage in the market because of their trade-ins are suddenly humbled in their used car operations by domestic dealers that are accustomed to stocking their lot with cars from the auction. The bottom line is that there’s never been a better time to be a buyer.