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      08-18-2013, 03:36 AM   #37
tony20009
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Drives: BMW 335i - Coupe
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Quote:
Originally Posted by fazman View Post
What is the edmunds.com price for the same spec car if u try the "appraise my car", as if u were going to sell the car to the dealership. Then aim for that price as your target. If the car sales guy won't budge... Tell him u are working on a private seller as well and you want to see how that goes because that guy is motivated to make the sale now.

Tell the dealership guy to hang on to your number and give u a call when the numbers can work (hopefully you will still be on the market for a car when he's read to sell). So basically by saying this you have flipped it to the bmw salesman is not willing to sell you the car and he can just keep his parking lot growing and no commission. He will call u in a couple days and thats when you have to say "the private party guy is ready to get a ppi done on the car with me on the weekend, has anything changed on your side mr salesman? Let me know if your ready to sell because i'm about to pull the trigger on another car". That will light the fire u need.
The Edmund's price is an estimated wholesale value. The difference between selling your car to a dealer and selling it to a non-dealer is that a dealer will only pay you something less than the actual wholesale value for the car. The reason this is so is that dealers have exclusive access to wholesale auto auctions at which they can buy the very best of used cars at a wholesale price.

Unless your car is in perfect shape, needs no input of resources and has inordinately low mileage, the dealer sees your car as being no better than the best cars he can buy at auction. Moreover, to buy your car and keep it on his lot, he must actually pay for it out of his pocket rather than being able to floorplan it as he does the rest of his inventory. That's because you want your money for the car "now." If instead he sells or consigns your car to a wholesaler, he may not be seeking to make a ton on that transaction, but he intends to make some amount of profit. Accordingly, the dealer cannot pay you full wholesale value for the car and think he can make money selling it on the other side of the industry.

FWIW, I can't see the dealer being too concerned about competing on a price basis with a private seller. He already knows his car is going to be more expensive and that he can't beat the price a motivated private seller is willing to accept. On the other hand, he can offer a buyer CPO coverage and a private seller cannot. The dealer can also offer financing, which opens the door for the buyer to then create some competition between BMWNA and the buyer's bank, bookie, or whatever. (I don't recall if the OP is financing or paying cash.) The dealer can administer the tax, tag, and titling of the car for the buyer. A private seller cannot. I'm not saying the hardball approach you suggest above cannot work, but I think it's likelihood for success is low. If instead the OP can play one BMW dealer against the other, the principles behind your suggestion will likely play to the OP's benefit.
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Cheers,
Tony

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'07, e92 335i, Sparkling Graphite, Coral Leather, Aluminum, 6-speed

Last edited by tony20009; 08-18-2013 at 03:50 AM.