How important is honesty to you in used car sales? To me, its important. Very.
#1: I want to be able to know that my dealer has SOME level of integrity
#2: I want to know that the dealer DOESN’T think I’m a complete idiot.
With that said, let me explain what happened the other day. I found a listing on CraigsList for a 2002 Chevrolet Z-71 Suburban. The truck is listed as having 133K miles and the asking price was $8,800 or best offer. There were four pictures to represent the Z-71, but of those four, not one was of the front of the truck. The picture of the rear of the truck showed that there was clearly damage from an accident and had bent the rear bumper and rear door.
I decided this truck was close to what I am looking for and called the seller.. He said he got it wholesale, was negotiable, and something about the title he’d show me once we’d negotiated a price. He stated that the Z-71 ran fine and in great condition, aside from the noted damage. He gave me an address, told me his brother would show me the truck so I left to go look at it.
Upon arrival, I saw the truck sitting in the parking lot. I drove completely around the Z-71 to get a full look at it before committing myself to engaging his brother. The front windshield had a considerable spiderweb crack in the middle, the inspection sticker was going to expire at the end of this month, and the damage to the rear was much greater than the picture gave evidence of, but nothing that would change my mind. Yet.
I went inside and got the brother’s attention, who in turn handed me the key while walking outside with me to discuss the truck. The key was just a copy like you would get at any hardware store. There was no remote key fob even though there should have been. These things sell on eBay for $20 to $30. At this point, I’m starting to change my mind.
I opened the driver’s side door and climbed in. The dash and console were dirty but appeared to be in good shape. Nothing a good cleaning wouldn’t take care of. The next thing that hit me was that the truck smelled horrible. I mean, seriously horrible. I looked at the carpet which was in a condition that could only be described as in desperate need of cleaning. Structurally, the carpet looked fine, just really worn and dirty. He told me that the truck was a trade-in to explain the smell and carpet and that the lady who traded it in had a lot of kids. Any professional car wash would have taken care of these issues, costing the seller only about $35 to $50.
I put the key in the ignition and started up the truck. It started right up and sounded like it was running good. The rear door sensor was lit up, obviously due to the damage. Without taking it for a test drive and giving it a good look underneath, it would be hard to tell if there were any real issues.
I told the brother I’d have to do some research because they were asking Kelly Blue Book Trade-In Value, Good Condition, and that I felt it was too much. I also told him I was looking at 2000 / 2001 Lincoln Navigators and they were similarly priced but not comparable in condition. He told me that he had a 2003 Navigator and the airbag systems were shoddy and to avoid it. He really wanted me to believe that for $8,800 I was getting a good deal, that I could spend some money to make it “mint” condition, bringing up its value.
I then asked him about the rear damage and if it damaged the frame. He said the bumper wasn’t connected and could be replaced. The damage to the rear door could be fixed cheaply. I thanked him for his time, gave him his key back, and got out of the truck. I moved to the back of the truck and got on the ground. Sure enough, the bumper is directly connected to the frame. By the look of it, it was possible that there could be some SLIGHT frame damage which of course, would require straightening if I planned on keeping this truck for a while.
As I got back into my car, I realized that the papers in the truck showed it as a repo. Based on the trailer hitch and surrounding area, I’m guessing most of that damage was done during the repo.
I really thought about offering $7,000, assuming I could replace the carpet for around $300, get two key fobs of eBay for another $60, and pay $50 for a professional car wash and interior cleaning. Throw in another $200 to cover the front windshield and inspection sticker in order to be able to drive it in Texas and I’d only be out around $7600 or so.
However, his lack of integrity threw a big shadow on any other issues that might have been questionable. Since I’m considering starting my own used car business, this was a good lesson in how to treat possible buyers, what to disclose, and how to negotiate.
Stay tuned…