Spin Doctor - 2016-12-29 9:37 AM Since I started this thread I have learned a lot thru my research. Most was from a jobber that does truck conversions. Appears he needs a mark up of about 15-20% to get his business to work. Pay 35k for trade in and sell it for 42k type deal (if no repairs are needed which sounded very rare). Most deals, it appears, he needs, 20-30% due to repairs needed. With his overheads, insurance, interest, etc, he is barely paying the light bill with that slim of margin on his biz. The new ones he buys, he can't get enough of a discount or can find them he said. He buys 20-40 a year it sounded like. So he doesn't make much on that end either. In conversation with a salesman at Ford, (was very knowledgeable and forthright with info), he said the Ford 2017s Super Duties, went up 7.25% their costs. They are trying to pass that on for now as Ford really cut production (less than half) on the bigger pickups to create more demand. He said with all the dealer mergers the last few years, pressure from the manufacturers to build the multimillion dollar sales buildings and to inventory 100s of new vehicles, the costs of repairs/labor on the used ones they get in, they need at least 10% at a minimum mark up on new. They start at 30%....The used market has really changed the last 20 years he said. They will not inventory a used vehicle more than 30 days. It goes to auction. They seldom even run it thru the shop. They might change the oil and do a "safety inspection", but they can't afford to do much on the used vehicles. Both said used vehicles that are maintained are increasingly hard to find. Most need a lot of work once they get them in as people are not taking care of them. He went on to say, (heard it from several other dealers also), you are much better off selling your trade in privately, run the sale thru them for $500 to save the sales tax, and pay cash for the new one. If you get a new one that is not floor planned yet (dealer has not paid manufacture yet), they will live with 10% or less margin. More and more used are going thru dealer auctions. He had no idea why, but he guessed it was because the manufacturer is pushing new sales, so the retailer has no room for any used inventory. Interesting....

SpaceCowboy - 2016-12-27 7:53 AM This is why we bought a single-axle Kenworth. Cost was a fraction of even a gently used pickup and should last much, much longer. We have it and two used diesel pickups and NO PAYMENTS! I just cannot justify paying a vehicle payment higher than my mortgage payment. I won't do it. I'll ride my horses to the rodeos first lol.

magic gunsmoke - 2016-12-29 12:10 PM

We bought a 2014 1-ton dually Cummins 4 x 4 for $39,000.00. Had 750 miles on it, and had been on the lot for a little over a year. 

We haggled for three days with the dealer to get that price. So far we are happy with what we got for the price. 

We previously had a 2008 1-ton dually Cummins-that was the same thing, but it had $130,000 miles, we still owed on it, and we were looking at probably putting new tires, getting the wheel barrings done....etc. which would have been $3,000 worth of maintenance. 

Getting something under warranty and our payment increased only $30 a month was worth it for us. Granted our loan started over, but I much prefer to have something under warranty and new that we can maintain vs. something that could leave us on the side of the road with horses and a potentially expensive bill. It just all depends on what works for you and your preferences. We are lucky that our truck is our third vehicle and it is parked unless we haul with it. It will last us a LONG time. Not to mention we got the tradesman package. I love having vinyl flooring as opposed to carpet. So much easier to keep the truck clean and looking nice on the inside.

I think the key if you want a deal is you have to know what you are willing to spend, you cannot budge when they say meet us in the middle. You have to be willing to walk away. In both intances where we walked away the dealer called us back wanting to make us the deal WE wanted. It also pays to shop around for trucks that have been on the lot for over a year-at that point they are costing the dealer money. Most people are not going to pay the same price for a 2014 as they are a 2015. That is when you can find the better deals/prices and haggle and still get a new vehicle.

Below is our new truck and old truck :) 

ruggedchica - 2016-12-29 11:07 AM We decided to keep our '05 Cummins, it has 160,000 miles on it.  And bought a used car with cash that gets 31 mpg instead.  The pickup only gets used for hauling, which lately isn't very often.   What's amazing is the market for the older Cummins.  We have received several offers from dealerships wanting to buy ours.  



 

ruggedchica - 2016-12-29 11:12 AM This is our plan as well, when we wear out the '05 Cummins.   

Rockyroad - 2016-12-29 11:46 AM makes me wonder what mine is worth 

Rockyroad - 2016-12-29 11:49 AM have also been considering this 

ruggedchica - 2016-12-29 10:12 AM


This is our plan as well, when we wear out the '05 Cummins.   

ruggedchica - 2016-12-29 3:48 PM


I definitely wouldn't give it away!  Might not hurt to do some research.  We've gotten letters from several dealerships asking if ours is for sale, saying they want them for inventory.   All have been SE Montana dealerships.    

iloveequine40 - 2016-12-26 8:17 PM


It IS a great deal when you look at the CURRENT prices of buying new which is the context of this thread. We were surprised at the ridiculous prices too and that's why we bought used.