Buying a commuter vehicle using online broker

[Ent]

Hi

You might have seen the colourful online reviewer, John Cadogan. I am looking at commuter vehicle for lot of highway driving so my over capitalise Challenger can be kept for weekend work. Looking at a poverty pack KIA Sportage for 7 year warranty. Not sure if diesel worth the money.

Anyway, read the review by one of the internet's more colourful reviewers that is involved in a broker business. Anyone used this option, and if so your thoughts.

Cheers

[Nab]

I haven't used a broker but have heard they can get good prices without the dicking around with salesmen.

Why don't you want to use the Challenger? How many kms do you plan on doing a year in total?

If it is a financial reason then I'm sure the cost of the new car ($17k???), 2x rego, 2x insurance, 2x servicing etc would be much more than just using the Challenger. And then you have to drive around in a little no frills Kia instead of enjoying the Challenger. The Challenger will still depreciate, in 5 years the resale value of your Challenger won't be that much different to the same car with 100,00km more on the odo. Have a look on Carsales now at what 5 year old-er Challenger's sale prices are.

Then you also have $30k+ sitting in the driveway 5 days a week, I would much rather enjoy it all week!!!

[Ent]

I haven't used a broker but have heard they can get good prices without the dicking around with salesmen.

Why don't you want to use the Challenger? How many kms do you plan on doing a year in total?

If it is a financial reason then I'm sure the cost of the new car ($17k???), 2x rego, 2x insurance, 2x servicing etc would be much more than just using the Challenger. And then you have to drive around in a little no frills Kia instead of enjoying the Challenger. The Challenger will still depreciate, in 5 years the resale value of your Challenger won't be that much different to the same car with 100,00km more on the odo. Have a look on Carsales now at what 5 year old-er Challenger's sale prices are.

Then you also have $30k+ sitting in the driveway 5 days a week, I would much rather enjoy it all week!!!

No doubt a single car is the cheapest option unless you drive something special.

The Challenger has been setup as a toy. The list of modifications reads like a catalogue from an off-roading shop. It has been optimised for off-road touring, and I do not want to exhaust its available life commuting. And also, never want to build another toy. Just way too much aggravation.

Also, it now weighs so much it has become its own gravitational anomaly. I love it and it masters what it has been setup for with ease. Quiet on the highway, carries huge amount of load with no ill effect, and capable going where ever I am willing to go off-road. Sure it can not climb trees, so more compromise, but crikey what a compromise. But with 106,000kms in four years the warranty will be up in five, or 130,000kms, so it would have done its duty as a commuter in twelve months.

Modifications, are bullbar, winch, fridge, electronic trailer brakes, second rear battery, UHF, HF radio, front diff lock, Marks low range gear, Kaymar rear bar with second spare and customised twin jerry can holder, top class sound system, 3M window tinting, rock sliders, full set of bash plates, long range tank, light bar, serious custom suspension, with adjustable front, double tapper rear coils, etc, etc, etc. Almost as much in after market stuff than its new price.

Also, when you go off-road you have a chance of breaking things and walking 230kms to work is not an option while it gets fixed. Part of the hassle of modifications is the short time it has had to be off the road as needed as a commuter.

I plan to run have it for another 10 years and at its current rate at year ten it will be at least 250,000kms and getting long in the tooth for long remote runs. Reliability tends to suffer past 250,000kms, and once past 300,000kms you have to expect something terminal with the engine will let go. Not sure on what does a 2.5HP in, assuming it is not in the dreaded poorly machine head serial number range (which mine is not). Park it as a toy then basically it will last as long as I want it to be around.

Actually a base KIA is well fitted out compared to the 2014 poverty pack Challenger.

[MSF]

CBF'd

[nj swb]

Why do you want new? Take a big hit from depreciation, constrained by servicing requirements, worried about not losing your warranty (for 7 years).

This will be your second car - you can fall back on your Challenger if your daily needs work, so ultimate reliability isn't the only game in town.

Cheap running costs? Buy something cheap that is small (light & agile, the antithesis of your Challenger) & fun to drive - it doesn't need be gutless & slow (not saying the Kia is...) Run it until you're bored with it, flog it and buy another toy. Take a gamble that, worst case, it experiences a major failure - so you sell it for scrap, and start again.

There's a risk that you'll end up spending more in the long run, but you'll have some fun along the way.

[KiwiNTPajero]

agree with above buy a new ish car you will save thousands say something with 30 -50 k

[Dicko1]

I bought my 2014 for around $50,000 in December 2014 with a few accessories. Insurance for 3 years was agreed value of $50,000. Come the 4th year insurance and market value had gone down to $35,000. A loss of $5000 a year...even if I had not driven the car at all. I only bought new because at 61 I reckon this will be my last car...At 70 odd I can see annual licensing medical tests become mandatory and I only do about 13,000k annually. If I was a younger dude at the time then a new car would not even be a consideration. Your getting fleeced on the real value with a new car and then the depreciation is another hit to the hip pocket. Plenty of low kilometer cars out there...it is a buyers market.

[Ent]

Tassie second hand market is rather a strange beast compared to the mainland market. With the oldest fleet in the nation secondhand bargains are rare. You simply do not bother with dealers and buying on Gumtree, etc, it is generally older cars. In Tassie most youngish second hand cars have been sold for a reason that you would not want to buy them. Also, crashed mainland cars make it to Tassie for repairs and resale.

Also Tasmanians are terrible for servicing their cars. Backyard mechanics abound, which is not bad if they follow the proper service protocols, but many do not. Before buying the Challenger in 2014 I looked at a secondhand Ranger, BT50 option and found most were not serviced by the dealer, and when chatting with the owner many were very proud how much they saved, and told me that transfer case, differential gear oil, etc did not need replacing.

Depreciation is significant, but after five years you generally find in Tassie second hand cars are selling for 60% of new price at the five year mark, and given ten year life that means you are actually incurring higher depreciation, unless the vehicle you buy has some resale value. Your servicing costs rise as well with 100,000km services being very expensive. These services tend to be compromised by owners hunting out mechanics that claim the full service is not required, or hammering good mechanics into taking shortcuts. So it is not so much the mechanics been bad, it is the owners been tight. You are up for brakes, battery, clutches, tyres etc buying secondhand where buying new you get around 50,000-100,000kms before such items become necessary.

I found with secondhand cars you have two issues, the usual finding the make/model you like, and then the hassle of finding the right one. As mentioned I looked long and hard at the Ranger/BT50 option, and just got frustrated at the stupid price demanded by dealers, no warranty, and poor service history, plus the endless harassing calls from salespeople. A good example was my friend brought a secondhand Ranger with the dual mass clutch and six months later was $3,500 poorer. The original owner benefited from the 120,000kms trouble free motoring beforehand.

I do not enjoy shopping for cars. Confession time, I have never brought a secondhand car in my life, ok brought my work cars, but had the two I brought from new. With the demise of the company car thanks to ATO making better to cash out cars I provide my own. Twice I was let down by a new car (Holden of course under fleet ownership) and it was just a case of ring the dealer, be picked up, and then collect the car when fixed. Secondhand car it is all up to you.

I do enjoy watching John Codagan's car reviews, and though he is a self righteous arrogant whatever, his points are correct. His review of say the Holden Astra was very much on the money. Most car reviewers assume that you will be buying a car and doing a four year test drive when in fact you are buying a car and different things then matter, like running cost. It annoyed me greatly when Mitsubishi abandoned its long warranty period as "not been a successful marketing tool". Peanuts salespeople with manufacturer three year warranty period models are now attempting to make a virtue of short warranty periods claiming their make does not need the longer warranty. As for service intervals, please explain why the same motor in a Nissan needs 10,000km service intervals while if sold by Renault 15,000kms is ok?

Lot of research suggest that the Koreans lead the way in cost of ownership and peace of mind. Kia been the best. As for great cars, Mazda are hard to go past, but short warranty periods and smaller driving positions rule them out for me. I was looking at a WV Golf but frankly WV Australia's behaviour is criminal. In some countries with proper consumer law they did the right thing, but in Australia their behaviour as witnessed by the current court case confirm that they are scum to core. Sister and brother-in-law both own WVs and their treatment by WV is horrible.

It amuses me that a manufacturer can release a lemon, run away from it, and then three years later release a new model claiming all is fixed and expect forgiveness. What is weird many people grant them this forgiveness and attack people that do not.

It is interesting with the Tesla they as a company have walked away from dealer networks and playing the model game, instead, you have option packs and 450,000 buyers are paying a $1000 each for the privilege of buying a car when it turns up.

The model for buying cars is changing. So hence curious of peoples experience with car brokers. I have my doubts that they will achieve what they claim, but maybe they will. One thing for certain, I am over the traditional use car salesperson that figures harassing you is a good approach. On my PC Challenger I struck as salesman that thought I was eighteen and carried on like a pork chop. I walked out of the dealer thinking stuff Mitsubishi to be intercepted by a friend that suggested we should go to a rival dealer in another town. I then brought my Challenger there.

[spot01]

A brand new good general "run around" car can be had for well under $20k drive away. with good quality, proven reliability, long warranty, low fuel use & cheap servicing, eg, the "made in Japan" Mitsi Lancer. The Thai built Mazda 2 or Jap built Mazda 3 are also good value, among many others. This is where I'd be looking.
BTW, with the Japanese end of financial year on 31 March, now is probably the best time to do a deal on a 2017 car, as some dealers may be struggling to reach their annual bonus targets (below cost deals may be possible, speaking from experience........).

PS - I wouldn't bother with a broker, as someone (you) has to pay their fee - cut out the middle man, simply tell the dealer what you want & what you will pay "take it or leave it" - worked a treat for me. Use the best deal nationally on Carsales as your benchmark & offer that as cash, no trade in & will sign now.

[Ent]

Thanks for the info on the Japanese end of financial year. I found at a major agricultural show a senior salesperson prepared to say that the sales force often try to pocket the bonus, so do as you say can result in specials been released.

Friend found local dealer would not sell at the website price the special wanting to up sell a higher spec at full retail He rang another dealer and they were happy to sell the special.

[Ent]

You might have encountered the situation where you thought, um? this is worth a shot and then found out afterwards that the laws of the universe have not changed and it would never live up to its claims.

Well this is the broker. Brilliant offer for a Kia Sportage petrol $38,500 for the base model. Err Kia lists a special Australia wide at $31,690, and this is the premium! I pointed this out to them, they checked Kia's website and agreed, apparently some dealers lob a highball offer in. No hassle that some peanut at the dealer does this, but surely "Australia's leading car broker" should intercept such stupidity and not ring up and expect me to buy?

O'boy, lets hope I have not replaced an aggressive local car dealer with a phone jockey. Err, yes this the second person handling the "deal" as the first one left and they have no notes, so back to explaining what I am after.

[littleriver]

why on earth would you go through this guy ... biggest tosser around ...

Ent you could do a much better job yourself on finding a car .... $25k for the demo 2wd & $26,500 for a new one (car sales heaps of them) ... 2017

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[littleriver]

how about a Toyota Corolla

https://www.carsales.com.au/bnc/details/Toyota-Corolla-2018/SHRM-AD-5863831/?Cr=11

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[Ent]

Call it an experiment that has gone wrong Still got a chance to send him and email in his style over what I have experienced

Local dealer is rather over the top with pricing so hoping that someone would do the leg work for me. I find locally dealers just do not respond to emails or phone calls, and visiting in person results with some salesperson wanting to be your new best friend when all I want, as you state, is the best price. I wish I could get that pricing locally. The local dealer thinks $27,990 for the base petrol of 4,000kms on it as his company car is a bargain. I call that overpriced secondhand. It was in shabby condition as well.

Friend suggested trekking to Hobart (500kms away) and maybe commonsense, maybe not, will apply to the pricing. Your pricing is pretty much what I was hoping for, but locally not an available.

Might retreat back in my box and let DooSo do his last year under warranty as a commuter and with a bit more free time practice my "take it or leave it speech".

[littleriver]

surely you can go to say Melbourne and pick one up there and bring it back ?

Will save you $$$ ...

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