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RV-Dreams.com Home -> RV-Dreams Community Forum -> Buying An RV -> New vs 1 year old from a dealer
Post Info TOPIC: New vs 1 year old from a dealer
Phyl


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New vs 1 year old from a dealer
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We plan to buy used but a quuizical thing happened yesterday. While looking at our local camping world yesterday we found a used 2015 in the fllorplan that we love. Rear living with oposing slides. When we asked about price the sales manager told us the price then said that they have an identical 2016 for only $1K more. The obvious advantage to the 2016 is that you start with a new warranty. Now my skepticism kicks in. If an rv loses 20% or more of its value in the first year, and having traded in a camper with them before, i know they wouldnt have allowed anywhere near full value to the owner when it was traded. I thought perhaps it was a repo, but also know they would have had to get 10% or more as down payment for a lender to finance it. Assuming the buyer made at least a few payments,there would still be more than 1,000 dollars difference, dont you think? Knowing also that dealers use credit to keep their lots full, just like car dealers, they need to turn over merchadise to maintain sufficient cash flow to pay employees, the light bill and interest payments on equipment as well as the "floor plan" (interest on the merchandise they sell), how can they stomach the bleeding from a unit that is 1 year old and priced that near the new unit? I have to think there is a way to get the 2015 for 75 to 80% of their asking on the new one. But how? What does one say to have them consider that? Im thinking about throwing them an offer at 75% of new and hoping they, at worst, counter at about 80%. Any former sales managers, for rvs or autos, out there (or others with experience or knowledge of this type of business) tha would consider sharing the possible thinking in pricing this way? Any thoughts on how long it might need to sit on the lot before it starts to hurt? Thanks

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Phyl
BiggarView


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A few factors to consider... while floor plan is identical, optional equipment may not be. You can bet dollars to donuts that he took it in at way under the sticker. If it's an apples to apples compare I'd definitely consider it like you suggest, come in at 75% for instance. Another to do is check the NADA value for the models in question before making any offer. Try getting in touch with the previous owner. you might gain some insight to help make an appropriate offer. Even new models don't command MSRP so be wary of the $1000 more claim. If that was true (apples to apples options and model-wise) then he's overpricing the used unit by a wide margin unless it is a consignment and the dealer may not have much control over asking price but he certainly can influence the seller depending on the motivation. In that situation he'd rather move his own inventory over that of a consignment.  He's trying to sell and you are looking to buy.... need I say more?

JMHO, Brian



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Brian, Cindi & Josie (our fur baby)
2017 RAM 3500 Laramie 4x4 CCLB, CTD, Aisin, B&W hitch, dually
2020 Keystone Montana Legacy 3813MS w/FBP ,MORryde 8k IS, Kodiak disc brakes, no solar  YET!
LifeBeganInaWinnebago


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I think Brian is correct. A new unit will usually bring about 75% of MSRP. So a used one should be significantly less. Compare the options and make an offer on what you think it is worth and don't worry about what they tell you they have in it. Good luck with the shopping.

Mark

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ticat900


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LifeBeganInaWinnebago wrote:

I think Brian is correct. A new unit will usually bring about 75% of MSRP. So a used one should be significantly less. Compare the options and make an offer on what you think it is worth and don't worry about what they tell you they have in it. Good luck with the shopping.

Mark

exactly(above) what to do Marcus Lemonis  has  a  lot more ** $$$$***   than you do



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kb0zke


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Good points here. Remember that CW may not have the best prices around. Check www.pplmotorhomes.com/ for some comparisons. Scroll down on the page to Used RVs and ... to see if they have sold something similar to what you are looking at, and, if so, for how much. Unfortunately that won't tell you what the original asking price was, but it will give you a bit of additional knowledge. Better yet, if they have a rig for sale that is like what you want, at a much lower price, you will have some leverage (maybe) with the dealer.

There are many reasons why someone would trade in a 1-year-old rig. One common one is that they simply bought the wrong coach and are trying to get the right one. Another might be a health issue.

Remember, too, that the value of a thing is what a buyer is willing to pay and the seller is willing to accept. Also remember that a sales person will often try to push the item HE needs to sell rather than what YOU need. Also, there might be some factory-to-dealer incentives available that would make the new rig more attractive than the used one. We're looking at a new towed, and I can actually order a new car (equipped the way we want it) for less than a two-year-old similar car! (Well, if I believe the asking prices - which I don't.)

Do some research and don't be afraid to shop around. Even if you end up buying from CW you will at least know whether you are getting a decent deal or not.

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David, kb0zke

1993 Foretravel U300 40'

Build number 4371

For sale
Phyl


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The factory to dealer incentive thought makes a good bit of sense this time of year. Trying to unload excess. I thought it was a curiosity that nearly all of the dealers in the area have lots of 2016s on their websites that are on order but not yet on the lot. I don't think it is a consignment because we asked about another one and he told us it was a consignment when I said it seemed a bit high. It has taken awhile but we finally think we are getting to be smarter consumers. Several exhausting weekends looking at everything. Hours of research on line comparing manufacturers and features and we got to a list of 5 must haves. It's different when you're looking for a home than when we've purchased our vacationing campers. We want to get this right the first time and the one at camping world is one of the floor plans that we love and it hits all 5 of the must haves. We are seeing the pricing of nearly everything new is as much as 20% less than MSRP so I know we'll eventually get a gently used one in a price we're willing to pay. We will continue the search but watch that one for a few weeks. It's likely to sit on the lot for a little while as they guide potential buyers to the new one. Unless we find a better one at one of the many other dealers in the area or from a private party we will likely make an offer and see what happens. Worst case they stick to their price and we walk away. We have plenty of time to find and purchase the right one. Our planned date to go full time is 23 months out. We have a perfectly adequate camper for leisure travel now and neither of us are prone to emotional decisions when putting this much money on the table. Thanks for your help. We have a couple more bits of knowledge as we try to maneuver through this big decision.

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Phyl
kb0zke


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Phyl, you are wise to do lots of research and talking. Before we even decided we wanted to full-time we did a LOT of talking. Every step of the way has required hours of discussion to make sure that we are both on the same page.

Being able to walk away from a coach that seems right is great. Remember that the value of a thing is the amount that a willing seller and willing buyer agree on. If you make a reasonable offer on the coach and the dealer doesn't accept it, walk away. Don't be surprised if you get a phone call a day or two later with either a counter offer or an outright acceptance of your offer.

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David, kb0zke

1993 Foretravel U300 40'

Build number 4371

For sale
Phyl


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kb0zkekb0zke - You are so right. We have learned that this won't be the last of this model or this floor plan to become available. There were a ton of them manufactured so others will come along if this one doesn't work out. 20 years ago, as we licked our wounds, I never would have imagined being greatful for having made so many foolish youthful decisions.

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Phyl
kb0zke


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Good decisions come from wisdom. Wisdom comes from experience. Experience usually comes from poor decisions. Or something like that. <grin>

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David, kb0zke

1993 Foretravel U300 40'

Build number 4371

For sale
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