The fact that people are willing to overpay thousands of dollars just so they don’t have to deal with the typical dealership shenanigans tell you how broken the US car dealership system is
The title says “carmax can’t lower prices fast enough” and then they proceed to tell us in the video that carmax is content with keeping their high prices and that they are in fact not going to crash as the title states.. another clickbait title 🤦🏻♂️
How is this a clickbait title? CarMax does not control the car market. The Market has been and is in a decline. It is "crashing", whether CarMax keeps up with the market or not. The title implies that because CarMax is choosing not to chase the current market, that CarMax will ultimately kill itself, which is currently the trend for a lot of online car vendors and a lot of local used car vendors. You clearly didn't think very hard about this.
Its nice that you can tell if CarMax is worth your time by checking online at accurate prices. Unlike shopping for a new car where the actual price is $10-15k more than the prices shown online
I just bought a 2023 Acura MDX with tech for $6100 off MSRP back in September. It had almost 3000 miles on it and it was in perfect shape. Essentially Carmax bought it from the Acura dealership in Las Vegas and it was the vehiclethey loaned out to customers while their vehicles were being repaired. I now have 9000 miles on it everything’s great. If you’re going to go Carmax get a vehicle that has a couple thousand miles on it and the depreciation been driven off.
That Hyundai has been sitting because it is one of the ones that is easily stolen and wrecked by teenagers and because of that it is difficult to get insurance coverage for it.
This shows how overinflated car prices in my area still are, Carmax is typically on par with (within $1000) and sometimes lower than a normal dealership.
I just test drove a car at Carmax ($30K). It looks like I can do $1500 better elsewhere, but that depends on what tricks those dealers have up their sleeves. There were some worse prices than Carmax had for the same car.
@@RedEyeC Because they know that most people don't care enough about a contract to actually read it. The buyer's agreements are clear..IF you bother to read them. Most people don't. All they care about is if they are able to get financing and what the payment is. We are collectively a bunch of chumps
CarMax is like a lot of businesses out there. They offer excellent customer service and ease of purchase in exchange for a premium price on the vehicles they are selling. They take advantage of those who don't want to do research when buying a car. Because if you did that research, you'd realize you are getting ripped off (most of the time).
Carmax isn't just selling the convenience. Their reconditioning standards are absolultely unrivaled. You can throw a nerf football in a windstorm on their retail lots & find things that aren't going to have hidden issues. When you take a car in to sell, they know how much they can get it for in auction & that's what your offer is based on; there's no bs because they'll just buy it. What happens next is my favorite part of their function. They attempt to recondition the cars to very high standards (assuming you sold your vehicle) within a pre-stated budget target. They know how much profit per vehicle they're targeting (less than traditional dealerships per unit but tons of units) & the price vehicles will sell at; within there is a budget for reconditioning. If the vehicle can't make their reconditioning standards for the budget set, it's driven around the building and auctioned off weekly to other dealers who don't care what condition it's in as long as it's metal & moves green into their pockets. You're missing the entire reason for their success. The same car sold used elsewhere or reconditioned from Carmax is not the same value. It's not simply make, model & year; condition & future predictable costs of ownership are a very big deal. Car dealerships typically have awful reputations for selling any random quality & hosing people but letting them think "they got a good deal". It's full of shit. Negotiations & lot profit maximization tactics are never for the customer's benefit. You know this. You've made a channel about it. If somebody bought the car, they paid enough profit + to do so; you just don't know how much more you paid than others. Negotiations always, always favor the seller, as do hidden values, & in the short term, poor integrity tactics.
@@Razoul-xf1wt and the reconditioning. When I worked for them, a vehicle I took amazing car of and traded in didn't meet their recon standards because some of the rear suspension when under torque p@essure made a sound indicating wear that cause it to break at some point. It had the BMW letters on it, so it was gonna be pricey. The tech then stops assessing & drives it around the building to auction weekly to other dealerships. Carmax becomes a filter for only the best examples to hit their lot.
Good business model for CarMax, that’s for sure. I’m amazed though at the lengths people will go to overpay for a car in order to “avoid haggling over price.” Plenty of folks willingly overpaying because doing a bit org research and then asking for a fair price for both parties is “difficult/uncomfortable”
I bought a 2005 GMC Canyon in 2005 at Rally GMC in Palmdale, CA. When it was on the lot it had beautiful allot wheels and some great Goodyear tires. After I bought it they told me that those wheels didn't come with the truck. And they said that they would have to be changed out for the standard wheels. When I brought in a day later to get them changed, They charged me for the wheel change. Also I wanted a spray in bed liner. They ended up putting in a plastic one. I was starting to raise hell with them but they said I should leave or they would call the cops. Have you ever seen this before?
My wife and I purchased 2 used cars in 2023 while we were between home ownership and traveling full-time around the USA in our Sprinter RV and were preparing to purchase a new home on Hilton Head Island, SC. The first was a 2021 Subaru Crosstrek Premium for my wife at a Subaru dealership in Catonsville. MD near our previous home. It had around 44K mies and was in average condition for its age. This dealership was a NIGHTMARE!!! Without going into specifics they were totally incompetent but we wanted that particular Crosstrek in a specific color and wanted it NOW. That's right - we buy cars by color. A month later we purchased for me a 2018 Jeep Grand Cherokee Limited Sterling Edition from CarMax in Greensboro, NC. It had 41K miles, was the perfect shade of red, and was in absolutely MINT CONDITION. I did the pre-purchase stuff online a couple days earlier and picked it up while we were traveling right through Greensboro. We were in and out in just over an hour and could not be happier with the "CarMax Experience". We know that CarMax is on average a bit higher in price than others but in my opinion it was a "no-brainer".
my teak here, in the state of Utah is different than what you guys are suggesting. I have a 2021 Tacoma Trd sport for sale. A dealer, and you are suggesting the same like that dealer, said because my original price was 39,500 in February 2021 I should not get more than $32,000 in trade-in value. But the very same car same equipment same everything has gone up in price from 2021 to today a 2023 Tacoma, same equipment to 44,000 almost 44 or almost $45,000. Plus I put in $4000 in extra additional equipment which the brand new one doesn’t half. And the dealers don’t wanna give me credit for. But when they sell a used car that prices run about 50% higher than Kelley blue book. So instead of $8000 for a GMC pick up truck they want $14,000 for it. Just an example. Kelley blue book to the other hand offered me cash $29,000 for my pick up truck. As if “cash“ should be an enticing factor. You get the cash anyway one way or the other. Anyway, to me it seems like, including consumer, private sellers and dealers. There are embellishing their sales prices on used cars, and then the dealers turn around when I give you very very very little in trading or in cash by and upping their new car sales price in addition. Here in Utah I do not see any signs of a downward trend at least not among the toyota group. Just saying.
Do your homework and go to a dealer that is willing to negotiate. I'm retired from the car business. When you buy from a dealer that won't negotiate you're buying at their price!
Dealer near me doesn't negotiate. I've purchased two vehicles from them, because their advertised price undercut the competition by quite a bit. Note: They really try to get you on the financing. I don't finance.
Just more proof, the dealers is selling used cars at the same price and new one cost which makes absolutely no sense whatsoever. Looks like I’ll never be buying another car again.
Car Max just opened a new dealership near me in Calif. just the land cost them millions. I stopped buying from Car Max years ago because I thought their prices were too high.
The 2013 Elantra engine falls under the long list of Kais and Hyundai vehicles that run into oil consumption issues around 80k - 110k miles. Wouldn't touch that car with even $1000 dollars unless the engine was recently swapped.
The Theta 2 engines you are talking about only started burning oil if people missed their oil maintenance schedules. Unfortunately, being a cheap car bought by brokies, that ended up being a lot of them. But the ones that were taken care of will easily last 400k miles
@@TheRealCatofeasily last 400k miles… Come on man, sure they weren’t all buckets, but the failure rate of that entire engine family speaks for itself. Car with strong & renown records of reliability often don’t do 400k with ease. Maintenance is everything I agree. What’s maintenance to you though? A short block every 100k miles? You have a better likelihood of that occurring than it going 400k miles. For every one that gets to even half of that, there’s piles of reasonably maintained Theta engines with bad bottom ends
@@TheRealCatof It was definitely a contributor in a number of the failures, but, I can say with first hand experience at a Hyundai store working alongside Hyundai mechanics the engines were just pitiful trash. During that time, I personally saw and spoke with owners who suffered failures
I sold my 2020 Rav4 with 12k miles in July (at the end of its lease, 18.5k buyout), CarMax offered 26k (used that offer when buying my current car, another dealer matched it and then went up to 28K to close the 2k difference on the 'new' car). I just looked and a comparable rav4 on CarMax and it is listed at 29k. Back in August, the list price was 29-31k for a comparable. So doesn't seem like a HUGE drop. Its worth noting my car had a 28.3K MSRP back in 2020!!
You also have to factor in Carmax (at least in Illinois) covers a 30 day no question ask return policy. Also a 90 day limited warranty warranty that covers almost bumper to bumper.
And reconditioning & no frame or flood damage. And, if you were an insurance company selling warranties, who are you giving a better deal to: Carmax who sells a million used cars a year that are reconditioned, or to the guys who buy their rejects at their auction? Carmax buys in untouchable bulk & sells a lower risk product, even if it's the "same" product.
I guess I have over paid for 6 cars from Carmax over the last 20 years. I finally had a major repair on my wife’s car after 9 years. All other cars we bought never saw a repair shop other than regular maintenance. The buying experience and quality was worth the extra money I paid. Getting screwed on interest rates, desert protection plans, other dealer BS. Are we really that far off?
@@ronnieg.5908 they are exactly where they should be. They're data driven w/smaller margins, higher quality, more volumne more units. It's the way it should be.
I enjoy and learn from your content, but please stop with the clickbait landing screen. How about "Learn Carmax Hax" instead? That's true and catchy. I won't refer your videos to anyone because it's so embarrassing. Seriously, the clickbait isn't necessary at this point.
I could see if the titles were exaggerated, but this is an example of one that is flat out irrelevant to the content. But if they want to embarrass themselves, whatever.
It’s the sons company and channel and he’s the one behind this silliness He’s got a real thing going and he’s hungry to make it into something huge so he’s getting sloppy
Ive heard other yputubers address these thumbnails. According to their stats, these kind of thumbnails attract significantly more views, so they create them. I absolutely hated it too until one creator, some videogame guy, said that's why he makes the thumbnails with the surprised expressions.
It is completely irrational to pay a PREMIUM for not haggling. If anything, it should be a discount, because the price won't go down from the listed value. You always have the option to go to a dealer and simply not haggle!
A no haggle experience doesn't mean you price your cars higher than a dealer that haggles. I could go to that dealer and pay their asking without haggling and get the same experience.
I was looking for a particular truck. Everyone within 200 miles of me was more expensive and the ones that were close to the Car Max price had the BS 3k work of coatings and garbage added on. Paid 600 to have the truck shipped, looked at it. Bought it. I guess I got lucky. Still paid over 2500 less than any dealer in a few hundred miles of me.
Carmax is selling for reconditioned retail value. What you can get at other dealers is the stuff that often wouldn't meet Carmax reconditioning standards. You can find a great vehicle anywhere, but at Carmax the risk of finding a nightmare is dramatically reduced.
@@uski1942 Carmax is under investigation for selling cars with defective safety parts, air bags, brakes, and fuel pumps. Carmax has a 1.5 star review with Consumer Affairs. Per the Consumer Law Group, Carmax has had over 1,500 complaints about deceptive advertising practices which resulted in consumers driving away in unsafe cars. The reality is Carmax is just a used car dealership. As with any used vehicle, the buyer gambles and the risk of finding a nightmare is not dramatically reduced. The one thing certain about Carmax is you will pay too much.
@@uski1942- Carmax told investors that their average reconditioning cost USED to be $2400. Currently, it is down to $800. They're telling their investors that this was a significant cost saving move. Most people, like you, don't appreciate how badly Carmax is screwing their future customers.
I have been looking for a 4 runner. There are not a lot of them out there for sale unless i want to travel cross country. Carmax has a bunch in stock ? Thats why I am tempted???
I have to ask, on those 3 vehicles your site says fair price. So what index does your site use to say fair price or not? Or should that tool be excluded since the market is still crazy?
Car-Mart earnings came out 2 days ago and went really bad. Back in August the stock went to highs before the 'pandemic'...$115. Right before 3rd quarter earnings, the stock was as high as $81 then dropped to as low as $54 in premarket before coming back up to $67 and to a low of $63 yesterday.
I was looking at Bimmer's in the NY area, and they are usually my barometer for prices as they spread across the country. The M340's are running 5 grand less than the rest. I remember Carvana offering me 17 grand at the start of all this insanity. 2015 Mazda CX5. I PAID 22 THOUSAND IN 2015 FOR IT WITH 20 K MILES ON IT. CRAZY.. Now they are offering 11 grand
Looking at a trade-in value versus a retail price and assuming that is all profit is misleading. You guys talk all the time about the cost of a floor plan on a car, and also considerations of any sort of repairs or refurbishment that had to happen before they sell it. So a $5500 gross profit could turn into a $4000 net profit, which is a bit on the high side, but certainly not way out of line for a used truck. In the case of that RAV4, I don’t understand why anybody would buy a used car when it’s that close to a new car price. For me, newer used cars never made much sense, I think we’re about to see some pretty major incentives for new cars in the near future, which will mean the current inventory of used cars will cost nearly as much as a new one, and the value of all those used cars is going to get pushed way down by the new car incentives and the glut of trade-ins that will create.
A couple of years ago, I sold a car to CarMax via their website. It was a rather simple little Ford Fiesta, I think a 2017. They paid me $3000 more to buy it, than I paid when I bought it. I don't know how they lasted this long!
Just recently purchased a vehicle from Carmax, and the one thing everyone in the comments seems to be forgetting is... the 5 year warranty! Super important, especially for european cars. I looked at regular delearships and all they offered was 1 year warranty past the manufacturer warranty.
That’s true that they offer good warranties for their cars, but you do have to pay extra for the extended warranty. That isn’t just included in their listing price.
@RK-fh4bp This is true. I did pay extra. I feel peace of mind having done it though. The wifey wanted a European car (🙄😆) and I wasn't gonna do it with the short warranty local delearships were offering. Overall, I'm happy with the ease of my Carmax experience and the warranty. The wifey is happy she got her fancy car. Win, win.
@Caredge - I tried doing this runback on a vehicle that said it had been on a lot for 300+ days. Figured I could get a deal - so I contacted the dealer, and they told me that the vehicle had only been on the lot for 2 weeks. Who do I believe? Are the records on Caredge correct?
I think if you’re searching by VIN, Caredge’s software might be pulling all sale listings or at least the most recent ones so it might look like its been sitting for 300+ days. It could be that it was purchased and that owner must’ve sold it back to a dealer or something. I do agree that their software could probably use more tweaking to fix issues like this if it is a software issue. Either that or that dealer was lying lol
There two carmax within less than 15 miles from my house. Both Carmax selling cars left and right. You have to wait for a sales person even if you have an appointment. Sales persons at the car dealerships around both the Carmax waiting for customers. I am telling you my personal experience, if you like a car, they are adding thousands of dollars additional add-on. Bottom line "Carmax is doing just fine".
I love what you guy's do. Carmax is nothing more than a vehicle pawn-shop where they will low ball everyone they buy from and mark it up to an insane amount.
And most of their vehicles have been in accidents. I walked their lot one time and looked at several cars that you could see they were obviously, repainted. They had dirt under the paint and the fish eyes in the paint. This was on the hood, front bumper cover and the two front fenders. Seen others with the sides reworked. You would be paying top dollar for rebuilt cars.
@@billbigshlong382 Only time I dealt with them was trying to sell my old 2014 Chrysler 300 S and they offered me 9.5K and a Mercedes dealer offered 11K
You can go look at any website or car evaluation calculator it doesn’t matter. It’s what the customer feels it’s worth As a dealer I’ll have a vehicle that someone thinks is overpriced and someone else thinks it’s a good deal. Who’s right ? BOTH!! It’s the customers perception based on their personal experiences and availability of funds
Live in florida Off Lease only also had no haggle pricing and their price was waay better than Carmax but they went under . Not sure how carmax stays in business.
I responded to a Facebook marketplace add for a honda crv. I thought it was private seller. They were asking 7 000. I offered 6,000 cash. The guy said 6,500 tax lic etc. I said 6,500 including all that. He said no. I told him the car market is going down and he will be messaging me soon. He thought I was real helpful. Carmax is a joke. New prices for used cars with 100k miles
Can anyone help me understand why similar cars can have wildly different prices on the same site and expect people to buy the higher price Do the dealers who post high prices don't care and they think that eventually someone will just pay what they want? I just see this as a major waste of time. There are app s and sights out there that will let you buy a car online, and I still see thousands of dollars difference between one dealer and another, there's all seems like a waste of time to me, are they counting on people just not looking? I also wanted to add that I'm comparing apples to apples in the same general area, I'm not comparing a base Corolla to a GR or a base Integra to a type s
Im in the market for a NISSAN GTR. When will those prices fall? I owned a 2015 bought for 55k in 2019 sold for 77k in 2021. I want another one but prices are insane.
Are you guys hawking your CarEdge brand? Do you stand behind your extended warranties? Just wandering what makes you guys the honesty police. I watch you but I need to validate what you say independent of what you say on TH-cam!
Well, I have a 2013 Elantra and that was disheartening... I think in a sane world, CarMax's price is much closer to the fair market value than the other two. But we live in a Kia Boys world, which is why I suspect those other two sites priced it so ludicrously cheap. I'm basically stuck driving the thing until it falls apart, no one wants to buy the theft magnet b/c our politicians don't think it's important to throw criminals in jail...
Went by one just to test drive a couple cars that I’m looking into elsewhere (CarMax is closer and let you go test drive alone)- three cars I had him give me the keys to were dead. He tried jumping all three but they were dead. I had to laugh cuz he just got done telling me how much better carmax is than anywhere else 😂😂 he was like “uhhh yeah you’re def gonna wanna drive these cars somewhere else” no shit man 😂🤦🏻♂️
There is a whole other component to this equation that nobody is talking about... Which is the cycle of these modified loans & financing options given from dealers & banks to get people to trade in their cars w/ having negative equity (for several years now), which has been rolled over into the new car payment, of which they are financing 7-10 years - on both new & used cars. We haven't seen that whole storm of repo's yet, not to mention the added pressures of inflation & a bad economy...once that floor falls out (and it probably will), especially as the Fed continues to raise interest rates. Some of those "new car buyers" will be driving until the wheels fall off...but that's only if the repo man doesn't find them first. There very well may be a perfect storm on the horizon, as we've seen this before w/ a much less volatile economy than we have now...and lets face it, many of those "hard to fill" jobs won't be there much longer, either; because the businesses themselves won't likely survive. AI alone is replacing jobs now & will continue to do so - as this thing evolves. AI isn't going anywhere but up...
carmax is a total joke. i went there back in october to test drive a 2019 ford fiesta with about 48k miles. they wanted 15 grand for that vehicle. after i got the feel of the car and i saw the features (not to mention the size of the car), i told them it was too overpriced for an apparently economical car. after that, i walked out and i never came back. a week later, i bought a 2013 hyundai elantra with about 30k miles (no, that's not a typo; the previous owners lived in florida and were likely retirees) from a smaller, locally-owned used car dealership down the street for only 12 grand. by the way, it's funny you mention the 2013 hyundai elantra. the dealership i got my sonata from also had a 2012 elantra on their lot with a similar mileage to my sonata (about 30k; and again, the previous owners were retirees in florida) for about 11 grand, which is still considerably cheaper that the elantra mentioned in the video despite having fewer miles. it really goes to show you how much carmax is overcharging for their vehicles.
On your car edge site the used F150s consistently show up with a higher trim used which skews the price value (makes them appear priced at or below price - thus a good value). Typically it gives the price value based on being a King Ranch vs. XLT. When you go to black list it shows up, when correct the trim it shows that it is not a good price value. Be great if you guys would correct the data problem. In the meantime you should include a disclaimer so that people are not misled. Thanks.
They won't need to. They have an abundance of capital and data. They're vastly better at this than dealerships understand. The consistent numbers & happy customers & ex-employes who'll happily buy from them states volumes. Carmax will continue to dominate with high quality, integrity, & no-bs.
MSRP - maybe someone can clarify; but the RAV4 that $30k is MSRP .. the "actual OTD" probably was nothing like that. Is my thinking correct? It just shows the additional exposure people take on when they at least know the additional exposure they are taking on based on how above that they are (or less exposure by being below).
Just curious does anyone watch a commercial see a celebrity and say oh I need to buy this product? I don’t get this marketing, I have NEVER been swayed by this and I am guessing it does to others because it continues? Curious what others thoughts are on this?
Here's my story: Went to a stealership today. Looked at a 2023 ChryCo 300 6.4 Very nice car and the included options were to die for. Dealer had a $10,000 BUMP sticker on every car in showroom. I took a hard pass and walked out. His lot was so overflowing with new and used car inventory (think floor plan costs) that he was using a restaurant lot next door for the overflow. I told the salesman, wait till the middle of Jan when you have zero ups in the showroom and only ones left are lookie loos and tire kickers.
More clickbait. Wholesale prices are dropping rapidly, but retail prices are not. The prices that you are getting for what the other vendors would pay for the car are wholesale prices. You would expect to see those prices well under the retail price.
CARMAX THEIR Overpriced ridiculous fees are coming back to bite them in the ‘A**’ I know ppl that was always buying vehicles from them and was always overpaying, CarMax knows how to ‘sucker punch’ these kind of ppl. But I believe those customers are starting to wake up, I hope so.
So they make $4 000-$5,000 thousand on the vehicle sale, but don't forget they will be making more on the back end too, so ridiculous profits for a depreciating item!!!
CarMax would beat my appraisals, because they thought they could sell higher. Turns out that over paying to push a business model was only to fool investors and lose money.
Just bought a raptor and after I told the salesman I gave caredge a 20 dollar superchat he instantly dropped the price 10 k and gave me free coffee and donuts
Carmax literally can't even be bothered detail a car right. The only thing they're good for is trying out a bunch of diverse makes/models in 1 place so you can decide what to target for your car want/need (from someone else who likely would have at least once-over'd the used vehicle they're selling). I always LoL / SMH at the dirty crap on Carmax's lots as well as when they cheap out & only replace 2 of 4 tires on a car (usually leaving 2 OEM tires that technically have tread left on them but are starting to dry rot).
The reason I'm going there is to drive a couple of different models in one place. I don't want to visit new dealers first if I plan to use Costco auto buying.
I think that it's actually people who don't really have money, who are going in there and buying cars on their own. Carmax financing, and Carmax will get into trouble with this.
If you want a no haggle experience, you must go inside all the dealerships in your area and find you want and say gimme your best price at each dealership, explain to them you plan to go to all the dealerships and do the same, at which point you go with the best offer.
I've been watching vehicles on CarMax long enough to assure you that there is a plethora of stupidity out there. You'd be surprised how many people are willing to overpay and overpay significantly
Yep, and these are the people that created the current market. Of course makers and dealers are going to overcharge when there are enough fools that will buy it. You would too. If you were selling lemonade and a lot of people were willing to pay $5 a glass, would you still sell it for $1? For all the talk about the horrible manufacturers and dealers, not many people want to talk about the stupidity of buyers. These are the morons that have driven the price up. Carmax and Carvana shouldn't exist, with their 5k+ markups. But the fools have fed their existence. And then the rest of the market sees that these cars are selling at those prices, so they go up across the board. Americans are without question the most naive and gullible, materialistically addicted, and outright dumb auto buyers. And then to hear so many cry about being broke, I have no sympathy left. They're fools, they're suckers, and their stupidity brings it on themselves. Unfortunately, their stupidity affects everyone else in the market too.
I agree. I live in a pretty poor area in Baltimore maryland, and every week there's another new truck in my neighborhood. I've been in the market for a truck for 2 years, and I simply refused to pay these insane prices
Carmax does checkout the cars the way no dealership does. They go through the vehicle and undo previous owners have done to the vehicle. I have heard through reliable sources that they even restore the factory stereo back to factory. Just saying.
I went into a Carmax a month ago and it was pitiful. Plenty of salesman but nobody really wanted to help. The cars and trucks were open so you could look at them but that was no consolation. Overpriced vehicles with shitty finance options. I went to Sheehy Ford and got a really nice 2017 Dodge Ram 1500 crew cab 4x4 Laramie for under 30k. Truck is like new not a scratch or ding on it no slightly shades of paint anywhere on the vehicle that’s how you know if the vehicle was repaired and repainted at some point. Am happy got a good deal and the truck so far runs great. I know it’s early but Carnac wanted 40k for a lower trim model with more miles then the Laramie and didn’t even have a tow package. Info: I got a 2017 Dodge Ram 1500 Laramie fully loaded with tow packed and sprayed in bed liner 75K mileage for around 28k on the road. I probably would get an even better deal now but I needed the truck rather quickly I don’t regret it especially since it’s well within my budget!
This is hilarious! They're not purchasing any new vehicles, and the TOTAL value of all their currently held stock is about 30% of their total debt. Their overhead stays the same, and the light bill still needs to be paid. All this, with a RAPIDLY decreasing valuation of their product.
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The fact that people are willing to overpay thousands of dollars just so they don’t have to deal with the typical dealership shenanigans tell you how broken the US car dealership system is
They are also paying extra for used cars with a decent return policy and cars that are held to higher standards than a typical used car dealer.
The title says “carmax can’t lower prices fast enough” and then they proceed to tell us in the video that carmax is content with keeping their high prices and that they are in fact not going to crash as the title states.. another clickbait title 🤦🏻♂️
How is this a clickbait title?
CarMax does not control the car market. The Market has been and is in a decline. It is "crashing", whether CarMax keeps up with the market or not. The title implies that because CarMax is choosing not to chase the current market, that CarMax will ultimately kill itself, which is currently the trend for a lot of online car vendors and a lot of local used car vendors.
You clearly didn't think very hard about this.
Exactly, these youtubers are just as bad as the bait and switch car dealers they're trying to expose
Probably unintentionally as they seem rather confused sometimes.
It’s crazy seeing 7 year old cars with 100k miles listed for 70% of their original MSRP.
If CarMax grossly overpaid for these cars, why are they "entitled to a profit?
Its nice that you can tell if CarMax is worth your time by checking online at accurate prices. Unlike shopping for a new car where the actual price is $10-15k more than the prices shown online
I just bought a 2023 Acura MDX with tech for $6100 off MSRP back in September. It had almost 3000 miles on it and it was in perfect shape. Essentially Carmax bought it from the Acura dealership in Las Vegas and it was the vehiclethey loaned out to customers while their vehicles were being repaired. I now have 9000 miles on it everything’s great. If you’re going to go Carmax get a vehicle that has a couple thousand miles on it and the depreciation been driven off.
That Hyundai has been sitting because it is one of the ones that is easily stolen and wrecked by teenagers and because of that it is difficult to get insurance coverage for it.
This shows how overinflated car prices in my area still are, Carmax is typically on par with (within $1000) and sometimes lower than a normal dealership.
Like the guys said, Carmax has to pay their elite endorsements off - that amount tacked on to prices.
Carmax is usually quite a bit higher. Even worse other dealerships you can negotiate at. Carmax is a big ripoff no matter what.
I just test drove a car at Carmax ($30K). It looks like I can do $1500 better elsewhere, but that depends on what tricks those dealers have up their sleeves. There were some worse prices than Carmax had for the same car.
@@Thisoldhiker - it's gotten to the point where shyster-minded dealers think they can always pull the wool over buyers - but we are all smartening up.
@@RedEyeC Because they know that most people don't care enough about a contract to actually read it. The buyer's agreements are clear..IF you bother to read them. Most people don't. All they care about is if they are able to get financing and what the payment is. We are collectively a bunch of chumps
CarMax is like a lot of businesses out there. They offer excellent customer service and ease of purchase in exchange for a premium price on the vehicles they are selling. They take advantage of those who don't want to do research when buying a car. Because if you did that research, you'd realize you are getting ripped off (most of the time).
The "magic" word these days is EFFORT. Excuses remain the first choice.
Carmax isn't just selling the convenience. Their reconditioning standards are absolultely unrivaled. You can throw a nerf football in a windstorm on their retail lots & find things that aren't going to have hidden issues. When you take a car in to sell, they know how much they can get it for in auction & that's what your offer is based on; there's no bs because they'll just buy it. What happens next is my favorite part of their function. They attempt to recondition the cars to very high standards (assuming you sold your vehicle) within a pre-stated budget target. They know how much profit per vehicle they're targeting (less than traditional dealerships per unit but tons of units) & the price vehicles will sell at; within there is a budget for reconditioning. If the vehicle can't make their reconditioning standards for the budget set, it's driven around the building and auctioned off weekly to other dealers who don't care what condition it's in as long as it's metal & moves green into their pockets.
You're missing the entire reason for their success. The same car sold used elsewhere or reconditioned from Carmax is not the same value. It's not simply make, model & year; condition & future predictable costs of ownership are a very big deal. Car dealerships typically have awful reputations for selling any random quality & hosing people but letting them think "they got a good deal". It's full of shit. Negotiations & lot profit maximization tactics are never for the customer's benefit. You know this. You've made a channel about it. If somebody bought the car, they paid enough profit + to do so; you just don't know how much more you paid than others. Negotiations always, always favor the seller, as do hidden values, & in the short term, poor integrity tactics.
Nice and agree. My experience is price was a bit higher but the warranty and prior disclosure were well worth it.
@@Razoul-xf1wt and the reconditioning. When I worked for them, a vehicle I took amazing car of and traded in didn't meet their recon standards because some of the rear suspension when under torque p@essure made a sound indicating wear that cause it to break at some point. It had the BMW letters on it, so it was gonna be pricey. The tech then stops assessing & drives it around the building to auction weekly to other dealerships. Carmax becomes a filter for only the best examples to hit their lot.
In my area they still have cars with 100k plus miles for 30k it’s sickening
Carmax is where you go when you want to pay 30% more than you would have from the same private seller that they got the car from 😂
Good business model for CarMax, that’s for sure. I’m amazed though at the lengths people will go to overpay for a car in order to “avoid haggling over price.”
Plenty of folks willingly overpaying because doing a bit org research and then asking for a fair price for both parties is “difficult/uncomfortable”
Well that's the whole point right? You can buy private from a person and both save money. Or get CarMax to be the middleman for 30%.
@@InternetUser._ Financing
I bought a 2005 GMC Canyon in 2005 at Rally GMC in Palmdale, CA. When it was on the lot it had beautiful allot wheels and some great Goodyear tires. After I bought it they told me that those wheels didn't come with the truck. And they said that they would have to be changed out for the standard wheels. When I brought in a day later to get them changed, They charged me for the wheel change. Also I wanted a spray in bed liner. They ended up putting in a plastic one. I was starting to raise hell with them but they said I should leave or they would call the cops. Have you ever seen this before?
Unless they disclosed those wheels didn’t come with the truck when you bought it, I would have told them to pound sand
They made you pay for the lame hahaha. Unless it was a good price I would return asap. What kind of people are they to make one think and then take.
My wife and I purchased 2 used cars in 2023 while we were between home ownership and traveling full-time around the USA in our Sprinter RV and were preparing to purchase a new home on Hilton Head Island, SC. The first was a 2021 Subaru Crosstrek Premium for my wife at a Subaru dealership in Catonsville. MD near our previous home. It had around 44K mies and was in average condition for its age. This dealership was a NIGHTMARE!!! Without going into specifics they were totally incompetent but we wanted that particular Crosstrek in a specific color and wanted it NOW. That's right - we buy cars by color. A month later we purchased for me a 2018 Jeep Grand Cherokee Limited Sterling Edition from CarMax in Greensboro, NC. It had 41K miles, was the perfect shade of red, and was in absolutely MINT CONDITION. I did the pre-purchase stuff online a couple days earlier and picked it up while we were traveling right through Greensboro. We were in and out in just over an hour and could not be happier with the "CarMax Experience". We know that CarMax is on average a bit higher in price than others but in my opinion it was a "no-brainer".
Carmax has insane prices on everything they sell. Most of their cars are close to original MSRP. I don't even look there anymore.
my teak here, in the state of Utah is different than what you guys are suggesting. I have a 2021 Tacoma Trd sport for sale. A dealer, and you are suggesting the same like that dealer, said because my original price was 39,500 in February 2021 I should not get more than $32,000 in trade-in value. But the very same car same equipment same everything has gone up in price from 2021 to today a 2023 Tacoma, same equipment to 44,000 almost 44 or almost $45,000. Plus I put in $4000 in extra additional equipment which the brand new one doesn’t half. And the dealers don’t wanna give me credit for. But when they sell a used car that prices run about 50% higher than Kelley blue book. So instead of $8000 for a GMC pick up truck they want $14,000 for it. Just an example. Kelley blue book to the other hand offered me cash $29,000 for my pick up truck. As if “cash“ should be an enticing factor. You get the cash anyway one way or the other. Anyway, to me it seems like, including consumer, private sellers and dealers. There are embellishing their sales prices on used cars, and then the dealers turn around when I give you very very very little in trading or in cash by and upping their new car sales price in addition. Here in Utah I do not see any signs of a downward trend at least not among the toyota group. Just saying.
Nice upgrade in production of your videos!
Do your homework and go to a dealer that is willing to negotiate. I'm retired from the car business. When you buy from a dealer that won't negotiate you're buying at their price!
True dat. Customer is always KING. Take your business elsewhere to another dealership that is willing to wheel and deal.
Dealer near me doesn't negotiate. I've purchased two vehicles from them, because their advertised price undercut the competition by quite a bit.
Note: They really try to get you on the financing. I don't finance.
You're always buying at "their price". Negotiations aren't for customer benefit.
Wrong.@@uski1942
Just more proof, the dealers is selling used cars at the same price and new one cost which makes absolutely no sense whatsoever. Looks like I’ll never be buying another car again.
Car Max just opened a new dealership near me in Calif. just the land cost them millions. I stopped buying
from Car Max years ago because I thought their prices were too high.
The 2013 Elantra engine falls under the long list of Kais and Hyundai vehicles that run into oil consumption issues around 80k - 110k miles. Wouldn't touch that car with even $1000 dollars unless the engine was recently swapped.
Lol my 2013 audi started guzzling oil at 50k. I wish we got 80k
The Theta 2 engines you are talking about only started burning oil if people missed their oil maintenance schedules.
Unfortunately, being a cheap car bought by brokies, that ended up being a lot of them. But the ones that were taken care of will easily last 400k miles
@@TheRealCatofeasily last 400k miles… Come on man, sure they weren’t all buckets, but the failure rate of that entire engine family speaks for itself.
Car with strong & renown records of reliability often don’t do 400k with ease. Maintenance is everything I agree. What’s maintenance to you though?
A short block every 100k miles? You have a better likelihood of that occurring than it going 400k miles.
For every one that gets to even half of that, there’s piles of reasonably maintained Theta engines with bad bottom ends
@@megamort698 The failure rate is because most people that bought cars with the Theta 2 did not change their oil
@@TheRealCatof It was definitely a contributor in a number of the failures, but, I can say with first hand experience at a Hyundai store working alongside Hyundai mechanics the engines were just pitiful trash.
During that time, I personally saw and spoke with owners who suffered failures
I sold my 2020 Rav4 with 12k miles in July (at the end of its lease, 18.5k buyout), CarMax offered 26k (used that offer when buying my current car, another dealer matched it and then went up to 28K to close the 2k difference on the 'new' car). I just looked and a comparable rav4 on CarMax and it is listed at 29k. Back in August, the list price was 29-31k for a comparable. So doesn't seem like a HUGE drop. Its worth noting my car had a 28.3K MSRP back in 2020!!
You also have to factor in Carmax (at least in Illinois) covers a 30 day no question ask return policy. Also a 90 day limited warranty warranty that covers almost bumper to bumper.
And reconditioning & no frame or flood damage. And, if you were an insurance company selling warranties, who are you giving a better deal to: Carmax who sells a million used cars a year that are reconditioned, or to the guys who buy their rejects at their auction? Carmax buys in untouchable bulk & sells a lower risk product, even if it's the "same" product.
I guess I have over paid for 6 cars from Carmax over the last 20 years. I finally had a major repair on my wife’s car after 9 years. All other cars we bought never saw a repair shop other than regular maintenance. The buying experience and quality was worth the extra money I paid. Getting screwed on interest rates, desert protection plans, other dealer BS. Are we really that far off?
@@ronnieg.5908 they are exactly where they should be. They're data driven w/smaller margins, higher quality, more volumne more units. It's the way it should be.
I enjoy and learn from your content, but please stop with the clickbait landing screen. How about "Learn Carmax Hax" instead? That's true and catchy. I won't refer your videos to anyone because it's so embarrassing. Seriously, the clickbait isn't necessary at this point.
Amen these guys are absolute tools . His stills in the land screen is goofy as hell
I could see if the titles were exaggerated, but this is an example of one that is flat out irrelevant to the content. But if they want to embarrass themselves, whatever.
Thanks for saying this!
It’s the sons company and channel and he’s the one behind this silliness
He’s got a real thing going and he’s hungry to make it into something huge so he’s getting sloppy
Ive heard other yputubers address these thumbnails. According to their stats, these kind of thumbnails attract significantly more views, so they create them. I absolutely hated it too until one creator, some videogame guy, said that's why he makes the thumbnails with the surprised expressions.
It is completely irrational to pay a PREMIUM for not haggling. If anything, it should be a discount, because the price won't go down from the listed value. You always have the option to go to a dealer and simply not haggle!
A no haggle experience doesn't mean you price your cars higher than a dealer that haggles. I could go to that dealer and pay their asking without haggling and get the same experience.
I really haven’t seen prices really fall on used car at least up here in New York. Still pretty high and interest rates are too high to buy.
I remember when used cars sold for a minimum 30% reduction. These prices are for clowns. I am waiting.
I was looking for a particular truck. Everyone within 200 miles of me was more expensive and the ones that were close to the Car Max price had the BS 3k work of coatings and garbage added on. Paid 600 to have the truck shipped, looked at it. Bought it. I guess I got lucky. Still paid over 2500 less than any dealer in a few hundred miles of me.
I bought RAV4 XLE Premium for $24,500 couple months ago…from. Jaguar dealer in Orlando….50k miles……
Carmax is asking too much for diminishing assets
Exactly! Too many people think a car is a real asset and talk themselves into buying a car they should probably not be buying.
Just like every other stealership with their mark-ups for any decent car.
Carmax is selling for reconditioned retail value. What you can get at other dealers is the stuff that often wouldn't meet Carmax reconditioning standards. You can find a great vehicle anywhere, but at Carmax the risk of finding a nightmare is dramatically reduced.
@@uski1942 Carmax is under investigation for selling cars with defective safety parts, air bags, brakes, and fuel pumps.
Carmax has a 1.5 star review with Consumer Affairs.
Per the Consumer Law Group, Carmax has had over 1,500 complaints about deceptive advertising practices which resulted in consumers driving away in unsafe cars.
The reality is Carmax is just a used car dealership. As with any used vehicle, the buyer gambles and the risk of finding a nightmare is not dramatically reduced.
The one thing certain about Carmax is you will pay too much.
@@uski1942- Carmax told investors that their average reconditioning cost USED to be $2400. Currently, it is down to $800. They're telling their investors that this was a significant cost saving move. Most people, like you, don't appreciate how badly Carmax is screwing their future customers.
I have been looking for a 4 runner. There are not a lot of them out there for sale unless i want to travel cross country. Carmax has a bunch in stock ?
Thats why I am tempted???
I have to ask, on those 3 vehicles your site says fair price. So what index does your site use to say fair price or not? Or should that tool be excluded since the market is still crazy?
Car-Mart earnings came out 2 days ago and went really bad. Back in August the stock went to highs before the 'pandemic'...$115. Right before 3rd quarter earnings, the stock was as high as $81 then dropped to as low as $54 in premarket before coming back up to $67 and to a low of $63 yesterday.
I was looking at Bimmer's in the NY area, and they are usually my barometer for prices as they spread across the country. The M340's are running 5 grand less than the rest. I remember Carvana offering me 17 grand at the start of all this insanity. 2015 Mazda CX5. I PAID 22 THOUSAND IN 2015 FOR IT WITH 20 K MILES ON IT. CRAZY.. Now they are offering 11 grand
Looking at a trade-in value versus a retail price and assuming that is all profit is misleading. You guys talk all the time about the cost of a floor plan on a car, and also considerations of any sort of repairs or refurbishment that had to happen before they sell it. So a $5500 gross profit could turn into a $4000 net profit, which is a bit on the high side, but certainly not way out of line for a used truck.
In the case of that RAV4, I don’t understand why anybody would buy a used car when it’s that close to a new car price.
For me, newer used cars never made much sense, I think we’re about to see some pretty major incentives for new cars in the near future, which will mean the current inventory of used cars will cost nearly as much as a new one, and the value of all those used cars is going to get pushed way down by the new car incentives and the glut of trade-ins that will create.
A couple of years ago, I sold a car to CarMax via their website. It was a rather simple little Ford Fiesta, I think a 2017. They paid me $3000 more to buy it, than I paid when I bought it. I don't know how they lasted this long!
Just recently purchased a vehicle from Carmax, and the one thing everyone in the comments seems to be forgetting is... the 5 year warranty! Super important, especially for european cars. I looked at regular delearships and all they offered was 1 year warranty past the manufacturer warranty.
That’s true that they offer good warranties for their cars, but you do have to pay extra for the extended warranty. That isn’t just included in their listing price.
@RK-fh4bp This is true. I did pay extra. I feel peace of mind having done it though. The wifey wanted a European car (🙄😆) and I wasn't gonna do it with the short warranty local delearships were offering. Overall, I'm happy with the ease of my Carmax experience and the warranty. The wifey is happy she got her fancy car. Win, win.
Extended warranties are rarely a smart purchase.
Carmax knows that they will be out of business in a year...I'm surprised they didn't give you a free lifetime warranty.
@Caredge - I tried doing this runback on a vehicle that said it had been on a lot for 300+ days. Figured I could get a deal - so I contacted the dealer, and they told me that the vehicle had only been on the lot for 2 weeks. Who do I believe? Are the records on Caredge correct?
I think if you’re searching by VIN, Caredge’s software might be pulling all sale listings or at least the most recent ones so it might look like its been sitting for 300+ days. It could be that it was purchased and that owner must’ve sold it back to a dealer or something. I do agree that their software could probably use more tweaking to fix issues like this if it is a software issue. Either that or that dealer was lying lol
There two carmax within less than 15 miles from my house. Both Carmax selling cars left and right. You have to wait for a sales person even if you have an appointment. Sales persons at the car dealerships around both the Carmax waiting for customers. I am telling you my personal experience, if you like a car, they are adding thousands of dollars additional add-on. Bottom line "Carmax is doing just fine".
Bought a Toyota from CarMax for $19000 in 2020. Put 65k miles on it. Sold back to CarMax in 2023 for $21500.
I love what you guy's do. Carmax is nothing more than a vehicle pawn-shop where they will low ball everyone they buy from and mark it up to an insane amount.
And most of their vehicles have been in accidents. I walked their lot one time and looked at several cars that you could see they were obviously, repainted. They had dirt under the paint and the fish eyes in the paint. This was on the hood, front bumper cover and the two front fenders. Seen others with the sides reworked.
You would be paying top dollar for rebuilt cars.
Low ball? They give me significantly more for a vehicle than every other outlet most of the times.
@@billbigshlong382 Only time I dealt with them was trying to sell my old 2014 Chrysler 300 S and they offered me 9.5K and a Mercedes dealer offered 11K
You can go look at any website or car evaluation calculator it doesn’t matter. It’s what the customer feels it’s worth
As a dealer I’ll have a vehicle that someone thinks is overpriced and someone else thinks it’s a good deal. Who’s right ? BOTH!! It’s the customers perception based on their personal experiences and availability of funds
Live in florida Off Lease only also had no haggle pricing and their price was waay better than Carmax but they went under . Not sure how carmax stays in business.
I responded to a Facebook marketplace add for a honda crv. I thought it was private seller. They were asking 7 000. I offered 6,000 cash. The guy said 6,500 tax lic etc. I said 6,500 including all that. He said no. I told him the car market is going down and he will be messaging me soon. He thought I was real helpful. Carmax is a joke. New prices for used cars with 100k miles
Can anyone help me understand why similar cars can have wildly different prices on the same site and expect people to buy the higher price
Do the dealers who post high prices don't care and they think that eventually someone will just pay what they want?
I just see this as a major waste of time. There are app s and sights out there that will let you buy a car online, and I still see thousands of dollars difference between one dealer and another, there's all seems like a waste of time to me, are they counting on people just not looking?
I also wanted to add that I'm comparing apples to apples in the same general area, I'm not comparing a base Corolla to a GR or a base Integra to a type s
Im in the market for a NISSAN GTR. When will those prices fall? I owned a 2015 bought for 55k in 2019 sold for 77k in 2021. I want another one but prices are insane.
Are you guys hawking your CarEdge brand? Do you stand behind your extended warranties? Just wandering what makes you guys the honesty police. I watch you but I need to validate what you say independent of what you say on TH-cam!
Well, I have a 2013 Elantra and that was disheartening... I think in a sane world, CarMax's price is much closer to the fair market value than the other two. But we live in a Kia Boys world, which is why I suspect those other two sites priced it so ludicrously cheap. I'm basically stuck driving the thing until it falls apart, no one wants to buy the theft magnet b/c our politicians don't think it's important to throw criminals in jail...
Went by one just to test drive a couple cars that I’m looking into elsewhere (CarMax is closer and let you go test drive alone)- three cars I had him give me the keys to were dead. He tried jumping all three but they were dead. I had to laugh cuz he just got done telling me how much better carmax is than anywhere else 😂😂 he was like “uhhh yeah you’re def gonna wanna drive these cars somewhere else” no shit man 😂🤦🏻♂️
New car dealers in Northern Virginia aren’t moving from MSRP, especially on luxury SUV’s.
Two of my NOVA friends flew to the Midwest and went to dealers in the sticks. Saved big and drove their new rides home.
Great pointers, great advice.
There is a whole other component to this equation that nobody is talking about... Which is the cycle of these modified loans & financing options given from dealers & banks to get people to trade in their cars w/ having negative equity (for several years now), which has been rolled over into the new car payment, of which they are financing 7-10 years - on both new & used cars.
We haven't seen that whole storm of repo's yet, not to mention the added pressures of inflation & a bad economy...once that floor falls out (and it probably will), especially as the Fed continues to raise interest rates. Some of those "new car buyers" will be driving until the wheels fall off...but that's only if the repo man doesn't find them first. There very well may be a perfect storm on the horizon, as we've seen this before w/ a much less volatile economy than we have now...and lets face it, many of those "hard to fill" jobs won't be there much longer, either; because the businesses themselves won't likely survive. AI alone is replacing jobs now & will continue to do so - as this thing evolves. AI isn't going anywhere but up...
carmax is a total joke. i went there back in october to test drive a 2019 ford fiesta with about 48k miles. they wanted 15 grand for that vehicle. after i got the feel of the car and i saw the features (not to mention the size of the car), i told them it was too overpriced for an apparently economical car. after that, i walked out and i never came back. a week later, i bought a 2013 hyundai elantra with about 30k miles (no, that's not a typo; the previous owners lived in florida and were likely retirees) from a smaller, locally-owned used car dealership down the street for only 12 grand.
by the way, it's funny you mention the 2013 hyundai elantra. the dealership i got my sonata from also had a 2012 elantra on their lot with a similar mileage to my sonata (about 30k; and again, the previous owners were retirees in florida) for about 11 grand, which is still considerably cheaper that the elantra mentioned in the video despite having fewer miles. it really goes to show you how much carmax is overcharging for their vehicles.
Carmax, willing to wait for that 1 fool (sorry) buyer who loves the car.
On your car edge site the used F150s consistently show up with a higher trim used which skews the price value (makes them appear priced at or below price - thus a good value). Typically it gives the price value based on being a King Ranch vs. XLT. When you go to black list it shows up, when correct the trim it shows that it is not a good price value.
Be great if you guys would correct the data problem. In the meantime you should include a disclaimer so that people are not misled. Thanks.
With the excess autos out there both electric and gas, bargains galore in the near future especially after March !
I heard there is a carmax that has so many customers that there is a 1/4 mile line of them waiting to get in every morning.
Even if you purchased cheaper in another state, you have to factor in shipping or airfare, gas and hotel costs. No real savings
Plus paying sales tax in both your home state and the state you purchase in
Has Carmax ever had to do a mass rollback? Not sure they are prepared to do this.
Its a business if they don't know how to maybe they shouldn't exist
Looks like they need to go 30% off whatever price they have now.
They won't need to. They have an abundance of capital and data. They're vastly better at this than dealerships understand. The consistent numbers & happy customers & ex-employes who'll happily buy from them states volumes. Carmax will continue to dominate with high quality, integrity, & no-bs.
I'm looking at 2023 Ridgelines and their prices aren't even competitive . I walk into a dealership and it's never a hassle .
Echopark's prices are much lower and they are also no-haggle. What is the difference between the two?
Most of the vehicles from Echopark are base model, which literally have no option/package at all. Hence, lower price from Echopark
Carmax is expanding and makes millions. They are far from done.
MSRP - maybe someone can clarify; but the RAV4 that $30k is MSRP .. the "actual OTD" probably was nothing like that. Is my thinking correct? It just shows the additional exposure people take on when they at least know the additional exposure they are taking on based on how above that they are (or less exposure by being below).
Daughter bought a new 2021 RAV4 LE for around 23k
30k sounds like an XLE price
Carmax's price is also conditional on them carrying the paper. At current interest rates, they can get some pretty sweet extra profit.
Just curious does anyone watch a commercial see a celebrity and say oh I need to buy this product? I don’t get this marketing, I have NEVER been swayed by this and I am guessing it does to others because it continues? Curious what others thoughts are on this?
Here's my story: Went to a stealership today. Looked at a 2023 ChryCo 300 6.4 Very nice car and the included options were to die for. Dealer had a $10,000 BUMP sticker on every car in showroom. I took a hard pass and walked out. His lot was so overflowing with new and used car inventory (think floor plan costs) that he was using a restaurant lot next door for the overflow. I told the salesman, wait till the middle of Jan when you have zero ups in the showroom and only ones left are lookie loos and tire kickers.
Your comment is spot on dealerships are delusional.
More clickbait. Wholesale prices are dropping rapidly, but retail prices are not. The prices that you are getting for what the other vendors would pay for the car are wholesale prices. You would expect to see those prices well under the retail price.
Car max has 100K mile entry level cars in the 20's. Autonation is cheaper.
Is it possible to negotiate lower than MSRP.??
Their renevue was still close to 30B
CARMAX THEIR Overpriced ridiculous fees are coming back to bite them in the ‘A**’ I know ppl that was always buying vehicles from them and was always overpaying, CarMax knows how to ‘sucker punch’ these kind of ppl. But I believe those customers are starting to wake up, I hope so.
Where’s the best place to buy used cars
5:52 HUGE recall on 2013 elantras! This car could spontaneously combust!
So they make $4 000-$5,000 thousand on the vehicle sale, but don't forget they will be making more on the back end too, so ridiculous profits for a depreciating item!!!
Yep just looked for a used car at Carmax
All I could say was
These people are as ****** high as their prices
CarMax would beat my appraisals, because they thought they could sell higher. Turns out that over paying to push a business model was only to fool investors and lose money.
Just bought a raptor and after I told the salesman I gave caredge a 20 dollar superchat he instantly dropped the price 10 k and gave me free coffee and donuts
Carmax literally can't even be bothered detail a car right. The only thing they're good for is trying out a bunch of diverse makes/models in 1 place so you can decide what to target for your car want/need (from someone else who likely would have at least once-over'd the used vehicle they're selling). I always LoL / SMH at the dirty crap on Carmax's lots as well as when they cheap out & only replace 2 of 4 tires on a car (usually leaving 2 OEM tires that technically have tread left on them but are starting to dry rot).
The reason I'm going there is to drive a couple of different models in one place. I don't want to visit new dealers first if I plan to use Costco auto buying.
The problem is that there are too many people with money still buying these cars from them.
Some people are willing to pay to not haggle with a dealer or get scammed by a private seller.
I’m not sure that all of these people actually have the money either….
They don't have money 😂
I think that it's actually people who don't really have money, who are going in there and buying cars on their own. Carmax financing, and Carmax will get into trouble with this.
Just checked carmax and autonation. Both dealers are still way too inflated. Next year is gonna suck too.
If you want a no haggle experience, you must go inside all the dealerships in your area and find you want and say gimme your best price at each dealership, explain to them you plan to go to all the dealerships and do the same, at which point you go with the best offer.
Dealerships are very good at deflecting this tactic.
Dealers won't give you a price until they've determined if you have a trade in and whether you are financing with them
@@raiden031 straight cash homey
I’ve found it to be a good place to quickly and safely sell a car. But, not the best place to buy a car.
Watch out for car max cars at auction
Aren’t you comparing the trade in price for the retail price? Or am I reading this wrong?
Why are you guys comparing trade-in to the selling price. They have nothing to do with each other.
I've been watching vehicles on CarMax long enough to assure you that there is a plethora of stupidity out there. You'd be surprised how many people are willing to overpay and overpay significantly
Indeed, they’re all out there right now driving $115k pickup trucks.
Yep, and these are the people that created the current market. Of course makers and dealers are going to overcharge when there are enough fools that will buy it. You would too. If you were selling lemonade and a lot of people were willing to pay $5 a glass, would you still sell it for $1? For all the talk about the horrible manufacturers and dealers, not many people want to talk about the stupidity of buyers. These are the morons that have driven the price up. Carmax and Carvana shouldn't exist, with their 5k+ markups. But the fools have fed their existence. And then the rest of the market sees that these cars are selling at those prices, so they go up across the board. Americans are without question the most naive and gullible, materialistically addicted, and outright dumb auto buyers. And then to hear so many cry about being broke, I have no sympathy left. They're fools, they're suckers, and their stupidity brings it on themselves. Unfortunately, their stupidity affects everyone else in the market too.
I agree. I live in a pretty poor area in Baltimore maryland, and every week there's another new truck in my neighborhood. I've been in the market for a truck for 2 years, and I simply refused to pay these insane prices
Agreed. It is still an impulse buy for many; especially younger newer buyers to the market.
Who would think dumping huge amount of cash into a depreciating assets would fail ⁉️🤑
except Vroom's price also has profit built in.
If they just move them to New England, apparently they can sell for whatever price they want. Very high prices here.
The whole Northeastern US is like that, on a lot more than used cars. Part of why I don't live there any more.
Carmax does checkout the cars the way no dealership does. They go through the vehicle and undo previous owners have done to the vehicle. I have heard through reliable sources that they even restore the factory stereo back to factory. Just saying.
thanks guys.
I went into a Carmax a month ago and it was pitiful. Plenty of salesman but nobody really wanted to help. The cars and trucks were open so you could look at them but that was no consolation. Overpriced vehicles with shitty finance options. I went to Sheehy Ford and got a really nice 2017 Dodge Ram 1500 crew cab 4x4 Laramie for under 30k. Truck is like new not a scratch or ding on it no slightly shades of paint anywhere on the vehicle that’s how you know if the vehicle was repaired and repainted at some point. Am happy got a good deal and the truck so far runs great. I know it’s early but Carnac wanted 40k for a lower trim model with more miles then the Laramie and didn’t even have a tow package. Info: I got a 2017 Dodge Ram 1500 Laramie fully loaded with tow packed and sprayed in bed liner 75K mileage for around 28k on the road. I probably would get an even better deal now but I needed the truck rather quickly I don’t regret it especially since it’s well within my budget!
This is hilarious! They're not purchasing any new vehicles, and the TOTAL value of all their currently held stock is about 30% of their total debt. Their overhead stays the same, and the light bill still needs to be paid. All this, with a RAPIDLY decreasing valuation of their product.
NO HAGGLE OVERPRICED VEHICLE'S... AKA STAY AWAY
I went on carmax with my car and their offer was 35% of retail.
Are you guys discussing a crash in the car market???
Wait, you guys are comparing the CarMax retail price to the offer prices from other dealers? Thats idiotic.
Makes no sense
Just drove by one! They are open and not done
Still praying over my current vehicle daily and praying that anyone will lower prices in this area.
Would not buy from Carmax. Sold my
I would buy the Ford F150 you showed for $30-32 if it has the 5.0 engine in it.