XFS 70 Posted November 22, 2016 (edited) I know this has probably been done to death, but today I was looking at a popular car that is so out of tune with Cap and actual auction and selling prices I've had to check and check again. So, I was offered a Mini at £6400 which made me prick my ears as it sounded cheap. Checked Cap and its at £8250 clean, so I'm getting excited, car is ok, needs a bit of paint, but nothing drastic, probably grade 3 at worst at BCA, but more likely grade 2. Then I check what the model is actually selling for on Autotrader, cheapest is £7400, average is £7800 to £8400. Cap retail is £10200. Auction price is probably £7600/£7800 plus premium, so no point spending £400/£500 to put it in top retail condition. If I buy it, the way forward I'd leave as it is and put it on the block. So this car is going to cost someone best part of 8k. Then a few hundred in refurb. How and where do they make profit? Edited November 22, 2016 by XFS Share this post Link to post Share on other sites
Phil H 124 Posted November 22, 2016 People do get carried away at auction and the big boys need to fill empty spaces. It's amazing how some of these places work on volume not profit from the car but from all the add ons, finance, admin fees, extended warranty etc. etc. Share this post Link to post Share on other sites
betginge 73 Posted November 22, 2016 Sounds a plan, I buy a lot of cars then block them with some good results, no annoying customers moaning when there brake pads are metal to metal after 3 months wanting a full refund as i've sold them a death trap. Some cap / glass prices are crazy, Corsa D's are an issue for me, trying buying a clean one at cap in my local auction, you can't. And the issue is even when you get one for right sort of cash the retail cap is miles out, I would love to achieve some of these retail cap prices but in reality is doesn't happen. Share this post Link to post Share on other sites
metcars 395 Posted November 22, 2016 I used to 'block' a lot of cars with Manheim, but even though the trade selling rates (negotiable if you have the numbers) were pretty good, it became too expensive. It's a really fickle platform and sometimes cars just don't/won't sell when they should! Many, many years ago I knew two guys who did the "buy from one auction and sell at the next" thing. I used to see them at Manheim Colchester on a thursday evening buying a dozen or so cars, then run them up the A12 to Chelmsford auctions for the Saturday sale (which was brilliant for me back then, shame they stopped the Saturday sale). I think they did alright but it wrong in the end, I still see one of the guys. Today, if I needed out of a car it would go on ebay, especially if it's something really special. 'Blocking' bread and butter cars isn't worth it any more, at least for me. Just my opinion Share this post Link to post Share on other sites
sparky 274 Posted November 23, 2016 Slightly off thread but any sensible explanations for what I saw at BCA yesterday? A 59 plate focus titanium diesel estate, 50k, grade 2 booking cc at circa £3500. Hammer price ladies and gentleman, £5200. Go figure. Share this post Link to post Share on other sites
Mikey 19 Posted November 23, 2016 Yep I can completely relate to that Sparky! CAP pricing is off it's t*ts recently, and no where near reality on most of the stock I go after, and to make matters worse I seem to be being outbid on everything! Like above I'm not sure there's anything left in them after fees...it's just crazy! At first I just thought it was a billy bunter with bidding fever, but then started to see the cars listed with dealers way more expensive than anything else. Last month I took my father to Manheim to look at a Saab 9-5 Sportwagon which is not my market really. Anyway it's a one owner Turbo Edition 1.9td with 35k and on a 60 plate, so quite a late one. From memory it was booking around 34 hundred but as these have quite a strong following I was expecting to pay over book to win. I stopped at £4200 in disbelief, and it just kept going all the way to £7100!! (So fees on top too) Even the auctioneer laughed half way through and said '' Well CAP obviously means nothing at all on this one''!! Two days later it's on a London dealers pitch for £8500... Share this post Link to post Share on other sites
andymc1973 199 Posted November 23, 2016 i tried sticking unwanted swoppers on an ebay auction but the buyers just go AWOL, complete waste of time and ebay aren't interested in stopping them Share this post Link to post Share on other sites
metcars 395 Posted November 24, 2016 10 hours ago, andymc1973 said: i tried sticking unwanted swoppers on an ebay auction but the buyers just go AWOL, complete waste of time and ebay aren't interested in stopping them I agree with you. Ebay need to make non-payers liable for sellers relist costs. And while I'm here, and bearing in mind the nightmare I'm having with Hermes losing "two" parcels this week, courier companies should have a seperate feedback system as there is no accountability for them. Share this post Link to post Share on other sites
andymc1973 199 Posted November 25, 2016 yes the card they leave on file should take the debit of my fees Share this post Link to post Share on other sites
XFS 70 Posted November 26, 2016 So today I,m offered an Audi Q7 at 15k. I though, mmmm. that sounds ok. Cheapest similar car currently for sale on Autotrader is priced at £16995. Average seems to be around 18k. However, cap clean price is only £12800! I checked and double checked thinking I've got something wrong. Even at some £2200 over Cap clean I,m sure there is profit in this car. At another time I would probably buy it, but right now price seems irrelevant as nobody wants to buy anything of mine no matter what the price is. Not one enquiry in a fortnight! Share this post Link to post Share on other sites
.gif.f588d3d914825b414e7ea9a8fb8a7afe.gif)
