BayAreaCarGuy.com

Sell Car Online Guide Available for First Time

For Immediate Release – November 30, 2009

The First Comprehensive Guide to Selling Vehicles Online Just Released

Berkeley, California, USA – L. James Johnson has announced that his new book, HELP! I Gotta Sell My Car – New Rules for Selling Your Vehicle Online! has just been released for download at www.BayAreaCarGuy.com.

Johnson describes HELP! NOW! as combining his New Rules for selling vehicles online with time-honored Best Practices from the car industry. He developed the New Rules while an Internet Manager for a major car dealer. The New Rules were designed to help dealers and private sellers move beyond Old School sales and marketing tactics that hinder attempts to use the Internet effectively when selling cars, trucks, and SUVs.

Johnson says, “Dealers benefit the most from the New Rules because many simply don’t understand that a new approach is needed to use the Internet effectively.” He goes onto say, “Private sellers will use both the New Rules and the car industry’s Best Practices for pricing cars, handling inquiries, performing a vehicle walk around, staying safe during the test drive, and negotiating price, to name a few.”

L. James Johnson joined the car industry late in life after a successful career in radio and TV Journalism. He later owned and operated three businesses simultaneously. Within six months of joining the car industry he attained top sales status. He had one of the highest Consumer Satisfaction Index (CSI) ratings in the district - above national average. After advancing to Internet Manager, James drew heavily on his experience in both business and Journalism to perfect the New Rules of selling cars online, which led to the publication of HELP! NOW!

This is the first time that a comprehensive A through Z guide to selling a car or truck online is available to car dealers or private sellers.

Contact:

L. James Johnson

Owner, www.BayAreaCarGuy.com

Berkeley, CA 94702

james@BayAreaCarGuy.com

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L. James Johnson’s new book, HELP! I Gotta Sell My Car NOW! New Rules for Selling Your Vehicle Online! is available for download at BayAreaCarGuy.com.

Shipping a Car for All the Right Reasons

There are many reasons to ship a vehicle across the state, the country, or even around the world.

Moving to change your residence is just one of them.

As a dealer, I often worked with buyers who were looking for either the best deal they could find or specialty cars, and shipping costs were simply part of the deal. This was especially common for buyers looking on eBay Motors. Many wouldn’t think twice about buying a car on the other side of the country as long as the figures made sense.

Shipping cars, trucks, or SUVs these days is both easy and reasonably price.

There aren’t many large, national shipping companies that I trust my car to. The one that I recommend is Dependable Auto Shippers

DAS is license, insured, and boasts over 50-years experience. AND it’s easy to get a quote to make sure you’re getting the best deal available. Simply click on Get An Auto Transport Quote.

Shipping a vehicle is now an established procedure. Use Dependable Auto Shippers to make sure you’re getting the best price and the most experienced company to look after your vehicle, if it’s across town or on the other side of the country.

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L. James Johnson’s new book, HELP! I Gotta Sell My Car NOW! New Rules for Selling Your Vehicle Online! is available for download at BayAreaCarGuy.com.

The links I provide are often affiliate links that I receive a commission from if you click thru and purchase a product. I appreciate the support as this allows me the resources and time to develop my website (www.BayAreaCarGuy.com) and funds the development of my next book. See my video explanation at http://bayareacarguy.com/sell-car-online-thanks-for-the-click/.

5 NEW RULES of Selling Your Vehicle Online!

Most used car buyers have been online before they ever walk into a car dealership. Car dealers have been forced to adapt (some kicking and screaming) – by building an Internet sales department, re-directing advertising budgets, and reconsidering how they price their vehicles.

Don’t tell them I said so, but many large auto dealers do a poor job of marketing their vehicles online. They know a lot about print advertising, but fewer buyers are looking in newspapers or auto/shopper magazines – and why bother? They’re out of date by the time they’re delivered. The cars pictured may have been sold before the paper went to press!

Many “old school” car dealers simply haven’t figured out the New Rules for effectively marketing their vehicles online. Unfortunately for them, they won’t get a second chance to create a first impression.

You Can Learn, Too!

If professionals are having a difficult time staying ahead of the learning curve, you shouldn’t feel bad if you are not clear on how to effectively sell your car, truck, or SUV on the Internet. It’s barely two years  since I was asked to decipher the mysteries of online marketing, and to design the best method for selling used (my boss insisted on “pre-owned”) vehicles on sites like AutoTrader, Cars.com, Craigslist, and Kijiji. Luckily, it was a forward-thinking company that trusted me to experiment, knowing I’d make mistakes that we could learn from. How else to learn?

It took a year of trial and error to develop a clean, effective format for our online postings and ads. But that was only part of the learning curve. I discovered that there is a weekly shopping cycle specific to online buyers. Unless you time your ads correctly, much of your effort could be wasted. We also learned how important pictures and pricing are to attract potential buyers and complete the sale.

Developing New Rules for marketing used vehicles online increased our sales volume, and we drew buyers from farther and farther away. Customers regularly drove two, three, and, in one case, five and a half hours one-way just to check out a car we’d posted. And virtually every customer who drove that distance bought the vehicle they came to see.

Think about it. What would entice someone to drive eleven hours round trip to look at a used car?

James explains, other than great Photos, what is needed to have an effective online ad.

The New Rules

1. Bold Headline

First, the subject line has to grab attention away from all the competing ads – and for some models there may be hundreds posted.

2. Detailed Information

The text must be clear and concise, specifying all the information a buyer cares about in order to determine if your vehicle is worth the time to look at.

3. Personal Touches

Personal touches will sweeten your posting – information that only someone who cared about  the vehicle would know. These make the seller seem trustworthy. Emphasize the positive AND tell the truth about the condition of the vehicle.

4. Specific Photos

Seeing the features and accessories that your buyer is looking for will catch her attention.

5. Video Walk Around

Finally, the secret weapon that induces someone to drive eleven hours is the video walk around. It’s a simple tool I love to use, even if my customer’s in the neighborhood, and it’s easy to put together. It builds an enormous amount of trust and rapport between buyer and seller, providing a load of information quickly. I know the video walk around sealed the deal for my buyers even before they came over to see the car. There’s a step-by-step guide on creating your own walk-around in Chapter 10.

HELP! NOW!

My new book HELP! I Gotta Sell My Car NOW! walks you through the 5 NEW RULES of selling your car online. I provide a step-by-step guide for selling your car online, including:

• price your car so you don’t leave money on the table
• what sites to choose, and how to market your car for FREE
• which photos do you take and how do you shoot them
• handling inquiries and test drives
• how to negotiate like a pro
• handling the paperwork and counting the money

Your time and money is on the line. Learn from the pros – learn the NEW RULES of selling your car online. HELP! NOW! is on the way.

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L. James Johnson’s new book, HELP! I Gotta Sell My Car NOW! New Rules for Selling Your Vehicle Online! is available for download at BayAreaCarGuy.com.

Customize Your Bill of Sale Online

When selling a vehicle privately it’s best to have a Bill of Sale if your state DMV requires it or not. This is from my new book: HELP! I Gotta Sell My Car NOW!:

A Bill of Sale makes the sales transaction explicit by identifying what is for sale, any conditions attached, and the price.

To make sure you get it right (a mistake here can be costly in more ways than one), it’s actually easier to download an attorney prepared Bill of Sale online. For a small fee, you can get a professional document that has been specifically designed for your state. There are even a few specialized websites that allow you to customize your Bill of Sale to make sure there is no confusion about the details of your car sale.

Click Here! to learn more about the the customizable website I recommend. Take a few easy steps and you get an attorney prepared, customized Bill of Sale that meets the specific requirements of your state.

Find more tools for buying and selling vehicle on my website at www.BayAreaCarGuy.com/tools.
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L. James Johnson’s new book, HELP! I Gotta Sell My Car NOW! New Rules for Selling Your Vehicle Online! is available for download at BayAreaCarGuy.com.

Where to Store Pictures Online?

I recommend that you take at least 30 pictures of your car, truck, or SUV when selling it online.

Primary Exterior Photo

I often take 60 or more. Car industry pros know that the more pictures you put in front of a buyer, the better the chance of them closing the deal.

Why take so many pictures when Craigslist only lets you post four pictures, and inexpensive premium site packages (AutoTrader or Cars.com) allow less than that? In my book, HELP! I Gotta Sell My Car NOW! I recommend that you post additional pictures to an online image hosting service and send prospective buyers a link to them. This can mean the difference between making the sale or not.

Why host images online vs. attaching them to an email? It’s simpler and quicker. I state in my book HELP! NOW! that responding to emails in minutes – not hours – often makes the difference between selling your car or not. If you are on the run and monitoring emails on your phone, you can respond to a buyer immediately WITH THE LINK TO MORE PHOTOS instead of waiting hours to get back to your home computer to attach pictures to an email.

2008 Honda Civic SI Mugen

Responding with such quick service grabs a buyer’s attention and lets them know that you are following the NEW RULES of selling vehicles online. Who do you think they would rather deal with? A saavy seller who is providing quick, efficient service, or the many OLD SCHOOL sellers (including dealers) who most buyers cringe from?

Also, there’s less chance of something going wrong:

• like having your email get lost in the buyer’s spam folder
• or having it blocked by his email server because you (1) didn’t resize the photos (2) you packed the email with too many pictures.

If you get a lot of inquires about your car, you’re going to be spending a lot of time attaching the same photos over and over. It’s simpler to send a single link to every inquiry. In this way you can put up tons of pictures and let them view them until their heart’s content.

Buying a car is a big decision. People appreciate not having their process short-circuited to suit your timetable and needs.

Be helpful. Give buyers the tools they need to make a decision and support them in THEIR process. You’ll stand out as one of the good guys. Doing so has its own rewards AND will help sell your car faster.

PhotoBucket

I recommend the #1 most popular photo site in the country: PhotoBucket.com.

It’s free and you can sign up here: Image and Video Hosting – FREE.

Your pictures are accessible to anyone – if they have an account or not. Simply upload your pictures and send a link. You also get these features with your free account:

• organize your photos neatly into albums with a built-in organizer
• collaborate with family or friends to build group albums using hundreds of album themes
  

  Kit S. with her Honda Civic

• lots of tools for photo editing
• you can resize your photos prior to emailing or uploading to other websites
• lots of effects to add to your pictures, from unique frames and stickers to special effects
• a scrapbook builder – simply drag and drop your pictures into one of hundreds of pre-built scrapbooks
• a slideshow builder so you can post your shows to blogs, websites, or your online profile
• want to add music: use the remix builder

To get your free account with the top image hosting website in the U.S. go to Image and Video Hosting – FREE.

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L. James Johnson’s new book, HELP! I Gotta Sell My Car NOW! New Rules for Selling Your Vehicle Online! is available for download at BayAreaCarGuy.com.

backpage.com – An Up and Coming Classified Website!

We all know that Craigslist is the towering giant among free online classified websites. Over 50 million unique visitors land on Craigslist each month making it the 8th largest website in the U.S., and the 24th largest in the world.

Does this mean that you should rush out and post your car, truck, or SUV only on Craigslist? The answer depends on where you live. Classified websites offer a local approach for selling to local buyers. This means that Craigslist is not the leader in all U.S. markets. In fact, it comes in number three in some markets.

One of the up and comers giving Craigslist a run for their money is backpage.com.

I like working with backpage.com because I have an affinity for my local San Francisco Bay Area alternative weekly. backpage.com is owned by the original alternative newspaper, New York’s Village Voice, but your ad may be displayed along with classified ads from the back of many local papers including my SF Weekly, the LA Weekly, City Pages (Minneapolis), and the Seattle Weekly.

backpage.com online ads are free, but you have the option of paying a fee to add your post to the local, printed newspaper and to post online in multiple cities.

I recommend using Craigslist as a strategic site to post your online vehicle ad, but don’t forget about backpage.com. Remember the “mud on the wall” theory:

You never know when that last post on some obscure website will generate a phone inquiry about car.

Be smart and begin with the largest, high-traffic sites in your area, but why not use as many free sites as you have time and energy for. That includes backpage.com. After all, it’s free, right!

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L. James Johnson’s new book, HELP! I Gotta Sell My Car NOW! New Rules for Selling Your Vehicle Online! is available for download at BayAreaCarGuy.com.

Backpage.com – An Up and Comer!

With classified websites organized to provide a local service, how do you determine which free websites to use when selling your car, truck, or SUV? It’s always smart to use as many as possible. What the heck, they’re free, right? You’ll only be out the time it takes to create each post.

Which Ones to Use?

The world of online classified websites is constantly changing. Craigslist is the towering giant among current players with over 50 million visitors a month. An up and coming player in this game is backpage.

backpage is owned by the original alternative newspaper, New York’s Village Voice. Your ad may be displayed along with classified ads from the back of various local alternative newspapers including:

• SF Weekly (my local alternative choice in the San Francisco Bay Area)
• LA Weekly
• City Pages (Minneapolis)
• Seattle Weekly

The ads in backpage are free. However, you have the option of paying a fee to add your post to the local, printed newspaper, and for posting online in multiple cities.

Mud on the Wall

Remember the “mud on the wall” theory? Always throw up as much “mud” as you have time and energy for because you never know when that last post on some obscure website will generate a phone inquiry about your car. backpage is a growing player in the world of online classified websites. It could very well be the difference between your car selling or not. What the heck – it’s free, right?

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L. James Johnson’s new book, HELP! I Gotta Sell My Car NOW! New Rules for Selling Your Vehicle Online! is available for download at BayAreaCarGuy.com.

Auto “Bill of Sale” Now Available Online

When selling a vehicle privately it’s best to have a Bill of Sale if your state DMV requires one or not. This is from my new book: HELP! I Gotta Sell My  Car NOW!:

A Bill of Sale makes the sales transaction explicit by identifying what is for sale, any conditions attached, and the price.

To make sure you get it right (a mistake here can be costly in more ways than one), it’s actually easier to download an attorney prepared Bill of Sale online. For a small fee, you can get a professional document that has been specifically designed for your state. Go to Find Legal Forms for an Auto Bill of Sale.

Find more tools for buying and selling vehicle on my website at www.BayAreaCarGuy.com/tools.
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L. James Johnson’s new book, HELP! I Gotta Sell My Car NOW! New Rules for Selling Your Vehicle Online! is available for download at BayAreaCarGuy.com.

Why Americans Hate Buying Cars – Part II

The Dilemma

Consumers are in a bind when it comes to buying their vehicles: The majority of Americans love the cars that they drive but they hate the process of buying them. It is this specific issue that moved me to begin this weblog because I prove every day that buying a car, truck, or SUV does not have to be a painful experience.

The consumers I work will tell you that their car buying experience was “informative,” “constructive,” and at the very least they will report that the experience was not as “stressful” as they thought it would be. In fact, a few customers have actually described their car buying experience with me as “fun.”

Don’t get me wrong: It is not always bliss, and not everyone leaves having successfully negotiated a vehicle purchase. However, buying your next vehicle does not have to be so stressful that it ranks as one of the worst experiences that you will go through this year.

There Is Another Way To Do Business

Earlier in my life I was a business owner and operated three businesses simultaneously: A regional modular home sales & service center, along with two property management companies. A significant part of my job was learning how to provide topnotch customer service in a variety of business environments. This process had its own learning curve, but in time I was able to make real contact with my customers, and to work with them to resolve issues in an intelligent, transparent, and fair manner.

After moving back to the San Francisco/Bay area a few years ago, I chose to enter automotive sales and worked with both Honda and Ford dealerships. In both cases I was an Internet Sales Manager who specialized in developing online marketing of pre-owned and Certified pre-owned vehicles, as well as selling and leasing new vehicles. 

Skill are transferable, and it was in the auto industry that I was able to transfer the professional customer service experience that I developed in other industries. This, at a time when the auto industry is enduring major—and, at times—turbulent change.

It seems that life is not always easy for either customers or car dealers in this age of evolving automotive markets. The severe economic downturn, combined with more limited lending practices,  is drastically impacting society in general, and the automotive industry in particular. More on these issues in another article. 

For now, suffice it to say that life goes on and here in the Bay area this means that we need good, reliable transportation that we can afford to buy, that we can afford to maintain, and that we can afford to put gas in. We also need vehicles that are comfortable enough—and safe enough—to spend the long hours that we invest each week in our commute. This is often done in less than ideal driving conditions. 

The bottom-line is that our jobs, our livelihood, our safety, and, at times, our very sanity rests on good, reliable transportation that we can afford to buy and maintain. Our ongoing dilemma is figuring out how to buy the cars that we love in such a way that lessens the stress in our life rather than adding to it. The good news is that there are practical options available to you that will move you towards this end. 

Tomorrow: Real solutions for Americans who hate the process of buying their cars.

Donate Your Car To Charity

Many of us don’t want the hassle of selling or trading an older vehicle that isn’t worth much anyway. An alternative is donating the vehicle to charity. Choosing to donate your vehicle not only provides money to organizations that are often in desperate need – and hopefully do good work – but you receive a tax write-off. Many charities will accept:

• cars
• trucks
• RVs
• campers
• motorcycles
• boats

Charities may sell your vehicle and use the proceeds to fund their work. Alternatively, if your vehicle is in running order they may decide to use it in thier own programs. An example of the latter is the American Family Charity
that actually provides vehicles to families in need.

The Better Business Bureau estimates that up to 10,000 vehicles are donated to charities in large urban areas each year. When these vehicles are sold it results in $4 to $5 million being added to the charities coffers. This means that the average vehicle donation results in $400 to $500 going to the charities before the expense of processing the vehicle prior to sale. 

$5,000,000 divided by 10,000 = $500.

Most charities will pick up your vehicle at no cost to you. This is particularly useful if the vehicle is not in running order or hasn’t passed a required smog or emissions test.  Don’t have the title? That won’t matter in most circumstances. However, check with the specific charity that you are considering to see if they will take your vehicle without a title.

My Experience

A few years ago while living in Chico, CA my Jeep Cherokee was on its last legs, so to speak. No wonder – the odometer was registering almost 200,000 miles. I owned it free and clear but didn’t have the title. I knew I wouldn’t get much for it if I went through the hassle of selling it privately so I decided to donate it to charity.

Dave Thomas – Whether it’s choosing a career or deciding what charity to get involved with, the choice should come from your heart.

Which one? As I looked around for a good cause to donate my Jeep Cherokee to I kept being reminded of a friend who had a relative living on the streets of Chico. Mental illness had taken its toll on this troubled 40-year old resulting in him struggling to survive as one of many homeless in the area. I was deeply touched by the devastating toll it took on the man, on my friend, and on their family.

Due in large part to the mental illness, there was little the family could do to directly improve the practical living situation of their family member. Instead, they set out to help the organizations that help the homeless. They volunteered at food kitchens and supported food drives, clothing drives, and fund raising.

Adversity 

Every family in America is touched by tragedy and heartbreak. Physical illness, mental illness, and financial catastrophe of one sort or another – we don’t have to venture far to see what touches our hearts.  I was touched by the plight of the homeless in my local area and I decided that I would donate my vehicle to an organization that was actively working to help those most in need. It wasn’t long before I found the single organization that did more hands-on-work with the homeless than any other in the community. I donated my SUV to them.

I was worried that I didn’t have a title to my Cherokee. However, the charity took care of the DMV paperwork to replace and transfer the title. All I had to do was sign a form that they provided. They picked up the vehicle from my home and the entire process was simple and pain-free.

Tax Deduction!

When you donate your vehicle to charity you not only help those in need, but you side-step the hassle of selling a clunker on Craigslist.org or through your local newspaper, AND you have the opportunity to keep more money in your pocket by paying the government less tax. Here is how it works:

• Generally, if the charity sells your vehicle you receive a federal tax deduction limited to the amount the charity received from its sale. The charity will provide a receipt. 
• The only way you can deduct your charitable contribution is if you itemize your deductions on Schedule A of Form 1040 on your federal tax return.
• There are specific requirements if the vehicle sells for more than $500, with more requirements if the vehicle sells for more than $5,000. See the IRS guide below for details.
• If the charity does not to sell your vehicle, deciding instead to put it to use in its program, then different rules apply for valuing your deduction. See the IRS guide below for those details.

The IRS has a free guide that can help you through the process of donating your vehicle to charity. This PDF download is short and fairly easy to understand - A Donor’s guide To Vehicle Donations.

Why I Love Honda Certified Used Cars! Part III

In the last two posts I’ve been gushing about the many reasons that I love selling certified Honda vehicles – at least I did while I was an Internet Sales Manager at a local Honda dealership. Now that I am the Internet Sales Manager at Michael Stead’s Hilltop Ford I still sell pre-owned Hondas, and we have program where we offer more protection for our customers than the Honda program. Today – part III of this article. I begin with a pricing example of our program:

2008 Honda Accord EX-L sedan

• Stock #16646
• VIN: JHMCP26868C015791
• Color: Black exterior, tan leather interior
• Miles: 18,646 

PRICING OPTION #1: $22,995 + tax and license fees – only includes remaining manufacturer’s warranty (see chart above). 

PRICING OPTION #2: $23,995 + tax and license fees - includes PremiumCare Extended Service package – extends protection to 7-years/100,000 miles.

COMPARE: Check our prices against other Honda Accords that have made it onto your short list. Compare these two prices to other vehicles you’ve found in your area – both Honda Certified and not.

HOW TO DECIDE: Consider differences in:

• Features (does it have leather? Navigation?)
• Condition
• Mileage
• Certified or not
• Warranty coverage
• Price 

If you find the equivalent of our PremiumCareExtended Service package at other dealerships you’ll see that it usually costs significantly more – to the tune of thousands of dollars. In designing this package – including the cost of the car + the PremiumCare 7-year/100,000 miles protection – I hope to save you money while providing more value in ongoing protection compared to anyone else in the marketplace. 

And in writing this and future articles, I am attempting to hand you tools so you can make the best decision for you and your family. OTHER TOOLS: Check out my FREE report, The 8 Biggest Mistakes That Used CarBuyers Make and How To Avoid Them! This FREE download is available on the right side of my home page at www.BayAreaCarGuy.com. 

And for goodness sakes, try to make your car buying experience f-u-n!

L. James Johnson  

james@BayAreaCarGuy.com      –      Personal website:  http://www.bayareacarguy.com

Check out my article The 8 Biggest Mistakes That Used Car Buyers Make and How To Avoid Them! It’s a free download at  www.BayAreaCarGuy.com 

See my video on the top-right of my home page: How Can I Sell Used Cars To My Friends and They Won’t Hate Me Afterwards?

To see the entire article clickhere.

The 8 Biggest Mistakes – #8

Buying a used car can be one of the most stressful things that you’ll do this year. Yet, here are specific steps to:

• make the buying process easier
• ensure you get more than a good deal
• find a vehicle that will last you for years to come

I have compiled a list of the most common mistakes my customers have made when buying used cars. Making any one of these mistakes can cost you hundreds – even thousands of dollars more than necessary. Finally, you can get ahead of the learning curve and buy your next car with confidence.

Mistake #1 – Not test driving early in the buying process.

Mistake #2 – Not checking the CARFAX report.

Mistake #3 – Not looking at the vehicle inspection report.

Mistake #4 – Ignoring fuel consumption.

Mistake #5 – Ignoring Certified cars (CPOs) or extended warranties.

Mistake #6 – Don’t comparison shop.

Mistake #7 – Not buying from a reputable dealer.

Mistake #8 – Not following your intuition.

I find it amazing how my customers blurt out their previous car buying experiences – including all the mistakes they have made. Here are a few examples:

STORY #1 – Denzel C. told me that he knew as he was driving the car away  from the seller’s house that he had made a mistake. His intuition was confirmed a short time later when he discovered that the car he just bought had been in a serious accident which damaged the frame. He wished he had not over-ruled his gut feeling. He also told me that from now on he would have his mechanic check out all private sales vehicles that made his short list.

STORY #2 – Ahmed S. told me that didn’t trust his last sales person, but bought the car anyway. It turned out that the sales person wasn’t telling him the whole truth about the car’s history. Ahmed told me that he now listens to his intuition in those situations. He also learned to read the vehicle history report before signing on the dotted line.

Life’s Lessons:

• research all the factors that concern you
• test drive early in the process
• read the vehicle history and vehicle inspection reports
• ask yourself, “Is this the car for me?”
• listen to the answer – your intuition
• if you are really sure – take action
• always contact me if you have questions

Good luck, and for goodness sake, try to have fun in your car buying experience.

The 8 Biggest Mistakes – #7

Buying a used car can be one of the most stressful things that you’ll do this year. Yet, here are specific steps to:

• make the buying process easier
• ensure you get more than a good deal
• find a vehicle that will last you for years to come

I have compiled a list of the most common mistakes my customers have made when buying used cars. Making any one of these mistakes can cost you hundreds – even thousands of dollars more than necessary. Finally, you can get ahead of the learning curve and buy your next car with confidence.

Mistake #1 – Not test driving early in the buying process.

Mistake #2 – Not checking the CARFAX report.

Mistake #3 – Not looking at the vehicle inspection report.

Mistake #4 – Ignoring fuel consumption.

Mistake #5 – Ignoring Certified cars (CPOs) or extended warranties.

Mistake #6 – Don’t comparison shop.

Mistake #7 – Not buying from a reputable dealer.

I work at Michael Stead’s Hilltop Ford. There are a lot of small used car outlets in our area. It is heartbreaking to hear the nightmare experiences of buying a used car somewhere else.

STORY – An unemployed Brenda walked onto our sales lot one day. She told me a sad story about her last car buying experience: Less than a month after buying her used car from a small used car dealer the transmission broke down. It turns out that she hadn’t checked either the vehicle history report or the vehicle inspection report prior to buying it. Instead, she took the salesperson’s word that the car had been fully checked out.

She soon discovered that it would cost $3,500 to get the car running again. She didn’t have the money. She asked the dealership to fix the car but they refused. Brenda tried to sell the car to get out from under her remaining bank loan. But the dealer hadn’t completed the paperwork to give her a clear title. Without the title she couldn’t sell the vehicle.

Stuck, she let the car sit in its broken-down condition. Because she no longer had reliable transportation to get to her job, she was fired. When she walked onto our sales lot and asked me for help she was out of work and desperate. We went to work to get her help with her non-working vehicle, and did everything possible to get her into another car. Unfortunately, Brenda was not able to get approval on a second car loan, and the last I spoke with her she was going back to the dealer to try and resolve the numerous outstanding issues. It was a sad and unfortunate situation.

INSIDER INFORMATION – Buying from a reputable dealer will help you feel comfortable and safe in your used car purchase.

One reason that I work for a major dealership is because of the high standards and transparent dealings. I will:

• provide a free vehicle history report
• show you the vehicle inspection report
• explain warranties and the Ford Certified Pre-owned vehicle (CPO) program
• explain the Stead Certified Pre-owned Vehicle Package w/Warranty Wrap
• help you find information online
• for convenience you can even complete your credit application online
• invite you to test drive the same car more than one

There is a reason why I work where I do – and why I sell used car to my friends and neighbors – and they still like me afterwards.

And there is a reason why my friends and neighbors recommend me to their friends – and friends of friends, and so on.

See the next article in this series:

Mistake #8 – Not following your gut instinct.

The 8 Biggest Mistakes – #4

Buying a used car can be one of the most stressful things that you’ll do this year. Yet, here are specific steps to:

• make the buying process easier
• ensure you get more than a good deal
• find a vehicle that will last you for years to come

 I have compiled a list of the most common mistakes my customers have made when buying used cars. Making any one of these mistakes can cost you hundreds – even thousands of dollars more than necessary. Finally, you can get ahead of the learning curve and buy your next car with confidence.

Mistake #1 – Not test driving early in the buying process.

Mistake #2 – Not checking the CARFAX report.

Mistake #3 – Not looking at the vehicle inspection report.

Mistake #4 – Ignoring fuel consumption.

If you are looking for a commuter car and are concerned about rising gas prices, don’t get sidetracked by a car you can’t afford to drive day-in and day-out. Pay attention to the gas mileage of each vehicle that makes it onto your short list – and compare.

INSIDER INFORMATION – Know the MPG rating for each car you are looking at.

I use www.fueleconomy.gov to get accurate gas mileage figures on any pre-owned vehicle. It’s a user-friendly, federal government website. However, beginning with 2008 the EPA rating changed the way it estimates MPG. It now takes into account:

• faster speeds and acceleration
• air conditioning use
• colder outdoor temperatures

This means that every 2008 model has a lower MPG. This website can give you the old rating – or convert to the new ones. Be sure that you compare the cars you are interested in “old rating to old rating,” or “new to new.”

Of course, the your actual mileage will vary based on traffic conditions, driving habits, and where you drive.

See the next article in this series:

Mistake #5 – Ignoring Certified cars (CPOs) or extended warranties.

The 8 Biggest Mistakes – #3

Buying a used car can be one of the most stressful things that you’ll do this year. Yet, here are specific steps to:

• make the buying process easier
• ensure you get more than a good deal
• find a vehicle that will last you for years to come

 I have compiled a list of the most common mistakes my customers have made when buying used cars. Making any one of these mistakes can cost you hundreds – even thousands of dollars more than necessary. Finally, you can get ahead of the learning curve and buy your next car with confidence.

Mistake #1 – Not test driving early in the buying process.

Mistake #2 – Not checking the CARFAX report.

Mistake #3 – Not looking at the vehicle inspection report.

Don’t take the seller’s word that the car you want to buy is in good condition. Lives have been changed – and not in a good way – by taking someones word for this (see Brenda’s story, Mistake #8).

The dealership I work with uses a 150-point checklist to guarantee that every major component of every vehicle is inspected before it is offered for sale. A detailed checklist and a competent mechanic guarantee that most deficiencies are fixed before the car is sold.

Why spend $15,000 on a vehicle and not know that it needs a $4500 transmission job, or $600 for brakes? How do you protect yourself from making these kind of mistakes?

INSIDER INFORMATION – A vehicle inspection report is a basic, inexpensive tool that every used car buyer should use.

If you are buying a car from a private party have your mechanic perform a pre-purchase vehicle inspection. Most mechanics are familiar with this process and will charge you $100 or less. They can quickly tell you about any problems and the cost to fix them. You’ll need to factor these results into your buying decision.

STORY- A seller is asking $9800 for their low mileage 2007 Chevy Aveo. Your mechanic says it needs a $550 brake job. Show the seller the report from your mechanic and demand $650 off the asking price. That will compensate you for both fixing the brakes AND the time and effort to take care of a problem that the seller should have already fixed.

Reputable automobile dealers will gladly show you their vehicle inspection report. You save the effort and cost of getting one from your own mechanic.

RED FLAG – If a dealer refuses to show their vehicle inspection report:

• they may not have inspected the vehicle themselves
• they may be trying to hide something

Be ready to RUN – DON’T WALK – to the exit.

See the next article in this series:

Mistake #4 – Ignoring fuel consumption.

The 8 Biggest Mistakes – #1

Buying a used car can be one of the most stressful things that you’ll do this year.  Yet, here are specific steps to:

• make the buying process easier
• ensure you get more than a good deal
• find a vehicle that will last you for years to come

I have compiled a list of the most common mistakes my customers have made when buying used cars. Making any one of these mistakes can cost you hundreds – even thousands of dollars more than necessary. Finally, you can get ahead of the learning curve and buy your next car with confidence.

As the Internet Pre-owned Sales Manager for Honda of El Cerrito in the San Francisco/Bay area, I have watched my customers make the same mistakes over and over. However, it only takes a little knowledge to turn a bad car buying experience into one in which;

• you feel more in control
• even your family and friends are impressed with the deal you made

I hope that by sharing my experience I can help turn your next car buying experience into a postive and profitable one for you.

MISTAKE #1 – Not test driving early in the buying process.

As the Internet Pre-owned Sales Manager, I have worked with customers for weeks – even months – corresponding by email and talking on the telephone about price, color, specifications, and availability.

Steve W. spent months researching on the Internet before test driving the car he was hoping to buy. By the time I met him, Steve knew more about the engine, options, and specs of the car than I did. It was a big day when he finally came into the dealership to buy the car. However, when he sat in the driver’s seat for the first time, a sad look came over his face.

I don’t fit in this seat. The visability sucks. I can’t believe that I don’t even like this car. How did I make this kind of mistake?

A particular car may be:

• highly recommended by family and friends
• looks great on paper and has a good reputation
• gets great gas mileage and is priced right
• has all the options that you are looking for

However, none of this matters if you simply don’t like the car once you see it in person. Hands-on experience is crucial – please test drive early in the car buying process. As soon as your short list is reduced to just a few choices, test drive each one of them.

Questions to ask yourself:

• Which vehicle can I see myself driving for the next few years?
• More specifically: Will I still like this vehicle as I continue to make payments on it over the next few years?
• Which one is more comfortable?
• Does it have good visibility?
• Does it have all the options I want?
• Is the color okay?
• How is the gas mileage?
• Is it practical and affordable?

How does it drive on different terrains? Test drive it on:

• City streets
• Curvy roads, rough roads, roads under construction
• Major highways. How is the on-ramp speed?
• Try parallel parking

Open the trunk, the glove box, check the spare tire and tools, sit in the back seat, look under the hood, and kick the tires. After you do all that – well, see mistake #8 where it is crucial to follow your gut instinct.

Test drive early. It’s going to be your car for awhile, so don’t be afraid to go back and test drive a second time.

See the next article in this series:

Mistake #2 – Not checking the CARFAX report.