Would you buy a lemon law buyback?
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Joined: Jan 2005
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From: Orange County
2005 C Wagon (No snickering please!)
I have seen a few nice E class on the lot of an iron merchant in Costa Mesa, CA. Mercedes was forced to buy back the cars because of defects that were not fixed in the required number of visits, or the car was in the shop too many days. Mercedes had them fixed, and then sends them to auction. Sometimes the reason is as simple as a crankshaft sensor, a short in the steering column wiring. Other cars have serious engine, transmission, or suspension defects that in my opinion are papered over rather than repaired.
The main problem with these cars is that the title is clouded, and even if Mercedes has done the right repair, it will never be worth as much as a similar car without the title defect. I don't feel that this discount is properly reflected in the price asked by the sellers. The sellers of course are honest in that they fully disclose the defects in the car, and are required to have you sign papers that you are fully informed about the buyback status of the car.
If you just want a car to drive until the wheels fall off, and don't care about resale value, this might be a car for you. I would expect a discount of 25% less than the trade-in value for a similar used car. I have seen some of these cars sell for the same price a dealer would sell you a new unit, if you had the right relationship and the dealer needed to move the unit.
The main problem with these cars is that the title is clouded, and even if Mercedes has done the right repair, it will never be worth as much as a similar car without the title defect. I don't feel that this discount is properly reflected in the price asked by the sellers. The sellers of course are honest in that they fully disclose the defects in the car, and are required to have you sign papers that you are fully informed about the buyback status of the car.
If you just want a car to drive until the wheels fall off, and don't care about resale value, this might be a car for you. I would expect a discount of 25% less than the trade-in value for a similar used car. I have seen some of these cars sell for the same price a dealer would sell you a new unit, if you had the right relationship and the dealer needed to move the unit.
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Joined: Mar 2007
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From: STL
W203 C230SS
I agree with the above- it's a good buyer's car, but a bad seller's car.
For example- I bought mine off of an ebay vendor. He deals with the credit companies for Benz, BMW, Porsche, Ferrari, Lambo, etc.... when car's get repo'ed, he buys them then resells them. I bought mine more or less new with 12xx miles on it. Aside from the 100 to fly to Miami to pick it up and $100 in gas to drive it home- I saved roughly $7k off what the only local Benz dealer would sell it to me for. Hell- the car still had the plastic lining the floors. It was repo'ed within 6 months of being imported to the states- according to carfax.
For example- I bought mine off of an ebay vendor. He deals with the credit companies for Benz, BMW, Porsche, Ferrari, Lambo, etc.... when car's get repo'ed, he buys them then resells them. I bought mine more or less new with 12xx miles on it. Aside from the 100 to fly to Miami to pick it up and $100 in gas to drive it home- I saved roughly $7k off what the only local Benz dealer would sell it to me for. Hell- the car still had the plastic lining the floors. It was repo'ed within 6 months of being imported to the states- according to carfax.
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From: SF East Bay
"Double Stuff" SOLD | Nor*Cals "Pesky Audi"
they are cheap to buy cause you'll spend twice as much in fixing the problem or attempting to fix it. especially if its out of warranty. Even if it IS under warranty, its still a major headache. trust me.
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From: Long Island, NY
C3Twon AWD Jumpofffff
i would stay away... i rather buy a Salvage title car. i mean yea salvage gives off a bad vibe but if you know what damage was done to it and all of it and can go for a test drive its all good. the resale value would be bad but who cares? lol
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From: Laguna Niguel, CA
Friend of mine had a nice 2004 Jeep Wrangler Rubicon that was taken back under the lemon law because everytime he went through a puddle (an you can imagine how small puddles are in So Cal, this is not the rainest part of the world), the inside passenger compartment would flood. So he got a lawyer and after 4 attempts it was eventually taken back under the lemon law. I have connections and was able to track the car to it's final auction resting place. Took 6 months before it was auctioned from the time it arrived at the auction house. I figured I can get this car for $12K as wholesale book for one that is not a lemon was about $18K. For $12K I was willing to live with the problem. This auction, done by Manheim that does most of the dealer auctions in the country was not open to all dealer, you must be a Chrysler/Dodge/Jeep dealer to even bid. So the manager of the auction house got a Dodge dealer from central cal to bid for me. I told him I would not go higher than 15K. By the time the auction was over, this car sold for $19K (including auction fees), wowsa, more than wholesale KBB. I then went to a dealer that discounts Jeeps, got a 2005 Wrangler X for $20K brand new. Not a Rubicon but heck, close enough for me. So why would someone pay the same for a lemon law buyback as a normal car with no history of problems? I figured that if I sold it, a year or 10 years later, the title would say lemon law buyback, it would always be hard to sell.
A repo makes sense if you get a good deal, it doesn't show on the title.
A repo makes sense if you get a good deal, it doesn't show on the title.
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From: So. Oregon Coast
C230 Sport Coup + 2006 W164 ML350 + 99 Ford Escort RIP
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two of the cars i saw on ebay, one was a 2006 with 29K on it. with as
much warranty remaining as it has, it might be worth it. it has a buy it
now of close to 21K. quite honestly, i doubt we will ever buy another used Benz, even from a dealer. the warranty is too expensive, and too limited, and i dont trust 3rd party ones. MB seems to know their junk will break and
cost a fortune to fix, so it only makes sense to get a new one to get
the full factory warranty.
much warranty remaining as it has, it might be worth it. it has a buy it
now of close to 21K. quite honestly, i doubt we will ever buy another used Benz, even from a dealer. the warranty is too expensive, and too limited, and i dont trust 3rd party ones. MB seems to know their junk will break and
cost a fortune to fix, so it only makes sense to get a new one to get
the full factory warranty.
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Joined: Dec 2006
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From: Casa Grande, Arizona
2005 c230k
I agree that a buyback should be avoided. These cars are fairly unreliable to begin with so you are already starting with one strike. A buyback now you are at two strikes. Have you considered a CPO. I purchased my car used but it was CPO so the warranty was extended one year and up to 100K in miles. With average driving the original warranty would have been gone in 3 years so the 100k mileage warranty is definetly worth it. I now have 55K on my car and the transmission pan has started leaking. Thankfully I have the CPO and it should be covered under warranty. You probably could fine the same car you found on e-bay for just $2k-$3k more at a dealer and have the peace of mind of a warranty that would last you 2-3 years. Good luck with what ever choice you make.
