msheredy

I'd love to see what they would have to pay for a Lambo or any other supercar for that matter!

Jycke

See that's the beautiful thing about great contacts (no, not the lenses)..
And they do get something out of it. It's not standing in a garage all winter. It's in a showroom, fully equipped for everyone to see. Good marketing, taking into consideration that we never have AMG's in our showrooms in Finland because there just isn't a good enough market here for them. They have a sure sale and marketing "channel"

Jycke

A new ferrari F458 goes around 400k € ($ 555k) fully equipped if i'm not mistaken. Here's a slightly used one http://www.nettiauto.com/ferrari/458/4146139 We don't have a Lambo dealership here because there are no customers. I've seen a lambo on the streets of Helsinki ONCE. AMG's are extremely rare as well. See one once a week (except for the E63 i'm driving). Due to the harsh conditions during winters most are ML 63's

02S430

good luck enjoy!

HuangYiChao

As for dealer breaking in the car, I am sure if they rev it hard or give it a lot of throttle it wont hurt the car that much unless they are trying to drift it and stuff. In the states I am sure a new car with 6mi due to preliminary checks done by the dealer probably could of been taken for a joy ride. 6mi is enough to floor it a few times. So imo its a great deal to have the dealer break it in and set in the showroom for the price of another c63 in the states off. After all he still does have a e63 to enjoy.

propain

The question begs though. Why? Why would the dealer be willing to make such a horrible deal? It works for him because he is the only one gaining from it. The dealer can just order another C63 and put it on the floor for show and sell it full sticker when done.

If this is going to be a test car for a few hundred miles they can still get full sticker for it.

So when he takes delivery he will be the 2nd owner? This will be written as a CPO deal?

There is nothing wrong with buying a CPO. Im just confused by the "Deal". Maybe he can clear it up for me.

SMP

Finnland has insane taxes on cars. Not an expert on their taxes, but I assume the biggest discount on this particular deal comes from tax savings, and the rest from depreciation. For this to work, the dealer has to use the car as a demonstrator. In this case, as the OP already pointed out, a marketing tool for the dealer to allow future AMG customers not only to see and touch a car on the showroom floor, but also to test drive it. The OP and the dealer benefit from a deal like this.

palerider

for that kind of money id let the dealership have my house for 4 months too.

ZephyrAMG

seriously!

02S430

i said this to him:

no offense but I just dont see how/why the dealer would rather hold the car make less off it holding it for you then letting someone walk threw the door and paying sticker i get the whole reason your doing it but i just dont get why the dealer would rather take a hit like that? anyway good luck

and got this answer so go figure:

See that's the beautiful thing about great contacts (no, not the lenses)..
And they do get something out of it. It's not standing in a garage all winter. It's in a showroom, fully equipped for everyone to see. Good marketing, taking into consideration that we never have AMG's in our showrooms in Finland because there just isn't a good enough market here for them. They have a sure sale and marketing "channel"

propain

There is always 1 test drive car at the dealer. Normally about 100 miles on the car at purchase. If you see 100 miles on your new car you know its a test car. You can maybe take another 1K off the asking if you are lucky but thats about it.

The amount of savings he is describing sounds like the dealer will keep the car until it has about 10K miles on it and then sell it to him as a CPO. If thats the case then both parties have made out on the deal. Selling him the car with 1K miles on the ticker for the amount of savings he has described sounds like he is making out big time over the dealer. The dealer is willing to shell out all that tax money just to have a test car for 1K miles? Again, I dont see how this is a good plan for the dealer. These cars are in demand. In almost every dealer I have been in they simply say "No, you cant test drive it" and people buy them anyway.

Ill put it to you this way. A dealer would laugh his *** off at me in the USA if I offered him this deal.

propain

Why would it be in the garage all winter? He didnt buy it yet. Put it on the showroom floor and people can get to see it and if they like it.... buy it!

But in this case when they come into the dealer and say WOW! Nice car. Can I drive it? Sure.... take it for a spin... . WOW! I love it!! I want it!! How much?!!??! Sorry, this car is not for sale. That would just **** me off to be honest.


Meh... something is missing from this story and im sure I will never know. The more I think about it the more I get confused.

Either way, its a hot car and when and if he does take delivery good luck with it!

olszowa12

A deal like this would be impossible because the taxes in the US are not as high as in Finland. In fact the dealer is just helping Jycke to save some tax expenses.

I get the feeling after looking at the comments here that there is a certain rule - if something didn't happen in the States, it's not true/possible

SonnyakaPig

I wonder how insurance works in this situation. Typically, you can only insure vehicles that you own. I could be wrong. It's just that you don't typically hear of people taking out auto insurance policies for cars that are not in their name. I suppose it's possible, I've just never seen it myself.

I don't know how liability laws work in Finland, but if negligence laws are similar there to the U.S. then I'd wager Jycke isn't insuring this vehicle yet. But, the vehicle must be insured if people will be driving it. So, then the dealership probably still owns it. And in that case, it would seem like they could have some pretty good leeway in what they wanted to do with the car.

That said, contracts can be tailored to very specific and unique situations. But, nowadays it's so rare and difficult to get special and unique contracts drawn up between a private buyer and a car dealership. Car dealerships just use standard contracts and if they do engage in new contracts that require customization, the dealership's attorney would draw them up and that takes time.

So, I'm just wondering if this "contract" between Jycke and the dealer is more of a "gentleman's" agreement. If so, it could still be okay, it just requires more trust. And that's where I would be concerned because we're talking about a car dealership here. And generally, you can't trust them.

I don't know... these are just some things that came to mind for me.

propain

Not saying its not true. I dont just see the motivation on the dealers part. Someone has to pay that tax money dont they? Or is this some kind of loop hole in Finland?

I think people like me in the states who dont see these kinds of deals want to know how its possible and how both parties benifit. Im a money guy so im always curious how deals like this happen.

SMP

For a self proclaimed money guy, your thinking is not very creative . You must have not paid attention to my first post. The dealer gets a tax break for having this car as a demo. The dealer will pass on those savings to the OP, since they don't sell him a "brand new car".

olszowa12

The prices for cars are so low in the States that you don't need those kind of discounts haha

I'll give an example from Poland - the MB dealership where I service my car sells cars with 18%-20% discounts on new cars by registering them as test cars and selling them ONLY to their best customers. (at 20% discount, the dealer has no profit margin at all)
It is only possible if the car is used on dealer's license plates for 1-2 months. In return, the customer has to service the car at this one dealer only. Most of the dealers here earn money almost only on services.

A friend of mine ordered a CLS63 AMG two months ago. The car will be at the dealer for the next 5 weeks. He can drive the car on weekends and throughout the week it is going to be a demo car in the showroom. This way he gets the max. discount an MB dealer could offer - 20%.

I'm not sure if this is the same case in Jycke's situation, but I suppose it's similar. This is a sort of loop hole which dealers open to their best customers.

SonnyakaPig

Very interesting info, olszowa12. Thanks for adding some perspective from outside the U.S.

Jycke

And there we have it. But yes, some things are being left out because everything doesn't need to be shared. It's a win win situation, just take that as an explanation. No point in trying to overthink this

enochroot

Jycke has been talking about this agreement with his dealer for 6 months in other threads, so this is not news. The only thing new is the car finally arrived.

olszowa12, you are right. I am humbled by you comment as sometimes I have that mentality as well.

Jono12345

I think this thread has gone on for too long. Too many ppl going back and forth. Congrats on the car that you get in spring.

Jycke

Agreed. I just wanted to post some pics :P

wankeldude

Okay, if it's tax implications, now I fully understand. We too have some ways of creating tax breaks up here in canada if you are trading in a used vehicle or buying a new vehicle and selling your old one. Some dealers here do "courtesy trades" to help you save the tax from your trade in.

All you had to say was tax implications specific to Finland - that i believe.

Jono12345

Why the he'll would u trade ur vehicle in. Sell it private and make an extra 5grand

propain

Either is your grammar.


Thanks SMP. So I guess this guy doesn't own the car. The dealer bought the car as a demo and will later sell it to him as a CPO. Since as a dealer they get a tax break that the consumer wouldn't get. They aren't passing anything down. They are simply selling him a CPO after anyone who wants to drive the car for the time they own it is done with it.

So pretty much the guy is going to buy a CPO and this is the CPO that is promised to him. None of this "The dealer is going to break it in" He will be the 2nd owner.


If the above is not the case then every dealer should simply say every car on their lot is a "Demo" and give everyone in Finland a tax break.