Carl Lassiter

This thread isn't going to win any prizes but I found it interesting...

Took my G in tonight to get the CD changer fixed etc and got talking to the salesman about a used E55 vs E63. He said they'd just got a black 63 delivered so we went to take a look. I said it looked great and he said it wasn't sold. I said it's something i'd be interested in at which point he said "yeah it's a lot of car for 112K." I looked on the sticker in the window and there it was in black and white- a 20k dealer mark-up. I said who'd pay that and he said the first two that came in sold for 35k and 30k over list respectively. I just nodded but thought that's got to be bull****. I told him when they're down to 92 we MAY start talking.

What you guys reckon? A friend paid over 20 list for the new M5 (which BMW bought back as a lemon due to gearbox problems) but at least that was a highly anticipated new model.

The 63 is a great car but surely it isn't enough of a change from the 55 to command a 20-35k premium? I think they're trying it on.

absent

The salesman is full of it.
CLS is strong at MSRP,E63 can be had with a discount already.

jangy

I agree on the BS part. I can get both at invoice. The E has additional room to play.

The M5s were only over stickered at select dealers. I consider it insulting and do not do business at places that try to charge premiums for hype.

Carl Lassiter

BS was my thoughts exactly. He's one of them salesmen who sets alarm bells rining the moment you meet him and my purchase of the G for my girlfriend was far fom pleasurable. My business will certainly be going elsewhere after this latest stunt.

I still thought I'd check with you boys though as I wouldn't have belived it if I hadn't seen it, so thanks for the quick replies.

As regards paying over list, I agree. My friend payed over list as he wanted the very first M5 in L.A., which he got. Why being 2-weeks ahead of everyone else is worth 20k i can't relate to, but some people have money to burn and divisive priorities but it's his money so...

Anyways, the E63 certainly looked very nice back/black- just not 112k nice.

pas

People who pay dealer markups are idiots, they either have money to burn or just have to be the first one to have a new model.

FlyByNight

yeah, I would never pay a markup... I'd sooner donate the money to charity than line a greedy dealer's pockets.

If its a rare low production model that will never be found cheaper, and you're super loaded, then maybe... but even the most sought after cars are suddenly at sticker once the honeymoon wears off... Look at all the 65s now...



Loren

Ted Baldwin

..........Absolutely right!!!!!!!!!

Ted

transferred

Well said, Carl.

Paying over list seems dumb to me but there are people prepared to do it every day. Why? More money than me, poor car education, the list goes on. i don't know. Each to their own I suppose.

I do like the look of those fast E's though!

Ted Baldwin

.........paying over list for an AMG is particularly stupid because while they are great cars, they are pretty common. They are not rare. Anyone that wants one can get one. There is just no reason for it. You can pay a premium on a rare painting or an enzo. Paying a premium for a car that is going to be all over ebay in a month is not a sign of wealth, it actually shows the lack of it. Such a person is probably less likely to have a retirement fund. The truly wealthy get to drive these cars for free either as an expensed item or like the likes of Paris hilton, they are given these cars to drive by the makers as part of an image building campaign for the cars. Bottom, line anyone paying over sticker is a Paris Hilton wannabee........but with less inteligence.

Ted

Cylinder Head

iTrader: (1)

I agree with you gentlemen that paying over sticker for non-exotics is a silly move, but in the end it comes down to basic economics, supply and demand. If its that important to you that you have something "first", sometimes that's all someone needs to justify paying 10-20 grand over sticker. Being an educated consumer is something that many car buyers are not concerned with, luxury cars are "toys", they're bought on impulse. The fact that we're here on this board as a "team" gives us the advantage of a collective consciousness when making automotive decisions.

Trust me I know, when a client wants to take 100K out of their mutual fund portfolio or 401k for a new car that he saw in a magazine, it drives me insane.

2MANYCARS

100k for a car is not insane, extra 20 or 30 on top, is.

MB Fanatic

What ****ing dealer was this? My god I can't imagine spending 112K for an E63.

Cylinder Head

iTrader: (1)

I wasn't commenting on the price of the car, I was more commenting on the fact that they're throwing away 5-10k worth of INCOME a year buying something on impulse. At least finance it and use your earned interest to pay for it so you A. don't touch your principle and B. get the tax break on your capital gains.

jangy

Or lease it (like I do) with the intent of using the 100K for now and paying it back later??

2K6E55

I agree... NEVER PAY markup for any cars!

Cylinder Head

iTrader: (1)

Not sure if I follow you, but leasing is also a viable solution. To better illustrate my point take this example:

Say you have 200k in an income fund giving you an average of a 7% return annually, that equates to 14k a year you're making off your hard earned principle. When you take that money out of the fund you're going to have to pay taxes on your long term capital gains (15% regardless of your tax bracket). So if you take out 100K not only are you going to have to pay the 15% tax on whatever amount of that is capital gains but you're also closing the door on 7k a year worth of income. The smarter thing to do would be to use that 14k a year worth of equity gains/interest that would otherwise be taxable and put it into a deductible expense like a lease or finance situation on a nice fat expensive car. $1,160 a month will pay for a nicey nice lease.

blazinginder

sold with 30k mark up

2MANYCARS

I doubt people are that stupid to pay a 30k premium for an E63 or any 63. When I was shopping for my EVO MR, couple dealers wanted to charge me 2-3k on top of MSRP, I left and went to last one around where I used to live, and they only charged me @ MSRP. Sometimes dealers are crazy that they think they can charge whatever they want because they THINK the cars are rare.

Cylinder Head

iTrader: (1)

I guess the stealers are trying to compensate for the money they're losing off 65's/SLR's.

Carl Lassiter

Calstar MB in Glendale. My guess is that they put these huge mark ups on the cars so they are in a position of strength with less educated buyers- "We're selling it for 112k but we'll let you have it for 110k" and then allow themselves to be "bargained down to around 105k.

If the others were 92k then that means that first one went for 127k- yeah right.

Germancar1

For 20-30K over sticker it had better be that CLK63 AMG F1 pace car that they aren't going to make another one of. Every other Mercedes is a production car!!!

M

MB Fanatic

Well lucky me is getting a damn good deal on the wifes E63.

Im still in mere shock over the price. Its amazing what some people will pay to have the first one on the block even if its a matter of a few weeks. Complete morons IMO.

Akara1

I saw that car today. Beautiful car, but like many others, i'd never pay markup. The thing hasn't even been prepped yet, and they've already got it marked up. Oh well, guess there's a sucker born every minute.

medici78

A local BMW dealer pulled that BS on me. I was supposed to be on a waiting list for an M5, but when it was sold to another dealer group then called to tell me that the people on the M5 list would be contacted to bid over MSRP on it. I was told some idiot paid $20k over for it.

Carl Lassiter

Yeah it was great (even covered in tape in a dingy garage), I was seriously tempted but the mark-up combined with the fact my girlfriend would try and strangle me means i'll be staying well away.

But god it looked so good black/black.

BTW, love your 55. Sweet.