Need advice on affording a tahoe !

[07Burb]

Your assumption is most likely correct.

Side note, if you end up considering a LEO vehicle be very, very cautious. Many LEO vehicles are used and abused by the people driving them even if they look nice cosmetically.

Second side note, along the lines of negotiations....many times vehicles being sold by individuals are more easily negotiated if we're looking at getting the most "bang for our buck" depending on the reason the person is selling. If they are upside in the vehicle (reason for selling) then there's most likely limited wiggle room but if they are selling because of other reasons there may be more room to knock some off the asking price.

 

[BEEMDUB]

Your assumption is most likely correct.

Side note, if you end up considering a LEO vehicle be very, very cautious. Many LEO vehicles are used and abused by the people driving them even if they look nice cosmetically.

Second side note, along the lines of negotiations....many times vehicles being sold by individuals are more easily negotiated if we're looking at getting the most "bang for our buck" depending on the reason the person is selling. If they are upside in the vehicle (reason for selling) then there's most likely limited wiggle room but if they are selling because of other reasons there may be more room to knock some off the asking price.

Thats understandable, as far as leos being driven hard I've heard that numerous times, if you were lookin at one out of state how would you go about having it looked over completely to look for any mechanical problems? If it was local of course I would have a local mechanic do it but the two dealers I'm lookin at are a state away

 

[07Burb]

Honestly, the only way I'd consider buying a former LEO vehicle is seeing it in person and take someone along with you that knows what they are looking at as well. That's just one man's opinion, though.

 

[BEEMDUB]

Honestly, the only way I'd consider buying a former LEO vehicle is seeing it in person and take someone along with you that knows what they are looking at as well. That's just one man's opinion, though.

Thats what I figured, sucks I don't know anyone that would be willing (or that I would be willing lol) to drive 6 hours with..

 

[MACHO]

You guys all make good points but I think you might be overcomplicating it. Let me give you my $0.02 as an ex car salesman... The dealership doesn't care how they get their money as long as they have a deal NOW. It's all about making the sell. Coming in with a large lump sum of cash is a bad idea because they may have to fill out extra paperwork (more work for them) because of money laundering scams. Yes they'd love to finance you in-house because lenders give the dealer a kickback as an incentive to use them. One month ABC bank might give a better kickback, so the Finance Managers want to use them until XYZ bank gives a better kickback or rate the next month. I'll give you an example: I was pre-approved thru our Credit Union when we purchased our 2011 Tahoe at the lowest interest rate I could find on the Market. I purchased my Tahoe below invoice and they asked to do financing they them, the dealership. They couldn't get a rate cheaper than my Credit Union, so they matched it and I just used their financing thru BofA (who I also banked w anyways) so they could get a little kickback on a car-deal that they weren't making much money on. That helped them out and saved me the hassle of having to fax paperwork; we got the deal done in-house all at once without it costing me any extra.

At the end of the day wether you finance or come in with a check or use their financing they just want a deal. Coming in with a pre approval shows that you are serious about buying and gives you the same negotiating power as cash IMHO bc either way the dealership gets their money.

Bottom line:

1. Get pre approved

2. Research what similarly equipped used vehicles are going for in your area using CarTrader, CL etc.

3. Use Blue books like NADA but keep in mind are only a guide. I'd aim for a deal $1-2K below bluebook. There are always exceptions however. If the market is flooded with that particular vehicle, chances are you'll get a great deal because they have to compete on PRICE. If it's not as common, is a highly sought after vehicle, or if other dealerships are priced around the same price in your area--they'll typically hold at or above book price bc they know they can get it.

4. Ask them how long they've had it in their lot. The longer the more willing they are to get rid of it especially if it's 90 days+

5. During your negotiation, Ask them to show you what they paid for the vehicle. They might not, but it doesn't hurt to ask. I've had dealerships pull out the paperwork and show me the price they took it in for on trade and what they're in it for total. If they're motivated to sell you could walk out with a deal for a few hundred dollars above that!

Good luck with your potential purchase!

 

[Polomintus]

At the risk of sounding rude, i'd say the biggest issue or concern is your've got access to what looks to be a very decent ride even at 18yrs old, yet you want more and wondering how to afford it, when really, you don't need it.

One or the other, many of the guys have already said this to good affect, one or the other, but I think your about to make the biggest mistake for 18yrs old, and that is taking on a loan when your really do not need to do so.

I'd ask yourself a serious question, why do you want a Tahoe, when you have access to a bloody nice car.

What is driving you to this decision? then ask yourself, why do you need a monthly payment for the next 3-5 years when there are a ton of things you could do with your money. For example, buy a property do it and sell it as one example.

Having money each month to blow is far greater than driving a nice car, yet you aleay have access to one of these.

I'm trying to point out these things, considering i did the exact samething at yoru age and regretted it ever since.

Good luck though,

Cheers POLO

 

[BP RETIRED]

Yea I mean my knowledge of vehicle sales is of course very basic seeing as I've never did it on my own before, But the dealers I'm lookin at sell used leo tahoes so I would assume they picked them up at auction or from the government for dirt cheap

Gov't agencies use to be like this. Now it’s all about the cost of the truck/car from it being placed into service, to it going out of service and to the auction block. Before I bought my Tahoe I checked all the GSA auctions I could. The "dirt cheap” motto use to be the mentality. Now its not, due to the economy and the hopes of all that come to an auction to get a "dirt cheap" car. They can be found but there is a reason that Chicago Motors usually sells his before they end up even on his website. When I looked at the auctions a 07 4x4 Tahoe with 70k to 100k miles ranged from 12,000 to 15,000. The price went up slightly higher for the 08 obviously. Gov’t and local agencies are not giving them away at auction. Some of our local agencies went strictly to Tahoe’s due to the value of them at the end of service date. The research done shows that you can get up to 3x more your money on an auction from a Tahoe (2wd or 4wd) than a same year Crown Vic or Impala. If you have time to look, search for Gov’t auctions and see what you can find on them as of recent. Manheim was a large auction agency that I checked quite frequently.

 

[BEEMDUB]

At the risk of sounding rude, i'd say the biggest issue or concern is your've got access to what looks to be a very decent ride even at 18yrs old, yet you want more and wondering how to afford it, when really, you don't need it.

One or the other, many of the guys have already said this to good affect, one or the other, but I think your about to make the biggest mistake for 18yrs old, and that is taking on a loan when your really do not need to do so.

I'd ask yourself a serious question, why do you want a Tahoe, when you have access to a bloody nice car.

What is driving you to this decision? then ask yourself, why do you need a monthly payment for the next 3-5 years when there are a ton of things you could do with your money. For example, buy a property do it and sell it as one example.

Having money each month to blow is far greater than driving a nice car, yet you aleay have access to one of these.

I'm trying to point out these things, considering i did the exact samething at yoru age and regretted it ever since.

Good luck though,

Cheers POLO

Well I don't wanna sound rude or like a smartass either... But these type of posts Don't help me out much at all...Believe it or not I'm not a total idiot like most 18 year olds yes I know the repercussions and possible consequences for everything I do, it's not just the point of havin a nice car... Alls I do is work go to school and train for mma I don't go out party everynight, I STRICTLY budget myself and know how to handle money... My hobby and 2nd job is car audio and custom car work and I love it..yes I have a nice car already ..ok great well now I want a second one and I'm gonna work to get one because I know I can, my housing and school situation is planned and taken care of and every expense down to my damn haircuts has a budget.. This isn't some spur of moment thing I just dreamt up I fully realize everything I'm doing, so thanks for the advice but I'm good to go..

You guys all make good points but I think you might be overcomplicating it. Let me give you my $0.02 as an ex car salesman... The dealership doesn't care how they get their money as long as they have a deal NOW. It's all about making the sell. Coming in with a large lump sum of cash is a bad idea because they may have to fill out extra paperwork (more work for them) because of money laundering scams. Yes they'd love to finance you in-house because lenders give the dealer a kickback as an incentive to use them. One month ABC bank might give a better kickback, so the Finance Managers want to use them until XYZ bank gives a better kickback or rate the next month. I'll give you an example: I was pre-approved thru our Credit Union when we purchased our 2011 Tahoe at the lowest interest rate I could find on the Market. I purchased my Tahoe below invoice and they asked to do financing they them, the dealership. They couldn't get a rate cheaper than my Credit Union, so they matched it and I just used their financing thru BofA (who I also banked w anyways) so they could get a little kickback on a car-deal that they weren't making much money on. That helped them out and saved me the hassle of having to fax paperwork; we got the deal done in-house all at once without it costing me any extra.

At the end of the day wether you finance or come in with a check or use their financing they just want a deal. Coming in with a pre approval shows that you are serious about buying and gives you the same negotiating power as cash IMHO bc either way the dealership gets their money.

Bottom line:

1. Get pre approved

2. Research what similarly equipped used vehicles are going for in your area using CarTrader, CL etc.

3. Use Blue books like NADA but keep in mind are only a guide. I'd aim for a deal $1-2K below bluebook. There are always exceptions however. If the market is flooded with that particular vehicle, chances are you'll get a great deal because they have to compete on PRICE. If it's not as common, is a highly sought after vehicle, or if other dealerships are priced around the same price in your area--they'll typically hold at or above book price bc they know they can get it.

4. Ask them how long they've had it in their lot. The longer the more willing they are to get rid of it especially if it's 90 days+

5. During your negotiation, Ask them to show you what they paid for the vehicle. They might not, but it doesn't hurt to ask. I've had dealerships pull out the paperwork and show me the price they took it in for on trade and what they're in it for total. If they're motivated to sell you could walk out with a deal for a few hundred dollars above that!

Good luck with your potential purchase!

good info right here! thanks a lot it all made good sense to me

Gov't agencies use to be like this. Now it’s all about the cost of the truck/car from it being placed into service, to it going out of service and to the auction block. Before I bought my Tahoe I checked all the GSA auctions I could. The "dirt cheap” motto use to be the mentality. Now its not, due to the economy and the hopes of all that come to an auction to get a "dirt cheap" car. They can be found but there is a reason that Chicago Motors usually sells his before they end up even on his website. When I looked at the auctions a 07 4x4 Tahoe with 70k to 100k miles ranged from 12,000 to 15,000. The price went up slightly higher for the 08 obviously. Gov’t and local agencies are not giving them away at auction. Some of our local agencies went strictly to Tahoe’s due to the value of them at the end of service date. The research done shows that you can get up to 3x more your money on an auction from a Tahoe (2wd or 4wd) than a same year Crown Vic or Impala. If you have time to look, search for Gov’t auctions and see what you can find on them as of recent. Manheim was a large auction agency that I checked quite frequently.

How exactly do you go about buying a car at an auction with a loan? Like as far as purchase and all that..

 

[Polomintus]

Well I don't wanna sound rude or like a smartass either... But these type of posts Don't help me out much at all...Believe it or not I'm not a total idiot like most 18 year olds yes I know the repercussions and possible consequences for everything I do, it's not just the point of havin a nice car... Alls I do is work go to school and train for mma I don't go out party everynight, I STRICTLY budget myself and know how to handle money... My hobby and 2nd job is car audio and custom car work and I love it..yes I have a nice car already ..ok great well now I want a second one and I'm gonna work to get one because I know I can, my housing and school situation is planned and taken care of and every expense down to my damn haircuts has a budget.. This isn't some spur of moment thing I just dreamt up I fully realize everything I'm doing, so thanks for the advice but I'm good to go..



good info right here! thanks a lot it all made good sense to me



How exactly do you go about buying a car at an auction with a loan? Like as far as purchase and all that..

Your right they don't help you if your mind is set in motion already so I wish you well in your plans. Keep in mind though "Some debts are fun when you are acquiring them, but none are fun when you set about retiring them", you plan on working to pay off your second set of wheels, but I trust your laugh at this, but in time your'll understand.

Good luck.

Cheers POLO.

 

[BEEMDUB]

Your right they don't help you if your mind is set in motion already so I wish you well in your plans. Keep in mind though "Some debts are fun when you are acquiring them, but none are fun when you set about retiring them", you plan on working to pay off your second set of wheels, but I trust your laugh at this, but in time your'll understand.

Good luck.

Cheers POLO.

Just checked and my charger will be paid off in the end of November..So I will have one car payment..I'm not laughing at anything I'm simply saying I have it under control and when I get it it will be paid off...Been paying for the charger and insurance for a couple years now and never had one month where I was short even during a half of year I had no job..Got my college shit taken care of, housing taken care of, a 14000 tahoe won't be a problem provided I don't turn into a manically depressed alcoholic and quit school and my job...

 

[stevek]

$.02

If you have to ask if you can afford it on payments that are less than I spend on gas in a month, you might be out of your league.

1. From my understanding I should, get my dad or mom (both have perfect credit) to cosign and then I should get an auto loan?

2. I can only afford about 250 dollars a month MAX so my max loan would be about 15,000 dollars with a good apr..Most 07+ tahoes I see that are 15 or 14 have at least 70k miles..Considering that I would have to do a 72 month loan would it be dumb to get one with that high of miles?

3. The prices I see that are the best are on police tahoes for example from this dealer is there anything wrong with getting a police vehicle? I've heard people say they're poorly taken care of and some people say thats a myth and that they're very well taken care of.

Any advice you guys have is GREATLY appreciated! I'm kinda new to all the details of buying a car obviously so any little tips hints stuff like that, that can help get me one for cheaper helps!

1) No.
2) If you can only afford $250/mo in payments, you'll have a hell of a time paying $200+/mo in gas.
3) Police tahoes usually are bare-bones which is why they're cheap, but they can be beat up visually and mechanically are in great shape.

72 months on anything but brand new is a bad idea. A really bad one.

Have you considered saving? Maybe getting a job or two, saving up, selling your existing car and using that?

Amen

Save your money and buy one when you can easily afford it. I'm huge on having no payments. I'd rather drive and older truck then have a payment. Have you thought about what you are gonna do when you have to move out?

Yessir. Trust me, you don't want to have to bring chicks back to your parents house... find a roommate and move out instead of getting a second car.

I know it's nice to have nice things but do you really need two vehicles at your age? Not just paying for them, but insurance, maintenance, etc.

I know you have some attachment to the Charger, but I wouldn't start an attachment to another car.

Not to mention oil changes, new tires, unexplained electrical issues resulting in weeks in the shop, GAS, etc.

Amen^

Gas and insurance will be two additional car payment amounts on these lovely trucks, esp with insurance costs as a young man driving a 4x4.

I couldn't fathom having two cars at 17. I was lucky to barely afford one. So I'd say that just being in a position to contemplate this decision at your age is pretty cool.

Insurance will be a blast. He can't afford both responsibly.

p.s. as far as me even thinking about getting two cars at this age...It's not that I'm overly wealthy (I'm deff not), The majority of my college is paid for, and the only other thing I pay for monthly is my phone...Just when I wan't something really bad, I tend to work really hard until I can get it lol so it may be next march or maybe two years but I'm getting a hoe!

As an example, just because I make $1000 a month doesn't mean I have to spend it all. Put the $250/mo in savings, put down $3k at the end of the year for a downpayment.

 

[BEEMDUB]

$.02

If you have to ask if you can afford it on payments that are less than I spend on gas in a month, you might be out of your league.



1) No.
2) If you can only afford $250/mo in payments, you'll have a hell of a time paying $200+/mo in gas.
3) Police tahoes usually are bare-bones which is why they're cheap, but they can be beat up visually and mechanically are in great shape.



Amen



Yessir. Trust me, you don't want to have to bring chicks back to your parents house... find a roommate and move out instead of getting a second car.



I know you have some attachment to the Charger, but I wouldn't start an attachment to another car.



Amen^



Insurance will be a blast. He can't afford both responsibly.



As an example, just because I make $1000 a month doesn't mean I have to spend it all. Put the $250/mo in savings, put down $3k at the end of the year for a downpayment.

Well.......way to be a hater lol

 

[jcrack_corn]

.Believe it or not I'm not a total idiot like most 18 year olds

well sure you are. dont buy another car. buy an appreciating asset.

 

[stevek]

Well.......way to be a hater lol

I'm not a hater... I'm just a finance major. Do you understand the housing collapse in 2008 and what a subprime mortgage is?

You can't afford it with your current income amount. If you're lucky one of your parents with near perfect credit will co-sign. They'd never want to put their credit in harm's way so when you can't afford the payments, they'd pay.

 

[BEEMDUB]

well sure you are. dont buy another car. buy an appreciating asset.

shhhhhhhhhhh

I'm not a hater... I'm just a finance major. Do you understand the housing collapse in 2008 and what a subprime mortgage is?

You can't afford it with your current income amount. If you're lucky one of your parents with near perfect credit will co-sign. They'd never want to put their credit in harm's way so when you can't afford the payments, they'd pay.

Ok I don't really care about housing man....My Uncle owns duplex's and apartments all around the city he is GIVING me and my friend a condo in two years just for working for him during the summer...housing is not a problem we will be there free, with cable, air, heat all that shit..I make 1700 a month right now and will have 1600 to pay back for college after its all said in done which I'm already at in a separate savings account...What part am I missing.

 

[stevek]

Ok I don't really care about housing man....My Uncle owns duplex's and apartments all around the city he is GIVING me and my friend a condo in two years just for working for him during the summer...housing is not a problem we will be there free, with cable, air, heat all that shit..I make 1700 a month right now and will have 1600 to pay back for college after its all said in done which I'm already at in a separate savings account...What part am I missing.

Who gives a shit about housing. It was about banks giving loans to under-qualified borrowers.

You're making $17k a year after taxes (assuming no state income tax) and you want to spend $15k on a car. What part am I missing?

 

[RollTide2]

Where do you work

 

[Regency]

Have you considered waiting a until summer 2014 thats when the new ones are coming out on a official article I just read and this body style would be even cheaper just a thought

 

[07Burb]

It's been my observation over the years that a new body style coming out plays almost no role in prices of previous body styles. I'd just recommend not getting it unless you can afford it.

 

[Regency]

Oh my bad sorry about that then