CAREspecially this time of year, tax time, when people get large chunks of cash in the form of IRS tax refunds, we keep a lot of cars at our dealership that we would usually send to auction. My store does not deal with wholesalers. Our company won’t allow it.

When a car gets traded in, we have two choices:
1) send it to auction
2) have our service department work on it to recondition it after they do the required smog and safety inspection.

In a nutshell, this means we have to pay our own shop, the recoup the money we paid them when we sell the car to you. I have worked at stores that regularly send used cars out to other shops to recondition. These saves money as outside shops will bid on the work and give a big store like mine a real price break so we can still fix things on a car and be able to resell it at a profit which is the reason any business except the government is supposed to exist.

So on to budget autos…  

CAR2Are you a visual person?

Here is a video lesson I

Made for my You Tube:

What Exactly is a Budget Auto?”

So as we’ve learned in the video, a Budget Row Car probably has some things good and some things “bad”, but the car is too pretty to send to the auction.

“Bad” qualities of a Budget Auto

  • Very high miles
  • History of accidents
  • Very old model year
  • Mechanical or Cosmetic flaws we disclose

Good Qualities of a Budget Auto

  • One Owner
  • Complete Maintenance Records
  • Well maintained exterior/interior
  • Just runs great and our found nothing wrong

Of course there are more possibilities and some cars will have a combination of good and “bad” qualities. If you didn’t know this already: Every used car is different. They are as unique as the human(s) who drove them.

Here is a great Example of a Budget Row Car…

  • I took it in trade for a 2016 Subaru Forester.
  • This 2005 Honda CRV has a Car Fax Vehicle History
  • Report that is about 12 pages long. These people
  • Tried to give me a stack of maintenance records
  • As thick as the Los Angeles phone book.
  • Most customers think: “Wow, I could get this car
  • At a really low payment!” Right?   We’ll not exactly.

This car has yet to be evaluated by our service department. Nor has it had its smog and safety inspections as required by law. FYI we have in sales have to pay service about $400 for that, adding to our cost of the car. Just a guess, but if we can sell this car we will probably asked about $3,995. It is, by the way, a stick shift.

The only we can sell it is to a cash buyer. A bank would not finance this car. See another of my YouTube videos about financing cars on Budget Row here.