Buying a former fleet vehicle, too risky?
#1
Instructor
Thread Starter
Buying a former fleet vehicle, too risky?
Hello,
I am in the market for a pre-owned GS, off late i have been coming across some reasonably priced GS M7 2019, usually with about 2-5k miles. The catch is, carfax shows that the vehicle was previously owned by GM/purchased by the dealer directly at an auction. So technically i guess the dealer becomes the first owner at whatever miles GM auctions the car.
My question is, is this worth it? There are two ways of looking at this.
Not worth: GM engineers probably beat the **** out of the car, maybe some interns learnt to drive a stick shift, maybe the executive did not even bother breaking in the car and straight up did donuts after delivery, GM tech forgot to do an oil change as mentioned in the owners manual. Some nice detailing and waxing could cover a lot of gremlins under the hood.
Yeah worth it: Its probably a marketing car/show car, probably driven by an executive who drives high performance cars on a regular basis so doesnt really beat it up like the average Joe, GM follows a stringent fleet management and does oil changes etc on time, its covered by bumper to bumper and PT warranty anyway.
What do you guys think? Take the leap of faith?
Note: the cars i found are priced about 25-30% off sticker.
Also, it will be great to hear from someone who has purchased a fleet vehicle before.
I am in the market for a pre-owned GS, off late i have been coming across some reasonably priced GS M7 2019, usually with about 2-5k miles. The catch is, carfax shows that the vehicle was previously owned by GM/purchased by the dealer directly at an auction. So technically i guess the dealer becomes the first owner at whatever miles GM auctions the car.
My question is, is this worth it? There are two ways of looking at this.
Not worth: GM engineers probably beat the **** out of the car, maybe some interns learnt to drive a stick shift, maybe the executive did not even bother breaking in the car and straight up did donuts after delivery, GM tech forgot to do an oil change as mentioned in the owners manual. Some nice detailing and waxing could cover a lot of gremlins under the hood.
Yeah worth it: Its probably a marketing car/show car, probably driven by an executive who drives high performance cars on a regular basis so doesnt really beat it up like the average Joe, GM follows a stringent fleet management and does oil changes etc on time, its covered by bumper to bumper and PT warranty anyway.
What do you guys think? Take the leap of faith?
Note: the cars i found are priced about 25-30% off sticker.
Also, it will be great to hear from someone who has purchased a fleet vehicle before.
#3
Le Mans Master
Member Since: Jan 2006
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It's a straight up crap shoot on which one of your descriptions you get. Myself I would be leery, but might consider one if it was a certified pre-owned, might......Good luck on your decision.
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dvilin (01-26-2019)
#4
Melting Slicks
I personally would not hesitate to buy it as long as the warranty could be verified that it was intact.
That said I don't know why you just wouldn't buy a new one since the deals are out there to be had and the prices for new ones are hardly much more then the used ones I see?
That said I don't know why you just wouldn't buy a new one since the deals are out there to be had and the prices for new ones are hardly much more then the used ones I see?
#5
Drifting
I had good luck with a rental I bought a 2008 Corvette ZHZ. it was a hertz rental ran great was in great condition and traded it for my 15. It had 133k miles on it. I traded mostly because all 4 of the magnetic shocks froze on it and they were around $3600 to replace. Just check it careful for any damage
#6
Melting Slicks
If the car was at auction, there are more downside possibilities of the history than benign... add that GM was the owner? That could be a lemon buyback. If it comes with a better warranty than a normal used car would come with (the kind that lemon buybacks get from the manufacturer) then run Forest, run!
#7
Moderator
So many cream puffs out there, no reason to buy one from them. Who knows what kind of hell its been through.
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dvilin (01-26-2019)
#8
Instructor
Thread Starter
I agree with a lot of good points here. I decided not to pursue the fleet vehicle. When it comes to cars, what you don't know sometimes ends up hurting you the most.
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Rebel Yell (01-26-2019)
#9
Drifting
I purchased a 2015 2SS RS A8 Camaro Convertible 2 years ago. It was a former Hertz Rental car. When I bought it from a Chevy dealer (They purchased at auction) there was 22,000 miles on the odometer and it still had 15 months of the basic warranty left. The car was flawless. My wife drove it another 12,000 miles before we traded it and my 13 GS for the 19 GS.
#10
E-Ray, 3LZ, ZER, LIFT
Member Since: Sep 2007
Location: NE South Carolina
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Hello,
I am in the market for a pre-owned GS, off late i have been coming across some reasonably priced GS M7 2019, usually with about 2-5k miles. The catch is, carfax shows that the vehicle was previously owned by GM/purchased by the dealer directly at an auction. So technically i guess the dealer becomes the first owner at whatever miles GM auctions the car.
My question is, is this worth it?
Note: the cars i found are priced about 25-30% off sticker.
I am in the market for a pre-owned GS, off late i have been coming across some reasonably priced GS M7 2019, usually with about 2-5k miles. The catch is, carfax shows that the vehicle was previously owned by GM/purchased by the dealer directly at an auction. So technically i guess the dealer becomes the first owner at whatever miles GM auctions the car.
My question is, is this worth it?
Note: the cars i found are priced about 25-30% off sticker.
One other consideration. Kerbeck has several NEW M7 Grand Sports for ~$58,000 a ~14% discount!
#11
Le Mans Master
Most are company executives cars you have to be at a certain pay grade to drive some treat them like ****. I had one that they stood on door jam and scratched clear coat and front end had been shoved in focus brake duct lose and some misaligned parts, my second one had scratches on console and interior door pulls arm rest from jewelry and of course paint scratches.
z51vett
Doug
z51vett
Doug
#12
Moderator
" Must finance a minimum of $25,000 through GM Financial. Administrative fees included in sale price."
#13
Team Owner
I would pass too many unknowns why take a gamble when there are so many other certified choices out there.
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Rebel Yell (01-26-2019)
#14
Moderator
#15
All of thee issues/concerns exist when you purchase any used vehicle. Some new owners carefully follow the manual. Others believe break the car in aggressively. You can get a sense of how the vehicle may have been treated by speaking with the first owner, but this is no guarantee; many sellers will tel you what you want to hear.
One of the motorcycle magazines recently broke in two bikes, one gently, one with WOT high RPM after engine warmup. Torn down the engines were essentially identical.
One of the motorcycle magazines recently broke in two bikes, one gently, one with WOT high RPM after engine warmup. Torn down the engines were essentially identical.
#16
Safety Car
Member Since: Jan 2006
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First of all, if is a lemon law it has to be disclosed. This is how GM disposes of their current model year corporate cars. They sell them at auction to Chevy dealers only. No particular issues, just do your normal due diligence. That said, they are often discounted from the actual sale price by a variety of methods.
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fsvoboda (01-26-2019)
#17
E-Ray, 3LZ, ZER, LIFT
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Location: NE South Carolina
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SIDE BAR:
Manufacturers make money on financing. Have a friend who was President of TransSouth some years ago; they were owned by Ford. It you didn't qualify for Ford Financing the salesman sent you to them who charge more and they still get a "financing commission" but from TransSouth.
When TransSouth sponsored the Darlington NASCAR Race, we watched the race from the Sponsor’s Chalet as did some Ford execs. We were invited to dinner that night. At dinner the manager from Kentucky Finance was there. I asked my friend why he invited a competitor? He laughed and said they were owned by Ford as well! If you go in town and don't even qualify for TransSouth you can go across the street and may qualify for Kentucky Finance! They have less strict loan acceptance standards and CHARGE MORE! My friend did so well because his repossession costs were as low as Ford Finance, even though they had higher risk customers. They were very good at repossession!
Last edited by JerryU; 01-26-2019 at 11:12 PM.
#18
As long as the price is right, go for it. Check the car's Carfax and GMVIS, before buying.
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#19
Instructor
Thread Starter
I see a lot of people commenting that there are so many dealers our there with good discounts, and so many other pre-owned cars our there priced right.
I just wanna say, this is not the case if you are looking at something specific with certain options. Like in my case i am specifically looking for atleast a 2LT GS M7 with Competition seats. Honestly there are not many. And even the best dealers offer about 15% discount(from MSRP), thats still pricier than the pre-owned cars at the dealership which are at about 25-30% off MSRP.
As an example the car i can custom build is about 76k, with a 15% discount it comes down to like 65k. The same vehicle is about 55k pre-owned, so you save about 10K buying pre-owned compared to new. Just saying.
I just wanna say, this is not the case if you are looking at something specific with certain options. Like in my case i am specifically looking for atleast a 2LT GS M7 with Competition seats. Honestly there are not many. And even the best dealers offer about 15% discount(from MSRP), thats still pricier than the pre-owned cars at the dealership which are at about 25-30% off MSRP.
As an example the car i can custom build is about 76k, with a 15% discount it comes down to like 65k. The same vehicle is about 55k pre-owned, so you save about 10K buying pre-owned compared to new. Just saying.
#20
There are truly some misinformed comments in this thread. Over several decades I have purchased thousands of factory owned vehicles including a very large number from GM. By far, there have been fewer problems with this classification than any other classification of used cars I have handled.
While there are several ways these vehicles wind up at GM sponsored auctions, most of them were assigned to high end GM salary employees. These folks are governed by a code of usage far more stringent than the average owner. They are not giving the car to the kids for Prom, some random intern to learn on, or taking them to the Friday Night Drags...not if they value their high end job!
In addition, these drivers are generally arriving at service facilities daily. Whether they are calling on dealers or working in home office, these cars are meticulously maintained with all scheduled service and kept spotless while in service. I serviced and detailed thousands of them for manufacturer employees every time they hit the door.
There are a myriad of ways cars become used cars. I have bought and sold tens of thousands of them coming from all of these originations. If it is my money buying a used vehicle, unless I personally knew the previous owner, my choice for peace of mind on a used car would be a factory owned one. I can't speak to the savings of factory owned versus new but if I could save a substantial amount on the 2500 mile one, it would be a no-brainer!
While there are several ways these vehicles wind up at GM sponsored auctions, most of them were assigned to high end GM salary employees. These folks are governed by a code of usage far more stringent than the average owner. They are not giving the car to the kids for Prom, some random intern to learn on, or taking them to the Friday Night Drags...not if they value their high end job!
In addition, these drivers are generally arriving at service facilities daily. Whether they are calling on dealers or working in home office, these cars are meticulously maintained with all scheduled service and kept spotless while in service. I serviced and detailed thousands of them for manufacturer employees every time they hit the door.
There are a myriad of ways cars become used cars. I have bought and sold tens of thousands of them coming from all of these originations. If it is my money buying a used vehicle, unless I personally knew the previous owner, my choice for peace of mind on a used car would be a factory owned one. I can't speak to the savings of factory owned versus new but if I could save a substantial amount on the 2500 mile one, it would be a no-brainer!
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Koufax (01-27-2019)