Carmax prices

[pandus13]

Originally Posted by BMWTurboDzl
Originally Posted by clarkflower
I was looking at Carmax online and could not believe how high their prices were.

And for what? I car faxed some and saw 2 and 3 accidents with paint work. (I did not see salvage)

Many of the cars I saw that go through our auction (the biggest) for 3-4-5 thousand are on Carmax for 9 thousand.

We have a local guy with a big lot who carries only cars that have never had paint work and he only marks up 1500.

Who goes there? Why go?


One word: Warranty


I sold my 10 years old car to them. A '08 Yaris sedan with 64kmiles in good shape, original owner.
It was better than craigslist tire kickers, and any dealer estimate in the area.
Yes, I know they put her on their lot for probably double, but still, it made sense to me.

Also, people go there for the non-hassle factor. Marketing+publicity works.

The local guy I assume, goes mostly by word of mouth.

 

[Imp4]

Originally Posted by clarkflower
I don't mind paying full retail but if I do I expect to get top quality, not a car with 3 prior accidents. And I should not have to find out by doing my own car fax.

The whole intent of Carfax is so that you can find this sort of information on your own. That is the Carfax business model.

If you don't like Carmax's disclosure or lack thereof, then walk.
Easy peasy.

 

[jeepman3071]

Originally Posted by rooflessVW
CarMax sells overpriced junk and their business model caters to the timid and/or apathetic.


This.

I went to our local carmax last year and test drove two cars before I decided to leave. One had a check engine light on, the other had REALLY bad alignment. Both were overpriced.

 

[exranger06]

When I bought my truck 12 years ago (at a "normal" used car dealer), I brought a Carmax ad for a comparable truck with me. The Carmax truck was actually a really good price, and they would've shipped it for an additional $200 or so (it was at a Carmax about 500 miles away). I used the ad as a negotiating tool and basically said if he wouldn't Carmax's price, I would buy this other truck from Carmax. He thought I was bluffing and said, "That truck is in Maryland, you're not gonna travel all the way down there to buy that truck." Then I pointed to the part where I could have it shipped for an extra $200, and it would still be cheaper than his price. He relented after that and gave me the price I wanted.

I'm shopping for a minivan right now though and the Carmax prices are way too high. I can buy the same van at a regular dealer, pay their full asking price with no negotiating at all, and I'd still pay about $3k less than Carmax.

 

[Silver]

One shouldn't insinuate "No Haggle Pricing" as some sort of advantage. If they called it "F*ck You Pricing" would it carry the same insinuation?

 

[69GTX]

I went to CarMax once....back in 2009. Looking to buy a car. But what I saw in their inventory was totally non-competitive. Have never gone back.

I was looking for a full sized Lincoln or Caddy V8, 5-8 yrs old at under $10K. Preference was to low mileage. So 20K-80K miles.

CarMax had a quite a few cars in this price range, all with 75K-130K miles....none lower. They all looked beat. One of them was even over $10,000. None were under $7500.

I ended up buying a 7 yr old 2002 Lincoln Continental with 22,000 miles from a small used car lot about 25 miles from CarMax......$9,000. They had nothing even remotely close even branching out to other makes like full size Buick, Olds, Fords, Mercurys. That Lincoln worked out well for me.

And if you need a car now, you can still visit small dealers or even private parties. There's always a good deal out there "that day" if you look hard enough. And you can have it purchased and registered within 48 hrs....even from a private party.

 

[Wolf359]

Originally Posted by SatinSilver
The nice thing about a CarMax warranty is that it's their own warranty through them and NOT some third party company that might go under. Many times they can fix the car at the dealership or if it's something really technical on a high end car they will send it out to the dealer to get fixed. The warranty can get rolled into the financing. Their financing is also done in house as well.

As far as selling your car to them, they are competitive if they are going to keep the car and sell it on one of their lots. But if it's something they will auction off because of age or miles then you will get the trade-in value minus about $500. My friend was offered $9500 for a loaded mint condition V6 Accord. She and her husband negotiated that up to $12k. It was then posted online for $18,900. Which someone probably paid.


The people who buy Mercedes AMG's like their warranty. Plenty of stories on how the Carmax warranty paid out thousands and even tens of thousand when the engine went. The MB warranties are usually limited to a max of 7 years, but I think you can buy a used car from Carmax and get up to a 5 year warranty.

 

[Imp4]

Originally Posted by Silver
One shouldn't insinuate "No Haggle Pricing" as some sort of advantage. If they called it "F*ck You Pricing" would it carry the same insinuation?

Good point but the situation depends on both parties.
Many members on this board are motivated to haggle and strike a tough bargain and only complete a purchase with the knowledge that they struck a great deal. Good for them!!!

I can tell you that my 74 year old mother does not fall into that group.
She doesn't want stress in her life and, frankly, at her age she gets to do things exactly the way she wants with no regrets.

I offered to assist with her car purchase a few years ago and she would have none of it.
She went to CarMax, found a vehicle she liked and probably paid a little more than the rock bottom price on the open market.

She also walked away happy.
A zero stress purchase, knowledge she could change her mind in short order, a non-slimy salesman.
Grandma for the win!!!

The takeaway here is that for many consumers the car buying process is about a lot more than just price.

Those that can't comprehend this notion will continue to ask questions around how CarMax can be so successful. Meanwhile, they will continue to sell piles of cars.

 

[Sayjac]

Quote
One shouldn't insinuate "No Haggle Pricing" as some sort of advantage. If they called it "F*ck You Pricing" would it carry the same insinuation?

I'm going to take a wild guess and say uhhhh, no. As the CarMax sales model hasn't changed, I'm going to say whatever the name, apparently some find it an attractive option.

 

[clarkflower]

As long as people know that the car they buy may have been in a few accidents and that buying at car max does not exclude that I'm happy.
At our auction we have guys who write up any paint work.
The guy I spoke of uses a paint meter and said nobody will ever buy a car on my lot that has been painted.

 

[blupupher]

Carmax = convenience.

Some don't want to haggle, don't want to mess with it.
You can go in, (usually) get a reasonable price offer for your vehicle (a price that is not dependent on if you buy a vehicle from them), buy a vehicle for a known price with a warranty and test drive period and be done in a few hours.
You pay for that convenience.
No idea on the particular vehicle that you saw with accident and repair, but doesn't Carmax give you access to that info?

My brother uses Carmax to testdrive vehicles to see if he likes a model, then buys from other used lots.
When I was looking recently, Carmax was always higher that others, but a few were close, but I also knew there was no negotiation with Carmax, so I did not even bother.

 

[HangFire]

That paint meter is cool.

I would buy a repainted vehicle, if all the other aspects were a good deal. Heck all of my current vehicles have repaint.

Carmax does not sell (knowingly, anyway) salvage or flood writeoff vehicles.

My experience with Carmax is limited. I've shopped them, prices were kind of high, and they would not hold a car for us with (or without) deposit. In the end we found a vehicle we liked more elsewhere.

My take on it, Carmax is for people who want the high end dealer experience (financing, warranty, selection) when buying used cars.

 

[JTK]

I've seen several mentions of Carmax's warranty, yet best I can tell, that's an additional cost with their optional "Maxcare extended service plans". I'm assuming it's your typical $2500-3000 option.

Their 7 day return policy is nothing special. I've got a huge dealer chain in my area that will do that and gives you 30 days to put you into a vehicle of the same value if you're not happy.

 

[zzyzzx]

Originally Posted by clarkflower
We have a local guy with a big lot who carries only cars that have never had paint work and he only marks up 1500.


It might be helpful to someone here if you named them.

 

[Imp4]

Originally Posted by clarkflower
As long as people know that the car they buy may have been in a few accidents and that buying at car max does not exclude that I'm happy.
I don't think 'only accident free cars for sale' was ever implied or explicitly stated at any time in any part of this thread.

Did I miss something?!?

 

[benjy]

being in a Jam + NEEDING a truck after a total on ice i bought from them + OVERPAID!! what i wanted was hard to find but they relocated one from another lots fairly close for no cost, but i do NOT recommend them!!

 

[clarkflower]

Originally Posted by Imp4
Originally Posted by clarkflower
As long as people know that the car they buy may have been in a few accidents and that buying at car max does not exclude that I'm happy.
I don't think 'only accident free cars for sale' was ever implied or explicitly stated at any time in any part of this thread.

Did I miss something?!?



Nice to hear from their attorney

Yes you missed that when you pay absolute top dollar some expect top quality. Not seeing a car that has been in 3 wrecks.

 

[Audios]

We had a customer with an 06 BMW X5 4.8is, paid a little more when he picked the car up 6 years ago, by my god did he make out on the warranty. Last time I called for a claim, they had paid over 14k in repairs, And as a shop owner dealing with these companies almost daily, they are the easiest by far, match all of your pricing, and just confirm the list is correct. They also dont substitue online or used parts pricing, which is nice.

 

[CKN]

Carmax is the number one seller of used cars in the country. They have a warranty (you pay extra) that is actually worth something. There is a great story over on a BMW board where the Carmax warranty paid for an engine replacement-at a BMW dealer because it's was beyond what they felt they could handle.

Similar threads like this pop up time to time here on BITOG. Guys who change their own oil and drive all over town to buy oil at .25 cents a quart don't like Carmax.

 

[clarkflower]

Originally Posted by CKN
Carmax is the number one seller of used cars in the country. They have a warranty (you pay extra) that is actually worth something. There is a great story over on a BMW board where the Carmax warranty paid for an engine replacement-at a BMW dealer because it's was beyond what they felt they could handle.

Similar threads like this pop up time to time here on BITOG. Guys who change their own oil and drive all over town to buy oil at .25 cents a quart don't like Carmax.



Interesting. I always note how low these cars go through.

2009 BMW 335 XI Carmax $13,999 Online now
At the auction $5,800


2008 328i Carmax 70,000 miles $11,988
At the auction $3,500 70,163 Grade good