Not true. Rentals are sold just like any other USED vehicle,
at auctions or to individual wholesale or retail buyers. A
vehicle that has been licensed can not be called a 'demo' or
'factory owned' car, it's a used car. Many dealers like to muddy
the waters buy calling all the cars they buy from the manufacture
as 'program or 'company' vehicles, but only those that where
never sold and titled are really 'program or 'company' vehicles.
Leases for instance are sold to the credit branch of the
manufacture and when the lease is up they are used cars, period.
Ford for example owns Hertz but they sell the cars to Hertz and
Hertz sells them as they see fit. There was a time when they
held them only 6 months then sold them off their own lots but
complaints of franchise holder stopped that practice. To by
vehicles at a fleet discount they must be kept in service for one
year/12K or until the new model year intro date, WOF.
YOU DO NOT WANT TO BUY A DEMO CAR. Or a used rental for that matter. I am
the perfect reason why you dont buy one. When I rent a car I ABUSE ABUSE
ABUSE the hell out of it. Yes I know its immature but what the heck.
The local Ford(yeah I'd never buy one) dealer has a list in the
office of vehicles that are coming off of leases - so they go in
and browse the ones that are coming in.
They do twice the used business of any of the Ford dealers around
them because of this. They don't even bother to sell you used
vehicles, but refer to the "list" - because they found out that
everyone wanted a first owner lease vehicle instead of an ex-rental.
(at least at the dealership - their used lot a half mile down the road
is a typical pit) They charge a bit more than low blue book, but
that's fine considering you know the history of the vehicle.
Basically, they have new, 0-5 year old leases cycling in, and
their old cars lot - all 5+ years. Nothing on the main lot under
5 years old as the lease cars are snapped up sight-unseen months
ahead of time.
That dealer must be using a bank leasing company or leasing
his on vehicles. Ford Credit does not allow the selling dealer
to buy leases at termination. All Ford Credit leased vehicles
are taken back, reconditioned, and sold at Ford dealer regional
auctions, as off lease vehicles.
Joseph Oberlander wrote:
Hertz, and Enterprise have their own used rental dealers across the US.
Hertz pulls thier cars right around 24K miles, or two years old whichever
comes first (usually the 24K) There are advandages and disadvantages to
buying a rental.
Disadvantage: It is a used car. It has been beat to hell by people who
don't give a crap because it is not thiers (note...same reason I would not
want ot buy a reposessed car...the owner didn't care) Higher mileage for
the age of the car.
Advantages: Much cheaper than blue book. (Most I have seen beat a dealers
used inventory by thousands.) They keep maintenance records. Some have
factory warranty left on them.
I have a friend whou bought a used 2000 Pontiac Grand Am V-6 75K miles that
was a rental and has had ZERO problems with it. Another friend bought a
1999 Olds Cutlass V-6 36K (NOT a rental) a few months later had a water
pump and an intake manifold replaced. Pontiac owner paid $10K, Olds owner
paid $12K. Since the V6 motor is renowned for the intake going at about 40K
miles, we figure the Pontiac one was already replaced.
Used cars are a crapshoot no matter what.
just my two pennies
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