I spent a little time with Dave Alexander at Continental AutoSports in Hinsdale, and I asked him why some guys always seem to make money when they sell their cars.
“When you are getting ready to buy a car you are, in some sense, also getting ready to sell it, and you need to start thinking about your exit strategy.”
So here is few of Dave’s tips for making money:
First, a lot of people don’t understand the importance of having a good relationship with their dealer. The folks that do get the new cars, the Italias, Aventadors, 911s, the cars everyone wants, are first being sold to the clients that are well known at the dealer.
And this is an important 1st step. As you buy the newest machine now, you open yourself up to selling or trading that car easily when the next model comes along, usually at a rather limited cost. This makes you money.
This makes it a great deal less expensive than buying it, and holding it until the number of vehicles has caught up with demand. Selling it then costs you money.
Second, you can make serious money by being the contrarian buyer/seller. Are you disciplined enough to sell your convertible in the spring? Can you buy a convertible in the fall knowing you’ll have to store it for 3 or 4 months? You will make money if you are steeled enough to do this.
Dealers do it. So do savy people like you.
Third, Alexander says that visual options have the most long term value so here’s the basics;
- 70% of Ferraris are red with tan or black interior.
- 70% of Lamborghinis are, green, yellow, black or orange.
- 70% of Porsches are silver, dark blue or black.
You can now match ANY color ( Out of Range Paint Color – $8,712). Just don’t expect to recoup that cost when you sell.
On Ferraris, SF shields, painted calipers, Daytona seats, preferably power, are all highly desirable , so spending $5-7,000 on these options makes good financial sense.
Thanks to Dave Alexander. Reach him at Continental AutoSports at 630-655-3535 with more questions.
When I continued my research on line, I also found:
Ferrari, Lamborghini and Porsche have figured out how highly profitable options can be and often there isn’t room on the window sticker to list all of them. Doesn’t make them bad people. On the contrary, they are in business to make money and in a way so are you, or at least to mitigate your costs.
As an example, on a new Ferrari California, a tiny portion of possible options includes:
- Luggage Compartment Carpets in Alcantara – $2,046
- Carbon Finish in Upper Area of Car – $5,666
- Carbon Fiber Rear Plate Panel – $1,889
- Rear Parking Camera – $3,463
- Center of Door Panel in Diamond Style Pattern – $1,889
Buying a serious sports car is always an emotional experience, but it’s also a serious financial commitment. Do it right in the beginning and you will stack the deck in YOUR favor when you sell or trade it in.
See you on down the road,