swfla

iTrader: (1)

Lexus sells you a CPO ES 350 that has: multiple owners, previous paint and accident on Carfax/Autocheck. I went to another dealer and Carmax over the weekend to get trade in value on my car. I was puzzled to get such a low offer but the above conditions were touted as part of the reason why. I had no idea or reason to think this possibility existed. Needless to say, I'm not getting a new car for a while as this one is still reliable and a nice car to boot.
My point is that even with CPO, do your research including having it checked out by an independent mechanic before signing on the dotted line.

PhilipMSPT

iTrader: (5)

When you buy a car that CPO, that means that, even with multilple owners or accidents (I can't assume if it's a simple bump on the bumper versus catastropic accident), when sold as a CPO, it is mechanically sound and under Lexus warranty.

Now, that CPO car may have noted the multiple owners and accident on CarFax, but it is still CPO.

Resale is a whole different issue. The sale of a CPO car (and it's value, which you agreed to purchase at the time) is far dirfferent than the future sale of a used non-CPO car with the noted demerits.

Still, most would prefer to buy a CPO Lexus than a non-CPO one.



Best to enjoy the car as is, as its value to you is much more than what any second party will pay for.

swfla

iTrader: (1)

Very good points. It's got the warranty and I'm comfortable with the dependability as well. But my intent is to make others aware that CPOs can have a down side. Maybe I'm the only one who assumed that only shining jewels are chosen to be CPO, mostly because of Lexus marketing, but I doubt it. The original post was meant to enlighten others and not meant to be a complaint.

tex2670

CPO isn't a guarantee on the resale price. Like PhilipMST said, you get a factory warranty, and there's value to that. You could go to CarMax and buy the exact same car, with the exact same CarFax issues, but without any backing of the CPO warranty.

doge

One of the worlds best kept secrets is carmax warranty. There warranty covers everything, and in the event something goes wrong it gets serviced by an authorized dealership not some hack. If I were to buy a used car it would be from carmax, if the car is available through car max.

tex2670

Something has to go wrong pretty soon, though. It's either 30, 60 or 90 days, depending on your state:

http://www.carmax.com/enus/faq/warranties.html

mmarshall

Here is the official Lexus checklist that dealerships are supposed to be using to verify a CPO. It has 161 specific points of inspection or action-items. CPO checklists from other manufacturers are pretty much the same as the Lexus one. That is why CPOs usually have better warranties (and cost more) than non-CPO's.

My experience, looking at CPO's and test-driving some (though I haven't yet owned one), is that most of the items mentioned on this list are usually looked at and addressed, but that some problems do get missed...particularly with trim, paint, and scratches. So, if you are interested in a CPO, look over and test-drive it as thoroughly as you would any other used vehicle.

http://www.lexus.com/documents/broch...t-brochure.pdf

cmcates

I am on my 2nd Lexus (currently 2008 IS350 - loaded) and both have been under CPO warranty. First Lexus had a few issues that needed to be addressed by CPO warranty, and it was a life-saver. Quick, efficient, and done right - and with a Lexus loaner to boot. Thankfully, no issues whatsoever with my current IS350. I've had previous vehicles that I bought from CarMax (Audi and GMC) and their warranty was also good - but nothing beats a Lexus factory warranty and service, IMO.

NickTee

He's talking about the extended warranty they offer, Maxcare.
http://www.carmax.com/enus/maxcare/default.html

bagwell

In my experiences, Carmax asking prices have been horrible and they've never been even close to being in the ballpark when I've been looking for a car.

bitkahuna

iTrader: (20)

There's a reason the used car business is WAY more profitable for the dealer than new cars.

mmarshall

.......By charging CPO prices for vehicles that are not CPOs, or that have not been properly inspected/repaired/serviced as CPO's? I'd like to say that that doesn't happen (and, nowadays, probably most of the time, it doesn't)...but I've seen some "CPOs" over the years that did look (or even drive) questionably.

chikoo

Did I ever tell you the story of my CPO RX300?

Lexus called it "As good as new". I was impressed. Got it from Sewell.
Next month the belts starts squeaking. Take it to Sewell and they want to charge me to replace the belts. Why? One might ask when the vehicle is as good as new? Their response was belts are not covered under CPO warranty
It was a big fight with Sewell and Lexus corporate but finally they gave in. Never got a CPO after that.

Lil4X

A lot of the extra cost in a CPO car is in the "extended warranty", and often it''s well worth it when buying a used car you intend to keep for a while. But you need to shop around for these warranties, some are FAR better than others.

When the warranty was running out on my RX, the service adviser that had taken care of me and my cars for years suggested an extension to my warranty (I'm sure that's SOP for dealer shops). Then he took me into his office and told me to shop around - there were better deals than those offered by Lexus. He explained that these were essentially insurance policies and like any insurance, some companies are better to deal with than others. For their shop, he could recommend two or three that were easy to work with and they'd had good experience with . . . while telling me a few to stay away from. Several of these warranty companies have to be wrestled to the mat every time there is a claim. Often (since these are just insurance companies) they don't have anyone on staff with any particular automotive knowledge, making it necessary to educate the claims writer every time he comes out. Sometimes it works out, sometimes it doesn't.

For that reason, some companies, in addition to being difficult for the shop to work with, occasionally refuse to pay for "warranty" work, although it is explicitly covered in the policy. These can get to be such a headache for repair shops to deal with, some have quit accepting some company policies. After all, your shop is in the business of repairing cars, not battling insurance companies. Either you or the company pays for the work, it doesn't matter too much to them where they get the money from. There isn't really much incentive for a repair shop to go chasing your money for you.

Get your dealer or shop to recommend a couple of companies they have experience and are comfortable working with, then shop for prices and coverage. Lexus generally offers a good policy - but depending on your local dealer, there may be better ones only a block or two down the street. If you're willing to shop a little you may be able to cobble up your own "CPO" coverage, including a full list of inspections, for considerably less than the standard CPO offered by the dealership.

swfla

iTrader: (1)

Your experience is what I'm talking about. I would've assumed that this kind of stuff wouldn't be a concern for many miles. I would still consider a CPO but would get an independent mechanic to go over the car before purchasing in the future.