joejenie

That's the deal I have with my dealer. I give him first right of refusal to buy it for MSRP or lower depending on market. I also run all my other cars by them if I'm selling them to see if they want to buy them for inventory. Have sold them a bunch of stuff from a Ford Raptor to a BMW M2.

poofyo101

You are right
My apologies.

maroli

The two year - the subject of the article you posted originally - did not rally quite like the 10-year did. If the view is that yields are collapsing (you reference the 10-year above) then no reason to not have duration especially with the 2s10s still inverted. Druckenmiller who is long 2-year has some specific views about fiscal debt keeping yield at the long end elevated but those are contrarian so it's kind of a unique trade and most people are playing the longer end of the curve with their views.

av12345

I find it almost impossible to believe if PNH is letting you buy cars at MSRP they then turn around and buy it back a little higher than MSRP - why would they let you arb them like that? That’s just stupid business IMO unless you take a beating on your non GT cars? So either this isn’t exactly true or PNH should update their business practice because I’m sure they can easily get a better relationship than that where they don’t share the profit as much.

993TurboS

I wonder if any users here have kept a precise history of all of their dealings with a dealer. On any one transaction, or even a small set, I can see a dealer making an unlucky deal that looks bad in retrospect. But over the years and many transactions, my guess is that anyone who does a lot of business with a dealer pays them a ton, whether through service, add-ons, trade-ins, ADMs, etc.

I even have caught myself with selective memory on my cars, until I started tracking everything in Quicken. For me, it is not that dealers have made a ton off me as much as I have generally underestimated my spending on tax, service, transport, insurance, storage, etc. That said, dealers deal with the intention to make money, so if you think you have made money off of them, you are either wrong, or might have been lucky in a small sample.

A separate factor is inflation, but you making money by owning cars when the market for used cars is rising is not you making money off of a dealer. I have 993 Turbo S that is worth 5x what I paid for it, but I wouldn't say that the dealer did me any favor by selling it to me for 80% off of today's price.

Manifold

Dealers buy and sell cars every day, and they do it to make money. We owners mainly buy cars for enjoyment, and hope to get good deals along the way as we occasionally buy and sell. So dealers have way more experience in buying and selling cars, and are more objective about the money aspect. The best we owners can expect in the long run is to drive cars we like and not overspend in terms of our net cost per mile driven (none of us actually measure that).

WenigerAberBeser

what USC describes isn’t uncommon. It’s similar to my dealer. Example:

I buy GT3 at MSRP. A year later, dealer calls and says, hey we have an RS at MSRP if you trade in your GT3 at MSRP (or even a little above).

Im happy because my GT3 didn’t lose any value, and I get an RS at MSRP. Dealer is happy because they can now sell my car for $50-70k over what they got it for while making a repeat customer happy.

Could dealer make a little more playing the ADM game, maybe, but most ADM buyers are one and done and usually not local so it’s more strategic to do what is described above.

ipse dixit

I believe usctrojanGTC leases several non-GT cars from PNH. Something along the lines of multiple Macans, if I recall correctly.

So the margins are there for PNH when they deal with a customer like usctrojanGT3, even if they offer him GT cars at MSRP.

Dealers always win. Always.

WenigerAberBeser

of course, the point is to minimize the costs incurred as a buyer

CornWood

This is so disgusting and enough to turn many off the brand.

Robb M.

I'm sorry but what about that is disgusting?

pitt911

what is disgusting about this approach
I have been on both sides
my dealer used to do similar thing with MSRP allocations for GT cars and I sell them back to then 6-12 months later for MSRP
worked well for both
unfortunately, now the dealer decided to change their approach , and decided on highest ADM they can get , so I am on the sidelines for now. I am willing to pay a small ADM on couple of cars , but not the crazy ADM that is happening on some models.
why ?
I think these cars are priced well by Porsche
For example a 992 3RS at 285k is well priced but reaching close to max
with 100 k ADM , meaning 385 k total , I don't think the car is worth it that much

Manifold

It’s capitalism at work.

usctrojanGT3

They paid over MSRP for my PTS 991.2 GT3 and they sold it for 10%+ more than what they paid for my car so how is it impossible to believe? They paid MSRP for my other GT cars and sold them for over 10% MSRP. Before COVID I was buying Macans and Cayennes from them below MSRP and yes when I traded them back in I would take losses as those cars were traded back in with 20k-35k miles as they were my real estate cars but I got to write off those losses against my business income so it wasn't a big deal for me plus I didn't have to deal with maintenance, replacing tires/brakes, and being out of warranty. Like I said, they've been providing me very fair trade in values for all my cars hence why I have a good relationship with them that benefits the both of us.

mass27

Perhaps the new 918 VIP program flushes out a lot of this with some quasi point system.