Vehicles with incredibly high Wholesale Prices

XDCX · 07-08-2013, 11:49 AM

Vehicles with incredibly high Wholesale Prices

One thing that's always intrigued me about the used car market is how certain vehicles develop such high demand that their wholesale values seem to defy logic when compared to competitive vehicles.

Maybe it's a national phenomenon but here in the Southwest I've noticed that Toyota Tacoma Pickups from the 1994-2004 generation draw a lot of action at the auctions and high bids as a result. Regardless of the mileage or condition the Toyota Tacomas routinely bring 50% to 100% more than a comparable used truck from Ford, Chevrolet, Dodge or even Nissan.

What vehicles in your market have incredibly high wholesale prices?

Does your sales desk ever pass on a deal because the customer wants too much for their trade or do they take the deal knowing that they'll be able to wholesale or retail the trade at a profit because the vehicle's so popular?

zep33 · 07-08-2013, 12:32 PM

SAABs. Even though they went out of business, they're still expensive and sought after.

79LilRedExpress · 07-08-2013, 01:32 PM

Jeep Wranglers.. esp the Unlimited models.

And some of the older model 2 doors, even with high miles.

Lakeshow · 07-08-2013, 01:37 PM

GM Heavy Duty pickups, 07 and newer bring a premium around here. I've stepped away from the bidding and watch them go for retail on real nice low mile units.

XDCX · 07-08-2013, 02:45 PM

Quote:

Originally Posted by 79LilRedExpress

Jeep Wranglers.. esp the Unlimited models.

And some of the older model 2 doors, even with high miles.

Wranglers are in high demand on the West Coast too.

The old XJ Cherokees are still in high demand too. A nice 2000 or 2001 XJ will almost always bring more money that a comparable Liberty that's several years newer.

Jeff Duvall · 07-08-2013, 05:37 PM

A 2000 or newer Dodge with 5.9 Cummins will bring rain in Georgia regardless of mileage.

mryan55 · 07-08-2013, 06:22 PM

Probably no surprise, but for it is anything of the TJ or JK variety, although things seem to be stabilizing a little bit now.

XDCX · 07-09-2013, 10:50 AM

Whenever I see vehicles with super strong wholesale prices I think back to the old Suburbans with the "Barn Doors."

Maybe it was just a California phenomenon but in the late 90s both the Chevrolet and GMC Surburban were hot vehicles as long as they had the "Barn Doors" for the rear opening.

I remember one GM dealer in my market was loaded with used Suburbans and for some reason the market went cold - almost overnight. It was like someone turned off the switch and all of a sudden the dealer was stuck with dozens of Suburbans that he owned for almost full retail. I'm guessing he took a $2,000 to $3,000 loss per vehicle to unload his Suburbans once the market cooled off.

I guess that's why I'm always a little leery about putting too much money into a used car just because the market demand is currently very strong.

mr4t60e · 07-09-2013, 05:07 PM

In my somewhat limited experience buying cars at the lower end of the market, any Honda or Toyota sedan brought stupid money- even with astoundingly high mileage. If i had to guess anything that was big with the BHPH buyers got bid up to stratospheric levels.

lsx only · 07-10-2013, 06:27 AM

05 up chevy or gmc crew cab Z71 also the 2500 hd crew cabs,any honda accord or tacoma.

XDCX · 07-15-2013, 07:47 AM

Quote:

Originally Posted by mr4t60e

If i had to guess anything that was big with the BHPH buyers got bid up to stratospheric levels.

I think that's still the case with cars at the lower end of the market.

I remember reading about a BHPH operation where the dealer spoke about the cars he likes to sell. The availability and cost of replacement parts played a large role in his decision to stock a vehicle and he indicated he used Car-Part.com to research engine and transmission replacement costs.

One vehicle that surprises me at the lower end of the market is the Dodge/Plymouth Neon. The second generation vehicles (2000-2005) seem to sell for more money at wholesale auctions than comparable vehicles with similar miles.

XDCX · 11-24-2013, 12:35 PM

Quote:

Originally Posted by XDCX

Wranglers are in high demand on the West Coast too.

The old XJ Cherokees are still in high demand too. A nice 2000 or 2001 XJ will almost always bring more money that a comparable Liberty that's several years newer.

I thought of this post when I was checking out some auction results on Proxibid.

Here's a 1999 Jeep Cherokee that sold for $4,800 plus a 13% Buyer's Premium - and it's just a stripped down 2WD XJ.

Granted, the XJ only has 54K miles and it's been owned by a fleet that has likely maintained the vehicle well but I still think $5,424 (price with Buyer's Fee) is an insane "auction price" for a 15 year old vehicle.

XDCX · 11-24-2013, 01:02 PM

Here's another XJ that sold at auction this weekend:

It's a different Auction Company that's holding their auction in a different state but the sales results are similar. In this instance someone was willing to pay $3,250 (plus a 2% Buyer's Fee) for a XJ with almost 200,000 miles.

If your dealership was taking this XJ in on trade, what ACV would you assign the vehicle? KBB shows a range of $1,200 - $2,000.

XDCX · 02-22-2016, 09:59 AM

Quote:

Originally Posted by XDCX

I thought of this post when I was checking out some auction results on Proxibid.

Here's a 1999 Jeep Cherokee that sold for $4,800 plus a 13% Buyer's Premium - and it's just a stripped down 2WD XJ.

Granted, the XJ only has 54K miles and it's been owned by a fleet that has likely maintained the vehicle well but I still think $5,424 (price with Buyer's Fee) is an insane "auction price" for a 15 year old vehicle.

I thought of this thread again when I noticed that a 2000 Jeep Cherokee XJ sold for $6,000 plus fees at a Proxibid auction. The fees were 17% so that means the total sale price for a 16 year old XJ was over $7,000.

Clearly there's still a market for old XJs...

Here's the link to the auction results - click here

mryan55 · 02-22-2016, 07:12 PM

Those figures seem pretty crazy for an XJ. I must say they look in pretty good shape and given the location of the cars they likely haven't seen too much harsh weather.

About ten years ago I had a close friend who felt a lifted XJ that was probably 10 years old and purchased for $10,000 was a good 'investment.' At the end of the day I think she sold it and broke even around the 2008-2009 economic difficulties. Had I only had a crystal ball back then I imagine it would probably be worth some figure approaching that today if the mileage stayed under 100,000.

Of course, at that time I was more worried about who might turn up at the dealership ready to trade in their Aspen, Durango, or Commander and how we would have to break the bad news.

07-08-2013, 11:49 AM	#1
XDCX Administrator Join Date: Nov 2007 Posts: 14,869	Vehicles with incredibly high Wholesale Prices *Vehicles with incredibly high Wholesale Prices* One thing that's always intrigued me about the used car market is how certain vehicles develop such high demand that their wholesale values seem to defy logic when compared to competitive vehicles. Maybe it's a national phenomenon but here in the Southwest I've noticed that Toyota Tacoma Pickups from the 1994-2004 generation draw a lot of action at the auctions and high bids as a result. Regardless of the mileage or condition the Toyota Tacomas routinely bring 50% to 100% more than a comparable used truck from Ford, Chevrolet, Dodge or even Nissan. What vehicles in your market have incredibly high wholesale prices? Does your sales desk ever pass on a deal because the customer wants too much for their trade or do they take the deal knowing that they'll be able to wholesale or retail the trade at a profit because the vehicle's so popular?

07-09-2013, 10:50 AM	#8
XDCX Administrator Join Date: Nov 2007 Posts: 14,869	Anyone remember the old Suburbans with the "Barn Doors"? Whenever I see vehicles with super strong wholesale prices I think back to the old Suburbans with the "Barn Doors." Maybe it was just a California phenomenon but in the late 90s both the Chevrolet and GMC Surburban were hot vehicles as long as they had the "Barn Doors" for the rear opening. I remember one GM dealer in my market was loaded with used Suburbans and for some reason the market went cold - almost overnight. It was like someone turned off the switch and all of a sudden the dealer was stuck with dozens of Suburbans that he owned for almost full retail. I'm guessing he took a $2,000 to $3,000 loss per vehicle to unload his Suburbans once the market cooled off. I guess that's why I'm always a little leery about putting too much money into a used car just because the market demand is currently very strong.

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07-08-2013, 12:32 PM	#2
zep33 Senior Member Join Date: Oct 2012 Posts: 236	SAABs. Even though they went out of business, they're still expensive and sought after.

07-08-2013, 01:32 PM	#3
79LilRedExpress Senior Member Join Date: May 2008 Posts: 713	Jeep Wranglers.. esp the Unlimited models. And some of the older model 2 doors, even with high miles.

07-08-2013, 01:37 PM	#4
Lakeshow Senior Member Join Date: Oct 2010 Posts: 217	GM Heavy Duty pickups, 07 and newer bring a premium around here. I've stepped away from the bidding and watch them go for retail on real nice low mile units.

07-08-2013, 05:37 PM	#6
Jeff Duvall Senior Member Join Date: Jul 2010 Posts: 149	A 2000 or newer Dodge with 5.9 Cummins will bring rain in Georgia regardless of mileage.

07-08-2013, 06:22 PM	#7
mryan55 Senior Member Join Date: Mar 2013 Posts: 595	Probably no surprise, but for it is anything of the TJ or JK variety, although things seem to be stabilizing a little bit now.

07-09-2013, 05:07 PM	#9
mr4t60e Senior Member Join Date: Aug 2010 Posts: 122	In my somewhat limited experience buying cars at the lower end of the market, any Honda or Toyota sedan brought stupid money- even with astoundingly high mileage. If i had to guess anything that was big with the BHPH buyers got bid up to stratospheric levels.

07-10-2013, 06:27 AM	#10
lsx only Senior Member Join Date: Nov 2008 Posts: 371	05 up chevy or gmc crew cab Z71 also the 2500 hd crew cabs,any honda accord or tacoma.

11-24-2013, 01:02 PM	#13
XDCX Administrator Join Date: Nov 2007 Posts: 14,869	Here's another XJ that sold at auction this weekend: It's a different Auction Company that's holding their auction in a different state but the sales results are similar. In this instance someone was willing to pay $3,250 (plus a 2% Buyer's Fee) for a XJ with almost 200,000 miles. If your dealership was taking this XJ in on trade, what ACV would you assign the vehicle? KBB shows a range of $1,200 - $2,000.

02-22-2016, 07:12 PM	#15
mryan55 Senior Member Join Date: Mar 2013 Posts: 595	Those figures seem pretty crazy for an XJ. I must say they look in pretty good shape and given the location of the cars they likely haven't seen too much harsh weather. About ten years ago I had a close friend who felt a lifted XJ that was probably 10 years old and purchased for $10,000 was a good 'investment.' At the end of the day I think she sold it and broke even around the 2008-2009 economic difficulties. Had I only had a crystal ball back then I imagine it would probably be worth some figure approaching that today if the mileage stayed under 100,000. Of course, at that time I was more worried about who might turn up at the dealership ready to trade in their Aspen, Durango, or Commander and how we would have to break the bad news.