Dealerships with competitive used financing rates?

[dj_patm]

Looking to buy a used car but need to finance. Figured the fine folks at Beyond would know which dealers offer financing that is comparable what you could get for new cars? I'm looking for 48 or (60 months tops if I find something special).

So far I see that BMW offers really good rates on their certified pre-owned cars (2%!). I heard Kramer Mazda offers good rates too but their inventory is lackluster. Audi didn't look too bad. Mercedes and VW was a little steep. Lexus, Subaru and Infinity didn't list their financing. Outside of those guys I haven't really looked too much but I'm really open to anything.

Thought I'd post while I look to help save time.

Help is appreciated as always!

[Rocket1k78]

Do you not care what type of vehicle you get?

I would call up your bank to see what options they can offer too. Even if its more it will probably work out better in the long run because you will get to pick any vehicle you want and have the option to buy private which will save you the gst and dealer mark ups. Theres got to be some really good deals on newish cars now with how the economy is

[Team_Mclaren]

I dont think you should base your vehicle purchase on interest rate... imo that's really stupid. especially a used car

[C4S]

The gap between bank rate now on used vehicles vs "Certified rate" (Benz, BMW, Lexus, Audi etc) is getting bigger and bigger now, you walk in to a bank, and ask for rate on used car, probably 6-7% or 8%, even line of credit, ~5%

So, if interest rate is important to you, pay the $3-4K more on a couple year old certified vehicles with warranty ..

[ExtraSlow]

HELOC that shit.

Of if you have no HE to LOC then just buy the cheapest brand new car you can find, it'll probably be cheaper than used at a high rate.

[rage2]

Mercedes CPO rates are pretty solid. 0.9% right now if you're able to pull of 24 month terms.

https://www.mercedes-benz.ca/en/special-offers#certified-pre-owned

I have seen those rates up to 48 month terms here and there though, usually during really slow months. Don't think I've seen 60 for CPO.

[schocker]

Mercedes CPO rates are pretty solid. 0.9% right now if you're able to pull of 24 month terms.

https://www.mercedes-benz.ca/en/special-offers#certified-pre-owned

I have seen those rates up to 48 month terms here and there though, usually during really slow months. Don't think I've seen 60 for CPO.
Last year the 2015 C Class and 2015 ML350 (I think) were 0.9 for 60. That had me looking at a C400 before deciding to wait for a C450. I am guessing that there was just a huge surplus of Cs so I probably won't see anything better than 24 now on a C450.

[HiTempguy1]

Definitely check with your bank. While rates have obviously gone up, Servus had a deal for almost all of 2017, any vehicle financed at 3.5% 2014 or newer. Never have I seen rates from banks that good before. I guess it'd be around 4-4.5% now for equivalent, but thats still pretty decent.

[heavyD]

Depending on the car and amount of money you are looking to spend it's often better in the long run getting a new car at 0-1% financing over financing a used car. I never understood why people think they are getting a great deal saving $5-10k on a used car only to have a lot of the difference made up in used car financing and less warranty. The Alberta used car market is overpriced to begin with.

[ExtraSlow]

Depending on the car and amount of money you are looking to spend it's often better in the long run getting a new car at 0-1% financing over financing a used car. I never understood why people think they are getting a great deal saving $5-10k on a used car only to have a lot of the difference made up in used car financing and less warranty. The Alberta used car market is overpriced to begin with.

I totally agree. There are many cases where your total cost of ownership will be lower with a brand new vehicle than one that is 2-3 years old. 5+ years old is where the savings start to be meaningful, but it's my opinion you should be paying cash for those used vehicles anyway.

[rage2]

For the cars that I buy (~$100k new), I've calculated the TCO sweet spot as 2.5 year old CPO cars with full extended warranty (7 year total), 48 month financing and sell before the warranty is done. The depreciation is roughly the same between the first 2.5 years and the next 4 years at roughly 30% of the MSRP. Even with high bank financing, you're way ahead of the game.

Of course, I like new shit, and stupid enough to keep wasting money every 2 or so years on a new car lol.

[Buster]

For the cars that I buy (~$100k new), I've calculated the TCO sweet spot as 2.5 year old CPO cars with full extended warranty (7 year total), 48 month financing and sell before the warranty is done. The depreciation is roughly the same between the first 2.5 years and the next 4 years at roughly 30% of the MSRP. Even with high bank financing, you're way ahead of the game.

Of course, I like new shit, and stupid enough to keep wasting money every 2 or so years on a new car lol.

I've determined there is also juice in throwing in stink bids on leftover in-stock niche cars that they can't sell. Odd colors preferred.

[rage2]

I've determined there is also juice in throwing in stink bids on leftover in-stock niche cars that they can't sell. Odd colors preferred.
Yup. That and limited edition cars. Still hilarious to me that my best TCO are my RC-F and C63 BS. The C63 BS was pretty much free for 4 years.

[Buster]

Yup. That and limited edition cars. Still hilarious to me that my best TCO are my RC-F and C63 BS. The C63 BS was pretty much free for 4 years.

Mine is my CTS-V....wind-aided by currency appreciation, I MADE money on that after 5 years. haha. shoulda bought so much shit in 2012.

[jaylo]

For the cars that I buy (~$100k new), I've calculated the TCO sweet spot as 2.5 year old CPO cars with full extended warranty (7 year total), 48 month financing and sell before the warranty is done. The depreciation is roughly the same between the first 2.5 years and the next 4 years at roughly 30% of the MSRP. Even with high bank financing, you're way ahead of the game.

Of course, I like new shit, and stupid enough to keep wasting money every 2 or so years on a new car lol.

Does this apply to ALL 2015-2017's anywhere in Canada? Does MB Canada CPO add another 3 years on top of the factory warranty?

So buying a 2015, with 2 more years of CPO warranty and dump it before warranty expires evens out on depreciation?

What about for lower models like the B250s where MSRP is less than $45K? Is still worth buying it for ~$20K with 2 years CPO remaining?

Thanks!