Making/loosing money on cars

[Crazy Dazz]

Bought an XF wagon for $3k, spent maybe a $1k in total (if that) and some of that was just routine maintenance. It got written off, and at market value I got $7k.
Best way to “make money” that is not simply paying you for your labour, is to buy good examples of the next classics when they bottom out in price and are “a dime a dozen.” Stay away from “ready-made” classics, because there is already a huge premium in there, and unless they become an Uber-Classic, you won’t make as much.
That of course is a long-term approach. The other way is to do what used car yards do, buy cheap and sell high.

[302 XC]

Originally Posted by grandtourer

True. But what if you bought cars for the intention of selling them for a profit? With that goal in mind, surely the odds would be tipped in favor of making a profit rather than a loss. Obviously, you'd need to buy them under what someone else is willing to pay.

Here's another question. Let's say you saw a nice old car in the supermarket carpark and you left a note on it asking if they would consider selling. Arguments sake, lets say is a one owner low mile XR Fairmont V8. The owner calls you and says they want to sell, but only want a fraction of what it's really worth, lets say $500. Would you buy it? Would you negotiate a better deal? Or would you pay market value for it?

And finally, would you feel guilty selling it a few weeks later for a very healthy profit?

IF i was interested enuf in anything to leave contact details i must be keen on it for myself,i wouldnt try and snag a bargain for the sake of making a few bob and rippin some uneducated ol person off
But if i was offered some details for something i had , and a deal was done that i was happy with , then the new buyer resold for a profit , well so be it
Even if i got something offered that was cheap as, if it didnt interest me i would leave it,maybe tell others
Ive been offered an ol HG kinga , all complete , and ive spend some time working on it , it has been offered for its scrap value, even after doin the work on it , and the cheap price, it doesnt interest me

[OzJavelin]

Owned a lot of cars .. Lost money from a little to a lot on all of them. Don't think I've ever bought a "bargain" and i've never ripped anyone off selling .. Im a lot poorer than i probably should be, but i sleep well at night.

If I was that worried about money I'd be looking for any hobby OTHER than cars ..

[matt1440]

I brought a RUST FREE 93 xg ute for $750 of some silly girl. Took the bench seat for my panelvan put my buckets back in and sold it to my brother for $1000. Best find ever.

[RedHotGT]

Originally Posted by pottery beige

sounds like fun.. ripping off old people......

how would you feel if some wheeler dealer flat out ripped off your elderly parents in a said such deal..........

I am a little confused by this response?

If you're paying someone what they want for something (car, house, tv, trampoline) - then how is someone being ripped off?

Sure, there are times that I wish I hadn't sold something, and have taken far less money than I probably should have for something. But in the situation I was in at the time - it was necessary.

And sure, I've sold things to people that have paid more than they probably should have at the time - but they wanted the item and had to have it - whatever the cost.

(Not aimed at Pottery Beige) From other responses on similar topics, on this forum and others, the general rules seems to be that it's okay if the person making money is 'YOU' but when it's someone else it's not okay?

Some things aren't for some people - and I suppose it's up to the individual to live with their morals and beliefs. I couldn't work in an abattoir because I couldn't spend my day killing animals, but I accept that it happens and thats fine - it just couldn't be me.

But old cars are going to be bought by someone eventually at some time, or they will be snapped up by someone who realises the opportunity. If it's not you, it will be someone else. And in some cases, I'd rather it be me.

[BrisVegas]

My second car was a 94 Integra VTIR I paid $22,500 for it in 1997. The seller had already bought a WRX and needed it gone, so got it for a good price at the time.

Anyway, in 1998, my wife to be and I decided to go overseas on a working holiday, so I sold my Integra. I advertsied it for $26k. This guy turns up to test drive it with his mate in a Lotus Elise FFS :roll: . They'd just started an internet service provider and apparently had more money than sense. They didn't check the odometer or look under the hood or anywhere really. All they cared about was how good the stereo sounded and they played with the sunroof on the test drive. I felt guilty about selling it just shy of it's 80k service (80,000km service on the VTIR was well over $1k!), so I haggled myself down to $24k. These guys would probably have paid the asking price....

[Polyal]

I dont go out of my way to try and make money on cars, I just dont have the trade skills, but all bar one car I have owned I have sold on at the same price I brought it for, and once more.

Although my average is about 2 years for holding onto a car...and I dont count mods so Im not really making any money as such..just talking about the buy and sell price.

[prasac]

mate bought a Centura for $22k, flipped it 3 weeks later for $45k, had fully engineered big block V8 in it, coulda held out for more if he kept it but, that was a great offer.

[falconator]

You can make money under the right circumstances,the best i did was a 57 splitty kombi,i bought it for $200 and the farmer thought i was mad,i then sold it for $6ooo to a sparky from Melbourne.He rat rodded it.Its called hunting for old tin!A lot still out there in the right places.You have to find cars that are not seen from the road.

[pottery beige]

Originally Posted by loftie

I am a little confused by this response?

If you're paying someone what they want for something (car, house, tv, trampoline) - then how is someone being ripped off?

Sure, there are times that I wish I hadn't sold something, and have taken far less money than I probably should have for something. But in the situation I was in at the time - it was necessary.

And sure, I've sold things to people that have paid more than they probably should have at the time - but they wanted the item and had to have it - whatever the cost.

(Not aimed at Pottery Beige) From other responses on similar topics, on this forum and others, the general rules seems to be that it's okay if the person making money is 'YOU' but when it's someone else it's not okay?

Some things aren't for some people - and I suppose it's up to the individual to live with their morals and beliefs. I couldn't work in an abattoir because I couldn't spend my day killing animals, but I accept that it happens and thats fine - it just couldn't be me.

But old cars are going to be bought by someone eventually at some time, or they will be snapped up by someone who realises the opportunity. If it's not you, it will be someone else. And in some cases, I'd rather it be me.

if the elderly owner is aware you are paying well under the odds for a vehicle.. and aware you are buying it only to immediately onsell it for a healthy profit..

fairy snuff......

[T-Pak Addict]

oops wrong thread

[grandtourer]

Originally Posted by pottery beige

if the elderly owner is aware you are paying well under the odds for a vehicle.. and aware you are buying it only to immediately onsell it for a healthy profit..

fairy snuff......

That doesn't make any sense at all? Why would they sell it in the first place knowing;

1. It's priced well under what it's worth
2. And knowing someone was going to on sell it.

"Hey Mr. Smith, I'll give the $500 you're asking for your $5,000 jalopi and oh..and by the way I plan on on-selling it tomorrow for around 10 times what I'm paying for it right now...hope you're okay with this?"

Now before you accuse me of ripping people off, especially old people (because they happen to own an old car they want to sell) I only ever pay a seller what they are asking for a car. If it happens to be a bargain, then that's my bonus..it's called commerce. Fair trade in a free market. I don't put a bullet to their heads or twist their arm.

I agree with Loftie that the only ones who get upset about this common scenario are the ones who missed out buying it in the first place.

A few years ago I bought an XAGT sedan for $11,000 from a guy who bought it from the 2nd owner for $4,000 the day before. At the time, similar XA's were selling for around $20k. Where's the crime? If he hadn't have bought it it, I'm sure someone else would have, yeah?

In any case, there is nothing wrong with making money from cars because I know I wouldn't like the alternative of losing money, would you?

p.s. What about the owners who want more than their car is worth? for example the $5,000 jalopi they think is worth $50,000 - check out the car classifieds there's heaps of them listed.

My opinion is not to upset anyone, it's just my opinion of how I see things.

[pottery beige]

Originally Posted by grandtourer

That doesn't make any sense at all? Why would they sell it in the first place knowing;

1. It's priced well under what it's worth
2. And knowing someone was going to on sell it.

"Hey Mr. Smith, I'll give the $500 you're asking for your $5,000 jalopi and oh..and by the way I plan on on-selling it tomorrow for around 10 times what I'm paying for it right now...hope you're okay with this?"

Now before you accuse me of ripping people off, especially old people (because they happen to own an old car they want to sell) I only ever pay a seller what they are asking for a car. If it happens to be a bargain, then that's my bonus..it's called commerce. Fair trade in a free market. I don't put a bullet to their heads or twist their arm.

I agree with Loftie that the only ones who get upset about this common scenario are the ones who missed out buying it in the first place.

A few years ago I bought an XAGT sedan for $11,000 from a guy who bought it from the 2nd owner for $4,000 the day before. At the time, similar XA's were selling for around $20k. Where's the crime? If he hadn't have bought it it, I'm sure someone else would have, yeah?

In any case, there is nothing wrong with making money from cars because I know I wouldn't like the alternative of losing money, would you?

p.s. What about the owners who want more than their car is worth? for example the $5,000 jalopi they think is worth $50,000 - check out the car classifieds there's heaps of them listed.

My opinion is not to upset anyone, it's just my opinion of how I see things.

that doesnt make any sense at all..

[Nikked]

Originally Posted by Feathers

The NSW laws on statutory write-offs has changed now, so that's put an end to that.

You can still do it...just not as backyardies...

[provked]

im now 30 and have owned approx 18 cars, im a panel beater, and always have the ear out looking for cars for the right money, i have made money on all except 4or 5, and i include everything i spend on cars, usually they are a lil rough or in the right place at the right time, . i have done 4 right of vehicles and will prob not do another ( for money making anyway) its too hard these days, and the profit is too litle for the work involveed.

my latest was a ba manual ute, bought for $3200, and needed a front bar, i cut and polished it, put front wheel bearings in and a window reg and BA XR wheels, put it on ebay a week later and sold for 6200, now it owed me about 3800, not a bad proffit but rare to do it that easy. i was lucky the dude was going over seas and i had the cash at home, so i had the money to him in 15 minutes, he couldnt pass it up.