I’m planning to pay cash to make this whole process easier and more streamilined for the seller. I have a feeling if it gets too complicated they will walk and just let the dealer have it.
Wasn't sure the relationship. The simplest thing is he buys it and sells it to you, which is still good, I was just trying to figure how to make it a one owner and get the title to you quickest.
You better hope that reservation owner doesnt find out how much he could actually get over msrp. Move quick is my adviceI have the opportunity to buy a Bronco from a reservation holder who no longer wants it. The Bronco was In Production 6/30, Built 7/11, and now currently Awaiting Shipment. It has a blend date of 6/29/22. It should arrive to the dealer in August. The Bronco is my exact build that I ordered, except Velocity Blue exterior instead of Cactus Gray, and Roast leather interior instead of Navy Pier leather. Velocity Blue is my 2nd color choice anyway. I really didn't like the Roast interior at first, but it is starting to grow on me and the blue accents and stitching with the Roast just complement Velocity Blue so well. Here is the build I'm now contemplating on buying:
Outer Banks - 4 Door - Velocity Blue - Sasquatch - 2.7L - MIC Hardtop - Heavy Duty Mod Bumper - Tow - High Package - Roast Leather - Aux Switches - Wireless Keypad (see image for build render.....it has all the deadly sins)
My specific order was recently placed in February, so I've only been waiting 5 months. I'll likely be waiting at least another year based on how many orders my dealer has (500+ orders with 180 annual allocations). It's a large dealer large allocation scenario. If I buy this Bronco, I will still keep my current order to either sell or keep and then sell the Velocity Blue. In either scenario, I feel like it's a win-win. I will be paying the reservation holder that is backing out $5,000 as part of this deal since they could just walk away from the dealer and let them sell it for $20k ADM. But I don't have price protection, so the cost will only go up anyway for me since I'm going to get pushed to a '23 or '24.....so why not just pay the $5,000 premium now and be done.
What do you all think? I feel like I should do it. If I do go through with it, has anyone done a similar process and how do you recommend I go about it? I don't think I can convert the order in my name, so I'm thinking the current reservation holder will have to buy it at the dealer, and I was planning on just doing a cash sale to them immediately afterwards. Not sure how getting all the paperwork and title transferred over that quickly would work. Thoughts?
Thank You
Crown Royal bag with $73K in $100 billsI sold my 2020 Raptor after 6 weeks of ownership and 1100 miles due to a job change and cross country move. I had a loan for $47K on a truck I paid $72K for out the door. The best way to do the transaction was to pay off my loan and get a clean title for the transfer. I sold the truck with a few mods for $73K, the guy and I met at the bank and he gave me a Crown Royal bag with $73K in $100 bills. I deposited the money and then transferred the title electronically. No sales tax on private party deals in AZ.
In my mind the best way to do this transaction would be to write a contract for the sale, then put up the cash for the reservation op holder to pay cash for the truck. He doesn’t have to pull together funds or get a loan to complete the transaction.
VB is a great color. Part of me wishes I’d kept it, but selling it was the responsible call at the time. I sold 5 cars and my trailer and moved 2900 miles for a new career in a 6 week period in September/October 2020. We kept the house until April 2021 and sold at a market peak.
Great idea. This makes sense. For some reason I was thinking of paying the seller after they purchased it, but your method makes it even easier for the seller. Thanks for the tip. Is the sales contract something I can just Google or possibly even find on the DMV website?
They know. They are just trying to help out a Bronco fan like me and don’t want Ford/dealer to make out on the deal.
I was certainly suspicious, but I checked the guy out as best as I could. He owned a software company and a couple LLC’s. I’m guessing one of his businesses was cash based and he was hiding money from Uncle Sam. He showed up in a newer corvette with his college age son. The son told me the Raptor was for him. I did make a point of having his son hand the money to the teller for the deposit just in case the machine showed anything counterfeit or otherwise screwy. No issues.
Is the market really that hot that the guy can make back the 8-9% Phoenix area sales tax, $500 dealer doc fee, any dealer add ons they force, etc, and still turn a profit? I put my Bronco up for sale with 40 miles for about a month in January 2022 and couldn’t find a deal to net more than $5K over my actual costs.
Here is a link to the official AZ Bill Of Sale you will need to use later.
Thanks for all your help and insight. It is a bit complicated of a transaction, but still hopeful I can get it all to work out. I have the order holder currently getting the OTD price in writing, which is supposed to be MSRP per previous commitments. I’m meeting with the order holder next week to sit down and go through the details of our approach so it’s as smooth as possible. I’ll report back where we stand. Thanks!Is the market really that hot that the guy can make back the 8-9% Phoenix area sales tax, $500 dealer doc fee, any dealer add ons they force, etc, and still turn a profit? I put my Bronco up for sale with 40 miles for about a month in January 2022 and couldn’t find a deal to net more than $5K over my actual costs.
MSRP $58,515
Phoenix sales tax 8.3% $4857
Dealer add ons, usually a $2000 package at a Phoenix dealer
Dealer doc fee (non negotiable in AZ) usually $500
Title and license fees (the non refundable part) probably $250
Total OTD price of $66,122, $64,122 if you can get it without add ons (rare in Phoenix)
The OP here is willing to pay $5K over the other guy’s real costs, so $71,122. Even without the standard dealer adds it’s $69,122. I don’t see this truck being worth much more than that. My local dealer charges $15K ADM on abandoned orders, they have had a couple decent Broncos sitting there for a month.
Here is a link to the official AZ Bill Of Sale you will need to use later.
https://apps.azdot.gov/files/mvd/mvd-forms-lib/48-2004.pdf
Thinking about my idea some more, it has some holes. There could be tax implications for Jim receiving the money on the front end rather than buying a vehicle after he has purchased it. I’m also not sure if there are any fraud concerns about straw purchasing a vehicle for someone else. The cleanest way is if he can pay cash then you buy it from him. If he doesn’t have the means and gets a loan then you have to deal with the lein release at the time of sale.
Unfortunately if the dealership gets a whisper of what you are doing they would likely just refuse to sell it to him and mark it up with a big ADM for themselves.
Carmax, carvana, etc.
You can try to refuse the add ons all you want, but dealers like San Tan/Camelback/Peori/Surprise Ford will tell you to pound sand and sell the truck to someone else for ADM money. Sanderson is probably the only ford dealer in Phx that would do a zero add on MSRP special order.
